Misc News

The son of the desert is knowing where the water is and not telling anyone.

" All you have shall some day be giver; therefore give now, that the season of giving may be yours and not your inheritors."
Kahil Gibran

Money makes a good servant but a bad master

When renting property it is not a democracy in action. It's a business. You're the CEO and the tenant is more like an employee.It's important to strike the right tone in your relationshp with a tenant. You can't be architrary or dictational. Yet you can't be a wimp either. You have to be in charge. It's your property, and how you handle the tenant will largely determine what happens to it.

When your a landlord you're in a much more financially demanding position than the tenant. As the landlord, you own the property. You stand to reap all the profits if values go up and to lose a significant amount of money it they go down. You also have all th eresponsibilities of paying the taxes, insurance, and mortgage as well as paying for repairs. The tenant has none of those responsibilities. He or she only has to get the rent in on time and keep the place reasonably clean. Because of the different responsibilities, you can never be on the same level as the tenant.

If things become impossible it's time to do the improbable. And that's to get someone else to handle the financing for you. In most cases, that's the seller

If you plan to occupy the property,you get a lower down payment, a lower interest rate, and easier income qualifying. That's a big incentive to move in. So why not? I've known many investors who over the years have moved regularlly from one property to another. They buy, move in, live there for a while, and then convert to a rental.

When buying residential property,some investors will claim that they intend to live in the property in order to get slightly lower interest rate and significantly lower down payment offered to owner-occupants. Be forewarned, however, that almost all institutional mortgages are government insured, guaranteed, or repurchased. All of which means that if your're caught, you'll have to answer to the Treasury Department.

This is the best most encouraging effort Dean has done yet. I can tell Dean is really on fire. I cannot express how much I appreciate his concern and his efforts to help all of us. So many on the call tonight and I can tell that many are very very excited. I can't wait to meet some of these folks and I am sure going to be at The Edge 2010.

Tim

Hi All,
There's a lot of buzz about Short Sale fraud. After searching for what's going on, I couldn't find a good answer. So, what I did was ask the experts. After a few Emails, it boils down to this. If you are not upfront with the banks on how much is made on the sale and you get caught, the federal charges will be, stealing from both the BANK and the seller. Now that's Federal time, not state. The link below is for Fannie Mae, which will help those doing Short Sales.
Happy Hunting
charlie-d

https://www.efanniemae.com/utility/legal/pdf/fraudnews/mortgagefraudnews...