#‎TheSecret‬ to enjoying your Home--and your Life.

Start each day, from the second you wake up, with Gratitude, Excitement, Joy, and Love. Do Not allow Anything to sway you from these feelings.

At Sell-A-House-Arizona you get these feelings from both ‪#‎HomeBuying‬ and ‪#‎HomeSelling‬.

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Phoenix Market is On Fire--True or False

Both True and False!! I know you are always getting these non answers from me but it it's just how it is. Some AREAS of the market Are On Fire, and Some are NOT!!!

The fact that the "Industry" would even put out a blanket statement like this has got to show you that the hype is always something you'd better look out for. Let me show you why.

Some of the comments going along with the on fire statement go like this,
Prices are Trending Upward or Prices are Rising
Properties are receiveing multiple offers
Buyers are engaging in bidding wars driving up the price
Inventory is shrinking or Inventory is down
Foreclosures are down
Short sales are down

Yes to a certain extent each one of these statements are true, and to a certain extent each one of these statements is false.
Short Sales-- these have gone up and down all along it really all depends on how many people want to face reality and at least TRY to save their credit to some extent
Foreclosures--What have the banks done every year for the past 4 years between November and Jan 15h or so? They put halt to foreclosures so they don't look like the big bad meanie putting people out in the streets during the holidays--And yes this is the only reason for doing so no matter what you've heard. Well guess what if they're not filing foreclosures for 2 1/2 months and it takes 3 months from the time of filing to do a foreclosure what do you think the is going to happen to the amount of foreclosures between Jan 15th and April 15th--DUH!! They are going to go Down!! But what is to happen in the coming months?
Inventory is shrinking--Be Very careful how you look at this one. Certain Inventory in Specific price frames are shrinking while at the same time certain inventory in other prices ranges are rising. Albeit the shrinking inventories are moving faster than the growing ones and therefore you have an "overall" decrease. Also figure in the fact that mid march through mid June is the Prime Buying Season (More homes are sold during this 3 month period than any other throughout the year) Plus you factor in the REO thing I just spoke of and where is inventory in the coming months?
Prices are Rising/Trending Upward(I hate that term trending upward)--This is another one you better be really careful with. Same as with inventory this statement is specific to certain rice range properties. And again the HOT price ranges are creating an overall increase throughout MOST of the remaining market. But there ARE still areas of the market where prices are still declining--some by as much as 14% per year.
Properties are receiving multiple offers--Absolutely!!IF they are priced under market value!!! If you price your house at full market value (or higher if you listen to your real estate agent about the trending upward (Yuck) prices) you will be Lucky if you even get an ONE offer. And where does this leave you? Playing the Agent Chases the Market Game where you react to what happened last month at the end of this month which is then not enough compensation and leaves doing the same thing the next month, and the next month, and so on until your listing agreement expires and you end up with nothing but decreased value and lost opportunity--meanwhile your agent still has a dozen other listings to sell so it's no skin off their hide.
Buyers are engaging in bidding wars driving up the asking price--Again this scenario is happening all the time, IF you're starting price begins Below Market Value. Otherwise same as above!

And Now Just within the past 30 days this is becoming national news. Just in time for it start changing back to what this market does EVERY year. Sure thers another solid month for you to take advantage of this, or wait........is Now REALLY The Best Time? Or would you be getting in just in time to see yourself go underwater in the coming months of leveling off off and decreasing values. Thanks A Lot Media for the late notice!!!

With foreclosures coming back from the holiday lay off, the selling season coming to an end, and the temperatures begining to rise into the upper 100's, the number of offers will be declining, as the inventory levels off and may potentially begin to slightly rise again. Less offers from less buyers will mean less sales which will also contribute to rising inventory. Rising inventory coupled with less sales will mean leveling off, followed by decreasing prices. So Buy NOW!! Make sure you jump in After the fact and set yourself up to lose in the long run.

Now on the other hand there IS Plenty of GOOD Opportunity still available today and into the coming months and throughout the year, BUT You'd better be talking the right people who are going to lead in the right direction. You'd Better be Buying within the quality price ranges that moving in a positive direction and not get caught in some of the still declining markets.

www.Sell-A-House-Arizona.com is the home of a real estate BUSINESS!! Not an agency trained to Market Property with no risk whatsoever.

As a Real Estate Business, Buying and Selling Property, We Have a Vested Interest in what we do. We stand to Lose Money If We Are Even Just Slightly Wrong with Our Calculations.  What does your agent have at risk? One of His or Her MANY Listings from which they can make money. They know Something will sell next month, Does it HAVE to be your place? NO!!

When we are buying a property we have a very strick schedule within which precise actions must take place. It is THIS reason along the research we must do, the Market analysis, the Studies, the Charts, the Graphs, the RESULTS we must track are a completely different and unique set of nubers than what real estate agents need, want, or desire to track in order simply advertise someones property for them. Yes they are "Professionals" with a license (required by the state to "sell property for another person"--That's it! That is the purpose of the license, to meet some rule of the state designed so the state can make money too. Sort of like Insurance--legalized theft--being mandated by law) but who do You Think has thier finger more precisely on the pulse of the market.

Look I have nothing against realtors. They serve a purpose and in a perfect world what they do is designed to work perfectly for all parties. I mean if they Market and sell your house for the highest rice possible then you will ultimately put more money in your pocket, the bank will write a larger loan and do the same, and they themselves will cash a larger commission check. Perfect for a perfect world, perfect market, and perfect economy,  but today everything is Far From Perfect. However the real estate (governmentally controlled that is) business is still trying to operate as though it is.

