Renovation Lending Institute Offers California “HUD” Property Listing Brokers “EFlyers” To Market Homes With Government Renovation Financing

31 03 2011




Proposed “20% Down Payment” Requirement For “Qualified Residential Mortgages” (QRM) By FDIC Will Make FHA Financing For First-Time Homebuyers The Only Potential Option

30 03 2011


  • The Federal Deposit Insurance Corp. said March 29, 2011 that a minimum 20 percent down payment is required for “qualified residential mortgages”
  • The National Association of Home Builders (NAHB) feels this will “disrupt” the housing market
  • Homebuyers without huge cash reserves – which constitutes most first-time home buyers and many middle-class households – might be blocked from a chance to buy a home
  • First-time home buyers historically average 40 percent of home-buying activity
  • An average family would take 12 years to amass a 20 percent down payment
  • Under the Dodd-Frank financial reform law passed last year, lenders are required to have “skin in the game” by retaining 5 percent of the credit risk of each loan that they sell into the secondary market
  • The law also called for federal banking regulators to establish rules for a qualified residential mortgage, or QRM
  • The Dodd-Frank law exempts FHA and VA loans from the risk retention requirement
  • Proposed risk retention rules will not apply to Fannie Mae and Freddie Mac while they remain in conservatorship
  • The Obama Administration has announced its intention to shrink FHA’s share of the marketplace, lower FHA and conventional conforming loan limits and further increase fees on FHA, Fannie Mae and Freddie Mac home loans
  • Borrowers who can’t afford to put 20 percent down on a home and who are unable to obtain FHA financing will be expected to pay a premium of two percentage points for a loan in the private market to offset the increased risk to lenders
  • Critics state that ultimately about 5 million potential home buyers could be eliminated
  • This could result in 250,000 fewer home sales and 50,000 fewer new homes being built per year

For more:

Percentage Of “Cash Buyers” For Existing Homes Has Doubled To 33% Latest Statistics Show As Investors Close Deals; FHA 203k Renovation Financing Can Increase Ability Of Homebuyers Looking To Purchase “Distressed” Properties

29 03 2011


  • A record 33 percent of existing-home sales were made to cash buyers in February 2011
  • An annualized rate of 4.88 million properties are projected  for 2011
  • Only 15 percent of the 4.82 million annualized sales in 2008 were cash sales
  • 50% of all purchases were cash in Miami, Las Vegas and Phoenix areas
  • Prices have plunged in those areas and bank-owned properties dominate the market because of high foreclosure rates
  • Cash buyers paid an average 36 percent less than distressed properties bought with a mortgage
  • Investors buy houses at a discount with cash and then flip them to first-time homebuyers using a mortgage
  • Lenders reject mortgage applications for foreclosed properties because the homes lack utilities  and are in poor condition
  • Empty nesters, or couples with children who have gone out on their own, often pay cash when they move to a smaller house

For more:

Boardwalk Properties In Long Beach, CA Markets REO Listing In Los Angeles Using “Electronic Property Listing Flyer” Featuring FHA 203k Renovation Financing From Skip Schenker Of iMortgage

28 03 2011

“What are you doing to attract owner-occupant buyers?  Your client wants to know…”

 Check this out…

  • Pre-Inspection for FHA repairs and bid available to qualified buyers by a licensed contractor.
  • Digitally Enhanced “After” photo to help the buyer visualize what the home “COULD” look like fixed up.
  • Professional Electronic flyer with embedded links to your website, Google map of property location, email you with the click of a button.
  • Thumbnail version available to be linked to your website, posted on the MLS or emailed to your farm.
  • Flyer will be posted on the national website
  • Will also be posted on active rain and numerous other blog sites.
  • Partnered with a skilled Renovation Loan officer who guarantees closing in 45 days or less.

 ALL THIS FOR THE LOW PRICE OF… $ FREE    (For the first 25 who respond by replying to this email)   Regular price is $107.00.  Call and ask about our volume discounts of 10 or more properties at a month. This is the cheapest and easiest way to show your clients what you are doing to attract “owner-occupant” buyers.  Get more accounts by using this unique “owner-occupied” marketing tool. 

800 385-3503

Skip Schenker Of The Renovation Lending Institute Talks About The Gradual Elimination Of 30-Year Fixed Rate Mortgages (Video)

28 03 2011


Skip Schenker of the Renovation Lending Institute and iMortgage talks about the future of the 30-year fixed rate mortgage. Within three years, with the phasing out of Fannie Mae and Freddie Mac, the 30-year loan may be replaced by Adjustable Rate Mortgages (ARMs). This is an additional reason to consider purchasing or refinancing now to lock in a low, long-term rate.

Housing Industry Must See Return Of “First-Time Homebuyers” And FHA Financing Including FHA 203k Renovation Loans Are Critical To Stabilization Of Neighborhoods And Home Prices

28 03 2011


  • The National Association of Realtors (NAR) reported that last month 34% of existing-home purchases were made by first-time buyers
  • First-time homebuyers were 29% of the market in January, the lowest since NAR surveys began in late 2008
  • First-time buyers make up 40% to 45% of all purchasers in “healthy markets”
  • By purchasing starter homes, they allow those sellers to buy more expensive homes
  • Low mortgage rates and falling prices in many markets have still produced weak existing-home sales
  • Existing home sales were down 2.8% in February 2011 from a year earlier
  • Federal tax credits boosted home sales in 2009 and 2010 and lured some first-time buyers into the market
  • Those credits expired in April 2010, and March 2010 saw 48% of buyers being first-timers
  • Tightened underwriting standards have eliminated many first-time buyers who can’t meet credit or employment history requirements in a still-weak economy
  • These higher credit standards are reflected in loans bought by government-backed mortgage giants Fannie Mae and Freddie Mac
  • In 2010 Freddie Mac’s portfolio had an average credit score of 758
  • That was up from 720 five years ago
  • Many lenders are also requiring higher down payments
  • The best terms kick in with 20% or more down
  • Higher down payments are making FHA loans the only loan available to first-time buyers
  • FHA requires as little as 3.5% down for borrowers with good credit scores
  • FHA loans were 19% of the home purchase market last year vs. 14% a decade before
  • Cash buyers accounted for a record 33% of existing-home sales and this has squeezed out some buyers
  • Sellers often prefer cash offers because they’re more likely to close and will choose those offers over FHA buyers

For more:

Remodeling And The Art Of Homeowner Happiness: “Be Careful What You Wish For In Home Improvements”

26 03 2011


  • Remodels must meet a household’s daily needs, not those of a magazine or TV show
  • How the family cooks, shops, eats, entertains and cleans up is critical to any successful remodel
  • High-maintenance materials will not work with a busy, hectic schedule
  • Select a kitchen layout and appliances that match your lifestyle
  • Remodels must incorporate the homes essential architecture and remail consistent with existing architecture
  • Flooring and cabinetry finishes must compliment existing materiaals and colors
  • Will a French country or Tuscan kitchen will look out of place with an existing California contemporary?
  • A renovation must not be in excess of the home’s true value
  • A renovation must be proportionate because a $100,000 kitchen won’t turn a $400,000 home into a $500,000 home
  • Overspending and over-improving a home can turn an exciting project into problem down the road

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