FHA Suspend Anti-Flipping Rule For One Year
January 16, 2010
On Feb. 1, the Federal Housing Administration will place a one-year moratorium on its anti-flipping rule, which will allow buyers with FHA-backed loans to purchase homes that have been held for less than 90 days, officials said Friday.
The move will open a new pool of homes to first-time homebuyers who have been losing bids to cash buyers, but shouldn’t have much effect on home prices, analysts said.
“Opening up to FHA buyers means I can sell it to anybody. That’s big,” said investor Bruce May, owner of SoCal Homes.
FHA buyers made up 28.1 percent of the market in San Diego County, and 50.1 percent in Riverside County, according to real estate data firm DataQuick. Analysts said cash buyers take up much of the rest of the market, and many of them are speculators and investors. The new rule will connect the two groups.
“Give the consumers as many options as possible,” said Nathan Moeder, a real estate economist with the London Group. “Someone who’s buying an investment property to flip it, isn’t buying a junk property where there’s holes in the walls. From the consumer side, I’d be happy about that.”
The new rules limit seller’s profits to 20 percent above the purchase cost, unless an independent appraiser confirms that renovations and repairs justify the higher price.
“They didn’t want to facilitate speculators,” said Mark Goldman, an instructor at San Diego State University.
May thinks this move will grow the number of transactions in coming months: More buyers for investors will motivate investors to buy and renovate more houses.
“It should be good for everybody and the economy,” he said.
Written by Eric Wolff from the North County Times
Here’s the actual PDF from HUD that makes it official and takes you through the details.
San Antonio is also ranked 4th on FinestExpert.com’s list of the best cities for long-term property investment in 2010.
If your ready to start investing in the San Antonio market and would like to work with a Investor Friendly Realtor with local knowledge and experience, register below to get started.
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San Antonio Ranks 4th For Long-Term Property Investment In 2010
January 15, 2010
San Antonio, TX is ranked 4th on FinestExpert.com’s list of the best cities for long-term property investment in 2010. The rankings reflected potential for positive cash-flow and long-term investment rather than fast property flipping, as well as opportunities to purchase at a discount.
FinestExpert.com named Dallas-Fort Worth as the hottest real estate investment market for 2010.
After analyzing more than 10,000 real estate markets to identify stable, growth-oriented for investors, San Francisco-based FinestExpert.com formed its first top-10 hottest real estate investment market list for 2010.
Analysts looked at more than low home prices and focused on areas with strong employment, rental markets and growth as offset by foreclosures to determine which markets had the best opportunities. If investors only looked at bargain prices, most would flock to into the “rust-belt” markets such as Cleveland and Detroit.
According to the rankings, the top 20 markets are considered good “buy-and-hold” real estate investment markets, as opposed to quick “fix-and-flip.” Because of the distinction, the top markets needed properties with positive cash-flow, which includes home prices, hyper-local rents, taxes, insurance and other operating expenses.
On a scale to 1,000, a good cash-flow deal is rated at 850. The top-10 list also documents “discounted properties” or how many listings and the percentage of total listings selling for at least 10% their estimated value.
“Everyone wants a deal, no matter what market they are in. FinestExpert.com tracks property prices and values to compute an effective ‘discount’ for every property, thus allowing users to easily find the golden nuggets,” said Robert Boyer, co-founder of FinestExperts.com.
The top-10 markets are:
- 1. Dallas-Fort Worth-Arlington,TX: 4,206 discounted properties, 773 cashflow positive
- 2. Houston, TX: 5,563 discounted properties, 1,500+ cashflow positive
- 3. Tulsa, OK: 905 discounted properties, 211 cashflow positive
- 4. San Antonio, TX: 3,547 discounted properties, 496 cashflow positive
- 5. Salt Lake City, UT: 1,137 discounted properties, 22 cashflow positive
- 6. Phoenix, AZ: 8,426 discounted properties, 2,000+ cashflow positive
- 7. Indianapolis-Carmel, IN: 1,257 discounted properties, 299 cashflow positive
- 8. Denver-Aurora, CO: 6,449 discounted properties, 562 cashflow positive
- 9. Oklahoma City, OK: 1,085 discounted properties, 212 cashflow positive
- 10. Charlotte-Gastonia-Concord, NC-SC: 3,348 discounted properties, 296 cashflow positive
Written By Jon Prior from HousingWire.com
If you are an active investor looking to enter the San Antonio market, register below to start working with a Investor Friendly Realtor with local knowledge and experience.
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Would You Like $5,000 Towards Your Home Purchase In 2010?
January 12, 2010
United Lending LLC plans to give away $5,000 for a lucky someone to use toward a down payment, closing costs or furnishings for a new-home purchase this year.
The drawing is March 27 and you can enter the free drawing here.
Unlike our federal government’s giveaway (the $8,000 first-time home buyer tax credit) you don’t have to be a first timer for United Lending’s drawing. But you do have to be at least 18 years old and purchasing a primary residence in Texas.
Aristides Priakos, senior loan originator and financial analyst with United Lending says the company may draw more than one name for the $5,000 award.
Good luck!
Jennifer Hiller – Express News