Our real estate business (with only IRS fingers in our pie--those dogs) operates in the "Real World" and therefore MUST (if we are to have Any Cahnce of success) be so on top of every last detail of what is going on in the market. Right down to how many more days it will take to sell
with a price difference of just One Thousand Dollars.

Phoenix Real Estate Market is NOT a Raging Forest Fire churning through 100's of thousands of acres per day. It's more like a campground at night with spot fires of varying sizes all over the place even though there is a raging bon fire in central complex.

Just be careful WHERE You set up camp before you start throwing your logs onto the fire.

House Hunter-Deals Unlimited Update

You've got to go check out the inagural edition of my brand new newsletter!!!
This is an inspirational, educational, Deal Packed, literary masterpiece that will leave you wanting more each issue. I could go on for hours, but you should really just go see for yourself.
http://www.sell-a-house-arizona.com/newsletter

Mentor Me to Real Estate Riches

I just put out a video announcing my newest program to mentor budding wholesale real estate investors. Follow this link if you think you need--and you know you do--a mentor now.
http://bit.ly/x8vSG7
www.Sell-A-House-Arizona.com

How to Sell a House Phoenix--House Hunter

Or maybe the title should read How NOT to Sell a House Phoenix.

I am a real estate Wholesaler. I am not a licensed Agent or Broker and quite frankly Never wish to be one. Now I have nothing against RE Agents or Brokers. They do a job, they provide a service, they do help a lot of people, and overall Most of them--and this goes for pretty much any group of people you want to talk about--are probably really great people, and some just aren't. That's just life and the world we live in. Like I said you're going find that with any group of people.

Thing is I buy and sell a Lot of real estate, but I try to stay away from agents as much as possible. Because most of them either just don't get it, or dont even want to try and get it. They live in their high an might realtors world and anyone who is not buying and selling real estate through their traditional methods is either some whacko or doing something illegal. Which far from it. Actually if they would open thier minds to the new opprtunities people like myself can bring to the table they could make a lot of money, and maybe learn a few things along the way. Most just don't even want to try though.

Like I said nothing personal. They have their own rules to follow, standards to live up to, and techniques and strategies which work for them, and that's perfectly fine. Live and let live is say. But when other realtors are pushing the idea of how poor the service some may be providing to their clients is, I've just gotta laugh. Out loud even.

I talk with many homeowners who need to sell a house and A Lot of them too think I'm some kinda whacko or trying to do something illegal. Unfortunately it's just the way they understand real estate to be because they have the traditional methods also ingrained into their minds. Again no biggie, There's plenty of opportunity out there and I don't need to spend my time trying to convince people into new beliefs--I hate when anyone trys to push that on me and try not to do it to others. I much prefer to simply spend my time with open minded people--they're usually happier, and more pleasant people anyway.

So I just read this blog post from the "Phoenix Real Estate Guy" http://bit.ly/5QhJFu  (Check it out I think it's great--probably cuz it made me laugh) Now I'm not sure if he's a realtor or not--I stumbled across the blog post and it caught my--and I didn't really bother to investigate this person--You're welcome to. But whether he's a realtor or not what is saying is "watch out joe public, the traditional real estate sales method is not always everything it's cracked up to be." A point I try to make to people all the time for numerous reasons I should write a whole other post about,, but anyway.

It just reinforces my belief that people need to get educated about investor buyers and what we can offer to a seller. Number 1 of course is right there in what we are classified as Investor "BUYERS." That's right we want to BUY YOUR HOUSE. ........Not just List It so we can both sit back and Wait, and Hope, a buyer comes along--in time maybe depending your situation--who's willing to pay the quite likely over valued asking price your realtor talked you into listing it at, or at least hope they will make an offer that is not so low your agent is going to try and talk you out of accepting it--because you can get more, or the bank won't accept it so you shouldn't either--they have NO IDEA what the bank will or will not take. They're just trying to sell the house for more money so they can earn a bigger commission. There I go again off a tangent rave--which just might be my next post.

Okay back on track here. This is MY Message: 

Attention:Joe Public Home Seller, go out and find a real estate investor (you can find them online ie. www-sell-a-house-arizona.com--that's me of course but you get it)

Do this FIRST--you can always do other things later

The beauty of finding the real estate investor first is you will gain ton's of knowledge--if nothing else--youcan  use to go do those other things.
The other thing is you will not lose weeks, months, and more months of time waiting to see results. We investors move FAST. You'll know within a few short days--sometimes hours--if there is going be a deal that works for both parties--and our deals Always work for BOTH parties. It's all about Win/Win.
 And if there isn't I'm sorry Mr Joe Public Homeowner but thank you for the opportunity and congradualtions for making the decision to contact a "Professional BUYER" first, so you can learn more and hopefully have greater success selling your house elswhere. It's been my pleasure to provide you with this information and I wish you all the best. Oh and by the way if nothing works out, please call me back and I'll be happy to take another look.

Now really how easy was that!!.....And the other happy ending is, "Yes I'll buy it at that price, just sign here." You now have a contract for sale and you can move on with your life.
And How Easy Was THAT!!!

The Fastest, Easiest way to Sell-A-House-Arizona.com is right here in front of you. Feel Free to take advantage of me.

Do the Stats Match What the People are Saying

Last week I had a young couple go out and take a survey for me. Honestly my #1 purpose was to hand out marketing materials, but I just found the results so astounding I've got to share them.

