Monthly Archives: March 2009

More and more people are forced to foreclose their houses as the economic downturn worsens. You don’t have to be another statistic to this depression though. What you need is to ensure that you pay on schedule and follow on the tips given below:

Firstly, you should avoid companies that help you to prevent foreclosure. Why? Because it is more advisable to communicate directly with the bank rather than through a third party. Remember that you also have to pay the third party fees for their services. Money which can be used for your home payments.

Secondly, always remember to stay active. When a person goes into debt, not staying active will cause you to be more prone to forclosure. You can even ask for a reduced payment plan if it has to be so.

Thirdly, liquidating your assets will give you the money instantly to be able to pay mortgages. While it is not easy and sometimes even emotional having to sell of high-priced items of value, you have to consider the long-term future. If you lose your home then having these possessions will not make much sense anyway.

Next, try to always maintain a constant and open dialogue with your lender. Either by email, phone or other means, it is definitely better than the other alternative: them knocking on your door when you least expected.

Prioritizing becomes very important in this case when you have debts to pay and with limited time to do so. You have to carefully look through your expenditure and shave off whatever expenses those are not important or critical. Whatever money you have earned or received should always go to paying off the mortgages first. Then you can spend accordingly with the remaining amount.

Get yourself acquitted with the legalities with regards to foreclosure. This ensures that you are at an advantage and will not be caught by surprise. Know which laws protect your privacy and personal assets. As the laws may be different in each state, do the necessary research to make sure it applies to where you live.

If you have problems keeping up with your mortgage payments, then you can ask HUD for help. They have services that related to assistance on ownership of your home. They are able to get you up to speed as well on foreclosure laws.

Lastly, be on the look out for fraudsters and scammers. There are people who will offer to help you on avoiding foreclosure for a fee, but disaappear after taking the money.

Every time someone defaults on their property taxes, the government can foreclose on their home. It’s a common practice, and by the way things are going, they’ll be listing foreclosures even more in the future. It goes without saying that this is a terrible ordeal for any homeowner, but there is a bright spot in the form of a tax lien auction as outlined in this article. In fact, a tax lien can help a homeowner prevent foreclosure while providing an a good investment, so it can actually turn out to be a win-win situation!

Sometimes tax lien sales are held by the government for the local public to bid on the tax sales in lieu of the property. This means that the public will bid on the chance to pay the tax debt for the property owner so that the owners may keep the property. Of course, nothing comes for free.

The homeowner must then pay the winner back all their money plus interest by a specific date. The date will be determined and agreed upon by both parties. The lender is allowed to raise the interest anytime the homeowner fails to make a payment. If the homeowner continues to fail on the payments, the winning bidder will then be permitted to take over the home and the title. Either by profiting on the interest or by receiving the title to the home, the lender wins both ways.

Even more, the lender can sell the property after obtaining the title. Imagine how much money they can profit from doing that! It’s always best for the owner to keep up with all mortgage and tax payments, but sometimes financial problems can prevent that. Since we’re still going through an economic collapse, the odds are more often than not AGAINST the struggling homeowner.

A tax deed sale is different then a tax lien sale. The main detail the two hold in common is that they’re both sold at local municipal government auctions. At a tax deed sale the municipality sells the actual property with title, with the top bid winning the rights to the property immediately. The current homeowners do not have an option to pay a new lender in an effort to maintain the property. Any outstanding liens and or penalities may or may not have to be honored as declared by the local or state governments. You can find which is the case beforehand by contacting these offices toavoid encountering any unexpected costs.

Obviously, there are great opportunities for profit at government auctions, whether by earning money through tax lien sales or tax deed sales. Those who are business savvy can earn all kinds of money by either charging the homeowners high interest, or simply obtaining the home and reselling it for a nice profit.

When it comes to real estate property you must know how to keep good records and managing your rental property at all times. If you purchase one property, you might be able to get by with stuffing receipts and cancelled checks in a shoe box, but if you own multiple properties, you’ll need a better way to organize your finances or you will lost a lot of accounting.

No matter how little money you earn through rental income, you need to keep track of it for tax purposes. If you have only a handful of rental properties, you could probably track your rental income using a computer program.

If you have an abundance of properties, you’ll probably be better off hiring an accountant. An accountant can not only free your time but also advise you on the best way to save on taxes and keep track of rental expenses.

Create a rent roll, listing the name of each tenant, the amount of rent paid , and the date when it was received. A rent roll enables you to keep track of your monthly rental income.

Set up a folder for each rental apartment or house you own. In this folder, put leases, correspondence with your tenants, and a maintenance log that shows when repairs were made, how much they cost, and when they were completed.

By keeping such a file, you can quickly track down all paperwork as evidence in case you need to settle a dispute in court between you and a tenant.

