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More borrowers may have an easier time qualifying for a mortgage as banks begin to accept lower credit scores and smaller down payments, according to the latest data from mortgage tracker Ellie Mae. Banks Show Signs of Easing Lending Standards.
Hi everyone! We closed on 140 Meadow Road, Pasadena, Maryland on Tuesday afternoon and started demo bright and early Wednesday morning. Check out a few photo updates below. This project is a full gut rehab. We'll provide continuous updates on our progress. Check back with us soon! Cheers,
Magnolia Property Solutions
With rising heating bills expected this fall, more home buyers may be lured to energy-efficient home features, RISMedia reports.
Nearly nine out of ten home buyers say that heating and cooling costs were "somewhat important" or "very important" in choosing a home to purchase, according to the National Association of REALTORS latest profile of home buyers and sellers. Twenty-four percent of respondents also said energy-efficient appliances and lighting were important.
NAHB Says Housing Will Strengthen in 2014 Despite many headwinds, the housing recovery is expected to pick up in the next year.
"The cards are in play for a decent and fairly strong recovery in 2014 and particularly in 2015," says David Crowe, chief economist for the National Association of Home Builders. "From the standpoint of GDP growth, housing has been a plus, growing at two, three, and four times the rate of the rest of the economy in recent quarters."
One Major Threat to Housing Recovery Recedes. Shadow inventory—or pre-foreclosures—have dropped by more than a third since August of last year, Lenders Processing Services reports in the “first look” data from its August Mortgage Monitor. Shadow inventories have now fallen to its lowest point in four-and-a-half years.
Study: $50 More Per Square Foot for Homes Near Good Schools. Home buyers are willing to pay a premium in order to live in a top-ranked school district, a new study finds. They're forking over an average of $50 more per square foot for homes near top-notch schools, according to Redfin. The brokerage used MLS databases to calculate the median sales price and price per square foot of homes within school zones during the period of May 1 to July 31.
Mortgage rates inched lower this week, following the Federal Reserve’s recent announcement that it would delay tapering its bond buying program. Mortgage rates have climbed more than one percentage point since May when speculation began that the Fed would start winding down its $85 billion per month bond buying program, which had helped keep mortgage rates low.
http://realtormag.realtor.org/daily-news/2013/09/20/mortgage-rates-move-lower-fed-delays-taper
You will need to secure adequate house flipping insurance upon finding and purchasing a piece of property that you intend to rehab.
This is easier said than done in many cases as insurers are typically wary of insuring property that is vacant. And, since you’re in the market for a house to flip, chances are, your intended property is (or is soon going to be) just that – vacant.
The reason is that a vacant property attracts vandals, thieves, vagrants and assorted other miscreants. Any number of things can happen but the obvious reasons are vandalism and destruction of premises due to fire. Insurance companies simply don’t want the risk. But, like anything else in life, if the price is right, they’ll see that your property is insured.
So just know at the beginning that you will most likely have to pay more for for your house flipping insurance than you would for your personal dwelling (homeowner’s) insurance. Even if it’s in a “nice” neighborhood, that doesn’t mean you’ll have an easier time of obtaining coverage.
What To Do
The simplest way to insure your property is to obtain a builder’s risk insurance policy. This is made easy as it is precisely for property that is new construction or in the process of being remodeled. These types of policies typically cover damages or destruction resulting from fire, lightning, hail or wind storm, some sort of explosion, aircraft, motor vehicle, smoke, and vandalism. One thing to be aware of is that a builder’s risk policy does not cover liability, and should be purchased separately.
As for obtaining liability insurance, check with your insurance agent to see what your current homeowner’s policy has on it with regard to liability (limits and total coverage). You may ask your agent to attach a rider with your current policy to cover your new investment property as well. This is an excellent way to protect yourself during a temporary remodeling project.
Also, be sure to ask your agent how much your coverage for in the chance that someone (worker) would get hurt on your jobsite. It would be a good thing to know in advance should an unfortunate accident happen to somebody.