 We did this 50% at the public library and 50% at a local shopping mall. Both of which are in a very average area of the city--not the ghetto and nor the ritzy areas. Those viting these places we're coming areas ranging from slightly below avarage to maybe just more than slightly above, with only a few with high end or poverty level status. Average was the target. Our target was homeowners so we eliminated--by eye only--those under 35.

The survey was only 4 questions. I did this both to help people be more willing to participate by saying this will only take 30 seconds, and also to be able to cover a lot of ground--again, objective-distribute marketing materials. We spent 4 hours and although I was hoping to do more like 400, we did 101. It wasn't as cost effective as I'd hoped. But that's not the point I'm here to write about. It's these very interesting stats we compiled. I would be very interested to know if this same survey done in other citys would bring similar results. But anyway on to the results.

Question 1- after gaining their willingness to participate in very short 4 question survey about housing we asked--Do you own your home or do you rent?
The answer to this question sent the us to our next three based on the answer. We got 30 owners and 71 renters. I bit more skewed than I anticipated--I was thinking more like 60% renters.

Question 2 for the homeowners: How have you owned your home? Results--out of 30:
12 owned for 5 yrs or less
2 for 5-9 yrs
10 9-15 yrs
7   15 yrs or more
This tell me there are not many people either around or leaving their homes on the weekend who bought from 03--07 & that people are buying now within the past 5 years.

Question 2 for the renters: How long have you been renting your current dwelling--don't know if they're in apts or houses. Results out of 71:
1yr or less--------------32
more than 1 to 3 yrs--18
more than 3 to 5 yrs--7
more than 5 yrs--------9
This tells me that as a land lord I should not expect my tenants to living in my place for more than 1 yr and to cherish those who stay 3 as they may end up being there a very long time.

Question 3 homeowners: Do you owe more than it's worth? this brought some interesting results:
Owners of 0-5 yrs-----3 of 12 are already upside down
owners of 5-9 yrs--the 2 bubble buyers------neither one upside down
owners of 9-15 yrs---98-03--------2 of 10 upside down
owners of 15 yrs or more----------1 0f 7 upside down
This tells me some of those who have purchased witin the past 5 years have made bad buys. maybe they purchased from 08-mid 2010 while prices were still declining. Aslo that some people did not fall for the refi game during the bubble--but I'll bet those 2 who bought during it who are not upside down have very little to no equity.. and finally that about 1/5th of those pre 03 owners did fall for the refi game.

Question 4 for the homeowners: If you could sell your house TODAY, would you?  Final results:
Owners of 0-5 yrs---12 out of 30--of the 3 who are upside down only one said they would sell today if they could and overall only 2 out 12 said they would.
So basically everybody but one who bought in the past 5 years is happy, and one of them probably made such a good buy they could sell today and turn a profit.
Owners of 5-9 yrs---2 out of 30--of the 2 who bought during the bubble--and are not upside down--both would sell today IF they could.
This reafirms to me that they have little to no equity.
Owners of 9-15 yrs---10 out of 30--of the 2 who are upside down, both said they would sell today if they could, and overall 4 of ten would sell.
This tells me that about 20% of pre bubble owners fell for the refi and are now upside down and in trouble. So it's not just the bubble buyers. That fiasco has ruined a lot of lives of some probably very responsible people because every other peice of mail was telling how Now was the time to refi and get Cash...This is the most Disturbing of all the data here becouse you can get feeling for how devasting this was for a lot of good people who basicaly got suckered. I mean do you really think 20% of those owners would have refinanced for cash if their equity had only grown by a conservative 3% a year. No way. Also 1 out of the 7, 15 yr plus owners was also upside down and 4 said they sell If they could. I think those who owned longer and had more equity going in maybe didn't need to refi, we're too smart to fall for, or just were conservative enough not to.

Okay back to the Renters and some more astounding #'s

Question 3 for the renters: At any time during the past 10yrs--back to 02--did you own a home?
0-1 yr renters--out of 32--21 had owned a home within the ast 10 yrs
1+-3 yr renters--out of 18--15 had owned a home in the past 10 yrs
3+-5 yr renters--out of 7--3 had owned a home
5+ yrs renting --out of 9--2 had owned a home

These numbers present some very interesting observations. Starting on the back end renters of 3-5 yrs and 5+ yrs. Only 2 of 9 over 5 yrs and 3 of 7 3-5 yr renters had previously owned a home. 5 or 16 and 5 of 75 renters total . So this tell me that about 8% of the population are lifer renters with zero aspiration of ever owning a home.
Now look at the 0 to 3 yr renters--this tells me that 75% --64% if you add in the 3-5yr numbers--of all the renters today have owned a home within the past 10 yrs. Nearly three quarters of the 70% of average people, who are renting property today, no longer own the home they did within the past 10 yrs. Three quarters of 70% has got to be darn near 50% of the total population--Of Average Poeple Remember. That's a pretty eye opening statement.

Now the final question we asked the renters--and this really amazes me: If there was way you could Buy a house TODAY, would you.
There is no need to break this one down any further than saying of the 9 who have rented 5+ yrs Zero-Not a single one--said they would buy today if there was way they could. That just reinforces my lifer renter theory.

But this--Of the remaining 62 current renters, 39 of which had owned a home in the past 10 yrs, 6--yeah JUST 6--said they would buy a home today If there was a way they could. Just 6!!!! Have destroyed the concept of the American dream or What? Just 6!!!! I still cannot get over this number.
I was anticipating at least 50% would have said absolutely Yes with the low prices and interest rates they would be silly not to, but there is just no way we can due to our recent past struggles. JUST 6!!!!!
Amazing--AH-Mazing.