Set up a separate checking account strictly related to your rental properties. When you receive your rental checks, deposit them in this checking account. When you pay the repair or maintenance bills related to the rental property, write a check from your rental checking account.

Now when you pay yourself, write a check to yourself from this checking account. By using a separate checking account, you can easily track the cash coming in and expenses coming out. Then you can see how much money you’re making from your rental property. A separate checking account tracks your income and expenses for tax purposes.

Many prospective homebuyers are waking up to the fact that due to the mortgage collapse during the fall of 2008, getting a real estate mortgage has become much harder. Traditional banks have put the brakes on lending and are only giving real estate mortgages to people who have high credit scores and substantial down payments. Even then, banks are requiring a lot more from people, such as proof of job security which can put a damper on any real estate mortgage application.

The best way you can find a real estate mortgage in today’s economic climate is to try and tap as many resources available as possible when you are searching for financing. While traditional banks may be holding off on approving mortgages, other financial institutions and even some government entities are still lending money to people to purchase homes provided they have a high credit score that is above 750 and can make a down payment that is at least 20%. People who can meet these parameters can get financing and take advantage of the lower housing prices out there.

Mortgage brokers may be the best resource to turn to when you are in the hunt for a real estate mortgage. They act as a conduit between you and the lenders and will try to match you up with lenders that will pre-approve you for a mortgage based on your personal financial information. They will also give you the choice between several different lenders so you can get competitive rates.

While traditional banks may be making it harder to get a real estate mortgage, other financial institutions such as mortgage companies and even some government agencies are willing to provide financing if your financial house is in order. This is why it is so important to obtain a copy of your credit report and know where you stand before you apply for financing. Sometimes credit reports contain errors which can be corrected and can improve your chances of getting approved.

In today’s economic environment, it’s a good idea to cast a wide net when looking for a real estate mortgage. While traditional banks may be more shy to provide you financing, savings and loans, mortgage companies and even stock brokerages may be able to provide you with the financing you need.

In today’s distressed real estate market, finding a real estate mortgage may seem like trying to find a needle in a haystack. The process of getting a real estate mortgage may be more daunting and time consuming, but there is still money out there for the right buyer.

Indianapolis real estate is a good thing to invest in as a place to live, but there are a few things to keep in mind. Indianapolis and the surrounding area isn’t easily prone to floods or forest fires, but there are other hazards that you should always think about getting protection from. Not all of them are obvious without having previously lived in the area. These are a few factors of the environment to think about when choosing a home in Indianapolis.

First off, you may want to consider finding a piece of Indianapolis real estate that offers something in the way of storm protection. Make sure your home has a strong roof and that your siding is securely fastened to the house, and make sure that if you do have any trees on your property that they are not sick, dead or brittle. Indiana is prone to some serious storms, and sometimes the homes in the area can’t stand up. Make sure you are protected.

Another good idea is to look into stocking up on supplies for the winter, because often, there are snowstorms. For houses that are connected to a power line that’s above the ground, it’s best to have a gas-powered generator if you live outside the city limits or in a low-income area. This is because many areas have been struck by ice storms that knock out power lines, and your house also should be insulated against cold during this season.

Third, the summers in Indiana can be particularly brutal from time to time. While not a constant, it pays to make sure your Indianapolis real estate is properly insulated against the heat as well as the cold. Make sure your home has the proper amount of insulation, and that you have working AC through the summer months.

During the spring season, it tends to rain hard and often. This causes the possibility of flooding. Normally, these floods hit the southern and northwestern parts of the city, so look at the roads as well to be sure they aren’t going to flood and make you unable to leave your home to go to work or anything.

If there is a basement with your home, check the windows to make sure they are secure. This is important for the summer and fall seasons to prevent the infestation of bugs. In Central Indiana, you will find a high concentration of bug infestations. They come out in droves right before the frost hits. Make sure to have your home sealed properly to prevent this.

Honestly, the problems described here aren’t just for Indianapolis real estate, but for any homeowner looking to purchase property in the Midwest. You have to keep in mind that this is a volatile region, and that the weather can shift often. No matter where you chose to live, the weather will do things you don’t enjoy, but if you prepare and do your homework, you can be ready for anything central Indiana is prepared to throw at you.

When one thinks of Alaska, a picture of freezing temperatures and barren space may come to mind, however, the reality is that Alaska has some of the most magnificent representations of nature. Alaska is by no means the backward and desolate state many may picture, as in the last few decades it’s infrastructure and industry has flourished while Alaska real estate has become more desirable.

Alaska became the 49th state of the United States in 1959, yet the history of Alaska as a territory of the USA started a few years after the civil war. Alaska was purchased from the Russian Empire for about $7.2 million dollars, this made the Alaska real estate valuation about 2 cents an acre. Today, that price has steadily risen as much of Alaska real estate is highly prized for its majestic scenery and serene surroundings.

Although the perception that Alaska is mainly cold, the summers can have temperatures reaching into the 90sF especially in more populous areas such as Fairbanks. Areas in the central and extreme north which are largely unpopulated and undeveloped receive the coldest temperatures.

Commerce in Alaska has also encouraged development and made Alaska real estate more desirable in the last 5 years. Wal-Mart, Costco, Sam’s Club and other big-box retailers have opened for business in Alaska. The Internet has also proved to be an economic stimulus, as Alaskan consumers are able to order products from all over the world.

The desire for Alaska real estate goes beyond the natural beauty and often seen wildlife, as sportsmen look to Alaska for hunting and fishing adventures. An abundant amount of real estate agents are at the ready to supply these sportsmen with cabins, lodging or hunting properties to engage in their recreational sport. The US Bureau of Land Management maintains more than 3 million acres of Alaska real estate for use by the public.

Aside from being a sportsman’s paradise, Alaska boasts a state park system larger than any other in the United States, making camping and wilderness exploration an ideal recreation. Other recreational opportunities that are plentiful throughout the state are the various snow-related activities. One more prevalent activity is to see the amazing ocean-view sights from an Alaskan cruise ship. Mostly a tourist attraction, it also makes a nice mini-vacation for residents.

Whether you seek a vacation home or a permanent place to settle, Alaska real estate offers advantages not seen in many of the lower 48 states. The tranquility in nature combined with the fact that most of Alaska is as advanced as any other location in the USA, settling and exploring this implicitly undiscovered region may open your eyes to great possibility.

Is it possible to buy a home with a bankruptcy? Are you considering filing?

If you are in a position where you are thinking of filing bankruptcy but want to eventually buy a house, it is possible! Although a bankruptcy will reduce your credit score by 200+ points, the damage is not ever lasting.

After your bankruptcy you’ll want to focus on achieving a perfect payment history with three or more credit references. Additionally, you will typically need to wait two years from the discharge or dismissal of the bankruptcy in order to be considered for a mortgage loan.

It always helps to get letters from anyone with whom you’ve been paying bills on time with (telephone, or other utilities and insurance providers, for example). You will never have too many good reports of your improved financial responsibility, especially after a bankruptcy.

It is a great idea to keep your current job, and ideally the same job from the time of your bankruptcy. Remember, you are trying to prove your consistency and reliability as much as possible.

As your credit lines start coming back, be careful not to use too much of what is available. Keeping the charges you make low will be a beneficial signal to lenders that you are serious.

One warning I always stress to people is to make sure whatever was causing the problems which led you to consider filing bankruptcy, in the first place, has been fully resolved.

Bankruptcy is a serious undertaking. You will be closing the doors on virtually any credit for a time, not to mention the mark it leaves will remain on your credit report for 10 years. Recurring financial problems become much more difficult to deal with once you’ve filed bankruptcy in the past.

Once you have made all the appropriate post-bankruptcy steps then you are ready to start your search, keep the following tips in mind.

Be very skeptical of sub-prime lenders that will charge insane amounts for processing fees, pre-payment and other fees. Most of the time I say, if it sounds excessive or unfair, it probably is.

Make sure you obtain 3 or more quotes from different lenders. This helps flush out the best deal.

Do not get frustrated, get creative! If you still need extra cash for a down payment, consider borrowing it form a friend or relative. After closing, you can often apply for a second or third mortgage up to the value of the house to repay. (Make sure to discuss any creative ideas with your lender)

First-time-buyers. Often there are sate-operated first-time buyers programs which can help you get started. A quick internet search can work wonders.

Make sure you have researched all other possibilities short of bankruptcy before you take this step. Having creditors bugging you every day can intensify problems that you might usually handle without considering a major bail-out.

In summary, review your credit report for mistakes and opportunities. Negotiating toward a clean financial history has helped many from filing for bankruptcy. Whatever your choice, make a move today ” you will be so happy you did!

Purchasing a new home requires that you think about a few things before you actually complete the sale. In the Indianapolis real estate market, for instance, you’ll need to be able to buy cheap and quality carpeting for your home. Many of the homes in this area are carpeted and padded. It’s important to know the quality of the preexisting carpet and whether it’s old or new. Also, look for any wear and problems that the carpeting might have.

In the city of Indianapolis, it is very humid in the summer. In the winter, the city can be snowy and rough to navigate. In most homes in the Indianapolis real estate market, the carpets have had their share of lots of foot traffic. The wear and tear in the carpet is usually found in the main areas such as near the doors, the kitchen or the stairwell. With this much activity, the carpet probably has a lot of worn fibers. Within a year or so, you may be looking at replacing it.