So What does this say about our recovery time from all this. To me it says hang on for a long bumpy ride because although it may not get any worse, I don't things getting better any time soon if people simply don't even want to get back out there and own a home again. This--Consumer Confidence--has got to be the most telling statistic to watch from here foreward. Because until people start thinking yes I want to buy, there's no way we're going to gobble up this inventory like everyone is saying.

I keep hearing everyone say it'll all be over in two years. Get 'em now cuz this window is closing in the next two years. I gotta say that I don't even see any glass in this window let alone seeing it closing. We need to fix it before we can start working on closing it--and it's still broken!

So there's a little peak into the status and mindset of Middle America for you. Taken directly from the mouth of Middle America. Not some number cruncher getting paid by those who have told him what results they want to see. Any statistic can be manipulated simply by where you pull your information from. This is what over 35 Average Americans are saying. Take it for what it's worth..

Is Now a Good Time to Buy Real Estate--Revisited

Some time ago I wrote a post asking this very question. At the time my general concensus was yes this is a good time. Has my stance changed since then? Absolutely not.

In fact I feel even stronger than before that now is not only a good time to buy property, it may very well be The Best time in history to buy property. Why do I think this way? Well there are many contributing factors but the bottom line is this.

We still have a ton of inventory keeping prices low. Even lower than a year ago. This inventory, although some may say is shrinking--this however is unique to your market and something you should follow closely--not only is still there but I don't see it going away anytime soon. We still have millions in or facing foreclosure, millions upside down, and a shadow inventory--bank owned properties not for sale--that will years to eliminate. All these factors will help keep the absorbtion rate--time it would take to sell everything currently listed--higher than what a healthy level should be, which will in turn keep inventory high and prices low for some time to come.

But low prices are not enough. A low interest rate plays a key role in my belief why now is The
Greatest time to be buying. "Get 'Em While They're Low People." We have no idea how long this will last. The government simply cannot sit still and keep their sticky fingers out the interest rate. They feel it is their obligation to manipulate this one way or another, and with president Obama's term coming to an end there will be more and more uncertainty as to where they will be anytime soon. Especially if he is not re-elected. The next person in there will absolutely have to do something--If for no other reason than he/she just, he has to do something. If they stay low obviously this window will stay open, but if they start to climb every one of you will be saying, "Why didn't I buy when the interest rates were low?"

There's a few other related items I could toss in, but if just those two aren't enough, to get you off your duff, then nothing else I can say will get you motivated to get buying now. I'll tell you what, I really don't care what you think about all this. You can disagree 100%, it's your god given right. But I am buying EVERYTHING I can get my hands on, Right Now.

Mortgage Note Sellers #1 Question

Why Must I take a Discount? Why Can't I Sell for Full Face Value?

The burning question every note seller wants to know!!

The answer is simple--RISK

The person wanting to buy your note is actually buying your risk. The same risk you took on when you loaned--by carrying financing you are in essence making a loan--your buyer the money to purchase your property or business. The risk that they could at anytime--especially in today's economic climate--default on their payments.

Therefore when a potential buyer of your mortgage note does their evaluation of the note to determine a purchase price, what do think they are evaluating? That's right--the Risk Factor.

There are many variables that determine the risk factor of a note--payers credit score, payment history, seasoning, loan to value (LTV), just to name a few. The lower the risk factor of each and every variable, the more money your potential buyer might be willing to pay you for your note. Conversely the more risk factors that carry high risk your note has, the bigger the discount you are going to receive.

There was a day when a high quality note could bring you more than a 90% purchase offer, but with today's economy in turmoil that same note is lucky to see offers in the mid 80 percentile. That's just the way it is today and you can expect this to remain the norm until the economy as a whole begins to make a recovery.

As a mortgage note holder--no matter how long you have been one--you surely can understand the risk factor involved, and therefore must also understand the potential buyer of your notes' requirement for a built in security factor--in the form of cash discount. Should the payer of your note ever default on the new buyer they must have the built security of the discount you were given to prevent them from losing their shorts. They are still likely to take a loss but it may not hurt as much.

So rather than asking the broad brush question of why you must take a discount, try refining your question to, why must I take this much of discount? You'll find this question will bring you more clarity as to the valuation of your note and help you understand why such a discount is required.

Of course you can always shop around, but you will likely find all offers to be "very similar" as all note investors use the same basic criteria to evaluate a note.

Call today for a fast, Free Evaluation on today's current market value of Your mortgage note.

Quick note: Al Capone's Vault type of story

I know this is completely unrelated but it's an interesting story that has peaked my interest and if you have any interest in casinos, mobsters, or just a plain ole good mystery then I think you'll enjoy this story too. http://bit.ly/ndglY6
Maybe you'll find yourself following up later to see what they find, as I will.

I hope it's filled with old mortgage notes they call and sell to me!!

Seller Financing Sells More Property

Today's world can be a financial nightmare, especially if you are trying to get financing or your buyer is trying to get financing.

The lending standards have been tightened to the point where over 20% of all financing applicants are rejected. Many of whom are actually Good prospects but for some small reason cannot get approval from the traditional lending institutions. Many of these people have good credit scores, many can have large sums of cash for down payments, most every single one of them are Hungry to Buy--if they could get financed.

What if you could get this extra 20% of buyers to pick up the phone and call you about buying your property? By adding 3 simple words to your advertising you can once again start the phone ringing. "Seller Financing Available" or " Owner Will Carry".

You can have qualified buyers eager to buy coming back for a second look with the addition of theses words.

At PSR Note-Ability we can help you structure a deal and create the note in such manner that you can realize even greater benefits than a traditionally financed sale can provide. visit www.promero.noteoffers.com/fsbo to learn more about how seller financing can help you sell your property faster than any other on the block.

To Sell a Note Later, First You Need to Create a "Good Note" Now

Understanding what a note buyer looks for when making a note purchase can help you create a note that will not leave you feeling violated by a buyers offer.

There was a time when mortgage note buyers would purchase just about anything that came across their desk--Of course that was when my dog could qualify for a loan and buy a house.

In today's economic times this just like all things real estate has changed. If you intend on carrying paper on a property sale and are planning to later sell that note, you had better have at least some understanding of what a buyer will be looking for, and a general idea of how much discount you can expect to take. Otherwise you may end up like Many I've seen in the past few years, with a note you either cannot even sell, or one that is so heavily discounted you cannot achieve the goals you have set. Thus forcing you to hold the note for a period of time much longer than you've anticipated.
While this may not have a huge effect on some, for those counting on that cash whether it be to move onto their next deal or any other need you may have, this can be a killer.
Here at PSR Note-Ability I am more than willing to assist you with everything from deal structure and note creation, right through to the actual sale of your note. That is what a "Full Service" mortgage note company can do for you.

The following are just a few key factors you need to consider that will play a huge role in the sale of any mortgage note:
Interest Rate
Seasoning--How long you hold your note prior to selling
Reverse seasoning--How long you owned the property prior to the sale of it
Terms of the note--Length of payment, Balloons, etc
Your buyers credit score
Size of the down payment

All of these things done right can dramatically increase the value of your note.
Conversely just "One" done wrong could greatly effect the value of your note, possibly even rendering it unsellable.

Bring us your questions and I personally will be happy to assist you in every way I can.
Don't get caught holding a bad note, because you weren't prepared from the start.

Assistance for Professionals

Many professionals from Legal, Financial, and Real Estate, to Bondsmen, Contractors, and Advisers may from time to time create a note in lieu of payment for services. Or the clients who come to them for their professional assistance may have mortgage notes they can use/sell to pay for their services. Other clients may have other issues with which you are assisting them with and have a need to raise quick capital to make a new investment, start a new business, or grow their current one--among many other possibilities.

As a professional in your specific field you may not have answers for your clients when they ask you about selling a mortgage or business note. Or you may not think to offer the possibility of selling one to a client in need of fast capital. Or you may have some of your own you wish to cash out. Either way you should not have to learn all about a completely unrelated field in order to fulfill your clients--or your own--special needs in that area--and you don't have to.

By incorporating the services of an experienced Note Service you can offer your clients all the additional assistance they need with a simple referral. Most note services will reciprocate these referrals both monetarily--if allowed--and with client referrals back to your business, creating a win/win...win--when considering the client as well--for all parties.

Visit our website at www.promero.noteoffers.com for more information on utilizing our note service to help you, help your clients by becoming a more valued resource.

Get to the good stuff

I seem to have gotten a bit off subject with this blog so I've made an executive decision.I'm going to devote this blog purely to information beneficial or entertaining for the Buyers and Sellers of privately held mortgage notes and trust deeds and for professionals such as CPA's Attorney's, Financial Planners, etc who have clients with buying and selling questions, concerns, needs, and desires.

I would like to direct all Real Estate Investors and Property Sellers--FSBO and Traditional--over to my Seller Financing blog at www.promero.noteoffers.com . I will keep the information on that blog specific to seller financing strategy and beneficial and entertaining information related to real estate in general.

I do encourage "Everyone" however to visit the promero.noteoffers.com website for in depth information specific to your situation and stature. I have fun here and there is interesting information but you can get a ton of area specific info at the website which will give you strong insight to whatever it is you are doing or thinking of doing in regards to Real Estate Notes.

As a special gift to all my visitors I would like to present you with the future of real estate buying, selling, and investing!

Would love to know what you think of this "Crazy" idea! or is it Crazy?

Villains and Victims—Roles Reversed for Economic Bullying

In a country full of bleeding hearts ready to rush to the aid of those who have been victimized in any way, shape, or form you wouldn’t think our government who also stands at the ready to aid victims would turn it’s back on it’s own people who have been victimized by greedy mega banks. Instead they rush to aid of the villains who have committed these atrocities against us handing them billions of dollars the victims—the American Public-- must now pay for.

The uber rich, the mega financial institutions devised a plan to fleece the American public with a brilliantly disguised, once in a lifetime opportunity for property ownership. They developed one new, more lenient mortgage package after another until your dog Fido could qualify for a mortgage loan with falsely stated income. They put people into properties they could never have afforded under traditional, financially responsible lending practices. They packaged these toxic loans and sold them of by the millions to unsuspecting investors under the guise of mega profits until they were using paper to pay for paper with nothing to actually secure the transactions but ink. Until it all finally blew up and the funds backing this paper had to be accounted for and it wasn’t there, because it never existed in the first place. Sounds very similar to a Ponzi scheme any villain would be investigated by the US Government Agencies and prosecuted for.