Also, people tend to spill drinks on carpet rather often, especially if their family included children. Because of this, some Indianapolis real estate agents might advise you to use a strong stain remover such as Scotchguard to also keep the fabric of the carpet from damage. However, these kinds of remedies only last for a short time, usually up to a few months. After this, spills can damage the carpet again.

Here’s another concern; if there are any stains visible while you are looking at the home, rest assured they aren’t coming out. No home seller in the Indianapolis real estate market would show you stained carpets unless they had tried everything humanly possible to remove the stain ahead of time. You may be getting a very clean, yet very discolored, section of rug.

When you look at carpet and see stains, some of them are deeper than what they appear to be on the surface. When you’re looking to purchase Indianapolis real estate, you shouldn’t have to concern yourself with shopping for carpet padding. However, it is something that you should consider when you are looking to purchase a home. You should look at if the stain was cleaned thoroughly and how long it had been there before it was worked on. If the padding shows to be damaged, you will have to get new padding and carpet.

Another thing with padding is that it can be detached from the floor in the home. With Indianapolis real estate, there are some pieces of carpet that are squishier than others. This is because the carpet is detached and has become more spongy. When this happens, moisture and liquid can set in. It can also pose problems for the wood that is underneath the padding as well as the padding itself.

Carpets are so important when it comes to choosing the ideal piece of Indianapolis real estate, but so many times they are overlooked. Make sure that before you purchase your home that your carpets have been inspected, and if possible, try to work a full steam cleaning into the housing deal. It’s relatively cheap, and if there isn’t any furniture in the way it can prove to be a quick yet needed service for your new home.

When your appraiser comes to do his/her physical incpection, it is important that you have things ready. If you have some important items ready for the appraiser it will make his job much easier.

All items might not be available in all cases, but those that are available will be extremely helpful to your appraiser.

These items that you should look for are: Mortgage Survey which is a small piece of paper with a drawing of the lot with the building outline. This document is usually prepared by a surveyor and has his stamp on it. The information on this document includes the specific measurements of improvements and lot, the legal description and the flood zone specifics.

Any previous appraisal for some physical characteristics information. If the dwelling is newer, any floor plan drawings (blueprints) is extremely helpful to the appraiser.

List your recent improvements, date and cost. These will be helpful to itemize those items that have been upgraded and modernized. If you have a recent home inspection report, that would also be very helpful.

Any easements which the property has like shared driveways, etc. should be presented to the appraiser.

The appraiser can get the specifics of the property detailed much more accurately if you present the suggested items at time of inspection.

Marten W. Davis, SRPA

Washington Avenue is a remarkable and historic avenue in St. Louis. It has many terrific attractions and sights. At the turn of the 20th century, Washington Avenue used to be a breathtaking canyon of rich brick buildings with unparalleled architectural beauty. Manufacturers of shoes, clothing, and fashion practiced their trade here.

This was a booming time for these manufacturers, and their goods were in high demand as St. Louis and the nation were expanding and prospering at an unrivaled speed. The sidewalks of Washington Avenue were the picture of a booming metropolis where people strolled along in their stunning turn of the century hats and parasols and bustles, window shopping for the smart and innovative goods of the day.

It was home to the prominent garment district that gains attention in every city. The printing industry began to flourish as well. In general, Washington Avenue was swiftly becoming a hot spot in St. Louis.

At this time, Washington Avenue has been converted into a great phenomenon. It has been reignited with new life and is a terrific neighborhood with residential lofts, galleries, nightclubs and various attractions that appeal to a vast demographic of youth and families. It’s quickly becoming a St. Louis hot venue with wonderful architecture and business.

Just as a great boom happened on Washington Avenue at the turn of the 20th century, the second boom began at the turn of the 21st century. Plans were set in motion following the Washington Avenue Streetscape Project. Funding was provided in the form of $4 million from the U.S. Dept. of Housing and Urban Development, and $13 million from the Missouri Dept. of Transportation enhancement program.

Included improvements from the design plans by the Washington Avenue Streetscape Project were to the lighting, a plaza, trees, and wider sidewalks. These revivals included parts of Washington Avenue from Tucker to 18th Street. Thanks to these improvements, Washington Avenue has become a wonderful place to shop and get together with friends. Retailers and restaurants are taking in more income than ever, as people are frequent their businesses more often.

New businesses are looking to buy shop space in this area of St. Louis, seeing the great potential for income and expansion of their businesses. People enjoy the updated streets and fun architecture that beckons back to another time in St. Louis history. Take for example old buildings like P.T. Barnett’s Spanish mission style building on 3207 Washington Ave. That’s just another great model for places in St. Louis where the old perfectly intertwines with the new, creating fresh ideas for business and expansion.

As you can see, the time to live and work on Washington Avenue is now! Families, businesses, and individuals are all seeing the great possibilities St. Louis has to offer. You should also do the same. If you are a small business owner or are just looking for the next hip place to live in St. Louis, check out Washington Ave.