But no, our government instead makes these villains out to be the victims and runs to their aid handing out billions of dollars in bailout money so they won’t collapse. Supposedly to “save” the economy from a full scale melt down. Not to say this wasn’t one hundred percent incorrect but certainly over done by a large margin. Saving one or two of the most responsible and leaving the rest to suffer the consequences of their own design would probably have been enough to halt a full scale depression, while at the same time opening the doors for those whose creativity, conscious, and zeal this country was built upon, the American Entrepreneur.

Rather than letting the big dog bullies take their new place under the porch waiting for the scraps to fall between the cracks and allow the little guys with big ideas—and hopefully a conscious--to take the reins, our new government “Of the banks, By the Banks, and For the Banks”, runs out and buys them filet mignon to feed on. While at the same time sealing up all the cracks on the porch making the little guys struggle even further to make a meal.

Now as the Mega Banks cry about minimal profits due to the cost of doing “business as usual” in the mortgage/housing world and the American people—who have had their voice taken away—are struggling with the fallout of this debacle, the US Government is still worried the bullies will collapse. “Let them collapse” we shout upon deaf ears as even though the profits are minimal they are still coming in at our expense. The American public—the true victims in all this—are the ones who have suffered. Foreclosures, Bankruptcies, Debt Defaults, and Ruined Credit are the fate with we have been forced to figure out and overcome, all on our own.

Although false hope was given in the form of home saving “Loan Modification Programs” and the HUD backed Housing Council to assist those having difficulty the mega banks were not ‘forced’ to take part, and thusly were reluctant to the point of sabotage of these programs. The Loan Modification Programs could actually have worked if they were thought out better and not just implemented with the suggestion banks utilize this strategy, but mandated they MUST incorporate this strategy. However, even if mandated the loan modification programs were destined for failure under the limited guidelines incorporated into them. One major key factor was left out—Principal Reduction—and the only reason it was left out is because the Mega’s cried it would cost them too much and could lead to their demise (and we couldn’t let that happen now could we, they might not be able to drive their $100,000 cars to their multi million dollar jets and fly to an extraordinarily expensive dinner and lavishly extravagant night on the town in the most expensive city in the world, and then “we” would have feel bad for them)

Including Principal Reductions into every Loan Modification given would have caused the Mega’s to experience a smaller overall bottom line but, it would also have caused millions of American’s to not only be able to afford to, but actually want to keep their homes. An article in Real Estate Journal Online talks about B of A crying about only a 2 billion dollar profit because of their mortgage/housing department and how many Loan Modifications are back in default. Their answer, cut out thousands of jobs in this area. Another talks about the government cutting 88million from HUD forcing the closing of the Housing Council. Is this an admittance of failure for the vaunted Loan Modification Programs that were to be our saving grace? It’s more like another bonus for the bullies to be able to pull out completely, without ANY monitoring agency to not only watch what they do, but to assist those embattled with them. Once again giving them free rein over how the American public is treated, ignored, fleeced, and otherwise raped and pillaged.

Why is Principal Reduction the Missing Link to Success?

Most Loan Mods given out early on during the Mega’s reluctance phase were only designed as “Temporary” solutions with the back end—scheduled for the near, not far away future--only just slightly better then the front problems putting this mortgage in jeopardy in the first place. In other words the Mega’s were handing out nothing more than a delay of the inevitable, setting up the unsuspecting borrower for future failure, and postponing and drawing out for as long a possible any potential resolution or actual recovery for both the individual and the economy as a whole. Then later when reprimanded for their incompetence they began putting forth a more serious—“looking”—effort but still refused principle reductions. This has now lead to further price declines following massive foreclosures creating a massive inventory, thus attaching all those modified loans—effective or not—to a property so far overvalued the owners realize they will not have any equity in these properties for decades. Why pay ten’s or even hundreds of thousands of dollars in interest into a property for the next ten or maybe more years when they can simply walk away and start over twice as fast.

It’s time to identify the TRUE Villains and give the true victims—The American Public—some justice by mandating Principal Reduction Loan Modifications--to 110% of “Current” market value at 5.5% interest fixed for 30 years--on every loan issued prior to Jan 1, 2007—both current and in any level of default (current loans must receive equal treatment otherwise these borrowers will feel slighted for their good efforts and choose to default as well thus negating any positive effect). Let’s take it a step further and mandate the credit card companies to wipe clean all passed due debt (including fees and penalties), restructure payment plans for 10% less than the original principle balance owed at the time of default, and under a predetermined interest rate table that varies from 4% up to a cap limit of 11.9%, based on the borrowers current credit score. The extra money people now have from the Principal Reduction Loan Modifications will allow them to make these new, lower credit card payments. Let’s take another step to help speed the recovery of all those who have missed out on the “Real Help” and are suffering the consequences of not their own actions but the actions of those who have destroyed their lives, and have all Bankruptcies and Foreclosures dating back to Jan 1, 2006 wiped clean off their credit reports, thus giving them the opportunity to immediately begin rebuilding their credit and their lives opposed to being forced to ride out the next 5–10 years before they can begin to do so.

Does this force the closure of some Banks and Credit Institutions?

Who Cares!! It’s their own fault and no one is more deserving of whatever fate they succumb to. Time to let the Little Dogs Eat!

What positives could possibly come from all this non-sense?

1)      Most all potential future foreclosures will never reach that point. Excessive supply will stabilize and immediately begin to decline as demand begins to grow.

2)      This will cause property values to do the same

3)      We will immediately create millions of productive consumers who will use this opportunity to buy, thus building consumer confidence and strengthening the economy.

4)      Increased spending creates more business, more business creates more jobs, more jobs create more productive consumers, more employed and productive consumers buy more properties decreasing supply and increasing demand--and values, while at the same time they create more tax income for the governments to reduce their deficits.

5)      The banks will actually stop hemoreging money and have a new positive influx of capital—Albeit much less than their originally projected bottom line, positive non the less, and much more so than from the current “business as usual” practice of foreclosure--allowing them to loosen the currently highly restrictive lending requirements in place and be able to make more loans for those who can buy down the inventory. Plus they will have extremely limited worry about all those modified loans as the people are not likely to default or even refinance as their new 5.5% interest will be tough to beat.

6)      What is this—within one year the economy as a whole is moving in a positive direction. Little dogs are growing into common sense driven, conscientious big dogs. Unemployment levels are declining as fast as they climbed. All the current governmental budget cuts are now actually making a difference in the national debt—not that it will ever completely go away unless government as whole adopts all new spending policies and guidelines, And Sticks to Them.

7)      America is once again viewed as financial super power and praised for its              innovative, ingenious methods of exposing the villains and making them pay, flipping a bad economy virtually “on a Dime”, strengthening the position of its citizens, and revitalizing the American Dream.

It’s time to start screaming America “We Want this Fixed!”

and the answer is so simple if our government will just stand up to the bullies and make “THEM”, not us, pay for their actions

For a more in depth look at the numbers associated with a Principal Reduction Loan Modification pop over to www.promero.noteoffers.com/blog  and read a different version containing a breakdown of a typical--simple--mortgage loan in default.

New Info For FSBO Sellers

Just added a new page to the website dedicated to helping FSBO sellers sell faster and Get More Money doing so!! Check it out at www.promero.noteoffers.com/fsbo

I look forward to helping you just like I did for the couple in the example.

Big Day for the Ruskins

Bill and Gerri closed their note sale today. Congratulations!!  They needed money so they could help their daughter buy a new home. She graduated from college a couple years ago and her job has allowed her to put away a nice bit of savings. Just as a lark she began home shopping without any real intent to buy anything. Lo and Behold she stumbled across an amazing deal on a small house she just absolutely fell in love with. Since her credit was just okay and her savings were not enough to counter with a large enough down payment she decided to ask mom and dad if they might be able to help.

Mon and dad were more than willing to help but didn't quite have enough themselves to make a difference for their daughter to get financed. However they were collecting payments from the sale of their previous home and decided to call a note buyer--PSR Note-Ability--to see if they could sell their note.

Turns out it was a good quality note and we were able to make them an offer that was satisfactory for their needs. As soon as the deal was secure their daughter made an offer on the house--All Cash. The offer was accepted, Mom and Dads mortgage note deal closed today and the house is now in escrow.

Plus Bill and Gerri created a new promissory note between themselves and their daughter for her to make her monthly payments to them. Bill and Gerri actually created better terms than they had on their original note--just in case they want to sell later--so even though it is for a smaller amount they are receiving nearly the same income each month. And their daughter is ecstatic about owning her first home.

This is just the kind of Win/Win--WIN situations we love to create for people wanting or needing to sell a note.

New Website Offers Great New Information

I've recently updated my new website www.promero.noteoffers.com

If you have any questions regarding buying or selling mortgage notes and trust deeds you must have look.

I've provided very specific information designated to anyone with interest in mortgage notes.
Buyers & Sellers of both Performing and Non Performing Real Estate Notes
Real Estate Investors, Brokers, and Agents
All Financial Professionals

Regarding Residential, Commercial, Multi family, and Business Notes

www.promero.noteoffers.com   Check it out Now

Is Now the Time to Think About Buying Real Estate

This is the burning question among investors and individuals alike who are thinking about buying property. Whether it is residential, commercial, or any other type of property there are pros and cons to this argument. My feeling is that pros far outweigh the cons...right now!

PROS
Over the past three years property values have declined anywhere from 28 to 45 or even higher percent depending on the area of the country you are looking at. These historic price declines mean we're looking at prices that resemble the late nineties. I bought my home in 97 for 101k and in 99 it was worth 139k. Today it's worth about 155 thousand dollars.

Interest Rates are also at an historical low. Hovering around 5% we've not seen these numbers since sometime before most of us were even born. I've looked at records going back as far as 1962 and in 1965 interest rates were at their lowest until now at 6 3/4%.

Inventory is at an all time high. Most Real Estate listings across the nation are showing around a 10 month absorbsion  rate and have been for some time now. This means that at the present level of sales it would take 10 months to sell everything listed today. With foreclosures speculated to remain at the highest level they've been since this all began this rate will likely remain very close to the same for 2011. As the number of new foreclosures begin to decline--as predicted--in 2012 we still have the vast shadow inventory sitting in possession of the banks. These bank owned properties will continue to enter the market place even though new foreclosures are slowing, thus keeping inventory levels high for years to come.

Opportunity abounds. As just mentioned foreclosures remain high meaning a lot of people are still struggling with their loans. This creates not only foreclosure opportunity but also short sale opportunity. Both of which sell below current market value providing plenty of opportunity to find a great deal, over and above these already low property values.

CONS
All the same factors can also be looked at as cons to this argument. Property values are expected to continue on the decline for at least the next 6 months. Interest rates are projected to increase over the same period. Large supply leads to lack of demand, and short sales and foreclosures can be a hassle to buy.

Let's work backwards:
Short Sales and Foreclosures can be a hassle; Well if you want a great deal...deal with it. Otherwise go pay full market value and still get a pretty darn good deal.

Supply is so high many are thinking "hey what's the rush". There are so many good deals out there many still are afraid to jump in thinking there's still a possibility they could lose.

The two biggie's property values and interest rates we'll look at in tandem. Property values are expected to drop another 5 to 7 percent in most areas with a few areas expected to decline another 10%+. Even at a 12% decline in value is a 5% interest rate better in the long run than 7%. We don't know that interest rates will reach 7% this year but they are projected to increase. My guess is just over 6% by the end of the year. So what you the buyer must decide is whether or not today's price coupled with the lowest interest since sometime prior to the 60's will make a better deal for you, than tomorrows lower price coupled with a higher interest rate.

I say "Right Now" is "The Best Time to Buy". Property values will eventually climb again--possibly as soon as next year. Interest rates however will not look back once they start back in an upwards direction. I say get the great rate now, and ride out the storm on value. Five years from now everybody is going to be wishing they bought now instead of waiting just one more year, maybe even less than that.

You are welcome to disagree with my opinion, that's what makes this country great, but even if you're not going to buy today you should at least start your serious evaluation of the market and make your decision to buy at the right time--very soon.

Now for those of you read this whole post and said "well it doesn't matter to me since I can't get financing anyway", go out and look for the properties advertising  "Seller Financing Available". These sellers are offering to be the bank for you. They are much more flexible on who they can sell to. Just make sure both you and the seller contact a mortgage note specialist to assist you with questions on deal structuring and note creation that will create an overall deal that suits both you the buyer and, the individual who is willing to take this huge risk on you. Creating a win/win situation from the outset will keep all parties involved happy throughout the entire term of the contract.

Of course I encourage you and your seller to contact me directly at
530-318-2662 (info@psrnote-ability.com) for the assistance you need.

Need Cash Now but Like Having Recurring Monthly Income

When you sell a Real Estate Mortgage Note you have two options available.
You can choose to sell the whole note, meaning all of the remaining payments that are due, or you can choose to sell what is called a Partial. By selling a Partial you can get instant cash now and after a period of time the note will revert back to you and the monthly payments you are receiving now will once again resume.

For instance let's say you sold a property 2 years ago that you carried the financing on. You created a note for $50,000 at 10% interest, fully amortized for 20 years.This created a monthly payment amount of $482.51. After having collected 24 payments totaling $11,580.24  you now have a remaining balance due of $48,952.59.

You could sell the whole note and receive lets say $38,000--this is just a guestimate your actual sale price may vary-- and your note would be out of your hands forever.

Or you could sell a Partial, let's say for the next two years worth of payments--you can sell any amount you wish from 1 year to 15 years since there are 18 years worth of payments remaining--but for this example you will sell just the next two years worth of payments. We already know that two years worth of payments total $11,580.24, since this is the same length of time you have already owned the note and have already collected.


You could sell this future $11,580.24 for lets say $8,000--again just a guestimate--then after the two years have passed when the 25th payment comes due, it would once again be sent to you instead of the buyer who had purchased your partial. This 25th payment along with the remaining 191 payments due scheduled to follow will all once again be yours.

At this point in time there would still be a remaining balance due on the note of $46,035.40. You collected $8,000 and your note only depreciated by $2,887.90. You got the cash you needed when you needed it, and now you have your incoming monthly payments returned to you. This is know as the best of both worlds.

Now that the note is once again back in your possession you can choose to do one of Three things with it.
1) Hold it and collect the remaining payments.
2) Sell the remainder off as a whole.
3) or Sell another Partial.

That's absolutely correct, you can choose to sell another partial segment of your remaining payments and have the remainder of the note returned to your possession at a later date. You can do this over and over again. Only until the payments run out of course, but as long as payments are due you can sell just a portion of them.
So if you are in need of some cash now but would like to retain possession of your note, selling a Partial just might be the answer you've been looking for.

We are always looking for answers to solve your financial needs. Partial Mortgage Notes sales are just one way we can help. Call today for more information on the options mortgage note ownership can provide to you. Or visit our website and sign up to receive free information on the mortgage note industry.

What To Do With Defaulted Mortgage Notes

Every homeowner and Investor alike who sells a property and carries financing have the same fear--Default!

With the recent economic downturn millions of homeowners have stopped paying on their mortgage notes--traditional and seller financed. 

What do you do when your buyer stops paying? You have 5 choices:
1) Do nothing and hope the person who owes you money will one day do the right thing and try to make it right. Don't hold your breath though.
2) You can continually harass your buyer in an attempt to collect the money they owe. This can become a tiresome routine which may also build animosity and create a potentially volatile situation that could produce property damage or worse yet personal injury.
3) You can pay for a collection agency to perform the same tasks from option #2. This can be an expensive proposition with a start up fee and a percentage of the take commission.
4) Of course you can always foreclose and take back the property. This can not only be expensive but also complicated and time consuming. The best way is to hire an attorney and we all know what that can cost. Doing it yourself can become quit a complicated hassle.
5) You can simply sell the the defaulted note, get some cash, and rid yourself of this dead end situation for good.

Of course you are going to take a steep discount from the face value of what is owed to you, but when you consider the alternatives and what cost you may incur there, this may be your best option. Let someone else take on all the headache that comes with defaulted paper.

No matter how old your note is or how long it has been since you last received a payment, we are very interested in possibly buying your defaulted mortgage notes. Call or email today for more information on how you can eliminate the hassles of the defaulted real estate mortgage notes you are holding.