And… If you are going to assume the role of general contractor for your project, make sure that all of your sub contractors have proper insurance (worker’s comp insurance as well as liability) to cover themselves, and their workers (if any).
If you hired a workman with no insurance whatsoever and he is severely hurt on your job, you could be potentially liable.
Again, the smartest thing to do is check with your agent for all relevant house flipping insurance details.
MAGNOLIA PROPERTY SOLUTIONS, LLC [contact-form][contact-field label='Name' type='name' required='1'/][contact-field label='Email' type='email' required='1'/][contact-field label='Website' type='url'/][contact-field label='Comment' type='textarea' required='1'/][/contact-form]
For Immediate Release Silver Spring, Maryland
September 17, 2013
Magnolia Property Solutions, LLC (MPS) is a real estate investment company specializing in residential property wholesale and rehabilitation in select urban and suburban neighborhoods in Maryland, Washington D.C., Northern Virginia, Tampa, Florida, and Fayetteville, North Carolina. MPS’s business strategy is to purchase vacant, deteriorated or undervalued residential properties, renovate them to a highly desirable condition, and sell to retail or first time home buyers, landlords or investors.
The Private Placement Memorandum (PPM) allows investors to purchase shares in Magnolia Property Solutions Fund I, LLC for a predetermined share value. The funding will be used for the purchase and rehabilitation of targeted properties on a continual basis.
MPS’s goal is to acquire three to five homes per month at 30% - 50% below market value and then wholesale, renovate, or lease the properties. MPS utilizes strategic direct marketing to target motivated sellers and conducts focused analysis of each property to achieve an approximate total net profit of 20% per property. MPS ensures success by developing strong relationships with local contractors, Realtors, brokers, buyers, and sellers.
To learn more, please contact:
Adam Baughman
Managing Partner
Magnolia Property Solutions, LLC
(301) 971-4113
FHA mortgages are supposed to be a vanishing species but the use of such financing is actually on the rise despite higher costs and tougher terms. The latest figures from HUD show that so far this year the FHA has insured 1.06 million “forward” loans — a figure that compares with 850,000 mortgages during the same period in 2012. As to reverse loans, to this point just 44,282 have been originated versus 98,959 last year.
http://www.realtytrac.com/content/news-and-opinion/why-the-fha-should-be-opened-to-investors-7867
FHA, Fannie Mae, Freddie Mac, VA. Conforming, high-balance conventional, jumbo, super jumbo. The options for mortgages include a plethora of acronyms and jargon, with each choice representing its own set of trade-offs. How do you decide what is right for you?
August is typically one of the slower months in the D.C. area housing market, and last month was no exception. With Congress out of session and nearly everyone on vacation, few people were looking to buy or sell a house. Even though month-over-month numbers such as units sold, pending sales, active listings and new listings wilted in the August heat, there were still encouraging signs when looking at the year-over-year numbers, according to the latest data from RealEstate Business Intelligence. Except for active listings, all the other numbers showed increases from August 2012.
Property Address: 3429 Gables Drive, Fayetteville, NC 28311
Excellent opportunity for first time home buyer, rehabber, or addition to your rental portfolio. 3/2.5 located only 10 miles from Fort Bragg. House is in great condition. Upgrade/rehab to realize the home's full potential or purchase and hold for rental income as it is.
Home Inspection and Termite Inspection complete! This home will qualify for bank financing with minimal work. Instant equity!
ARV: $182,000
Estimate rent: $1,100 - $1,200
Estimate for upgrades/rehab: $15,000
Estimate for rental repairs: $2,000
Offered at $119,000
Visit our website and see "Buy" page for more information and photos.
www.magnoliapropertyllc.com
If you’re looking into real estate investments, you likely want to earn wealth on real estate based on risk you are taking, while minimizing the amount of time you need to spend attending to the property. In order to accomplish this, you need to make some smart choices upfront when buying investment property. Your goal should be to strive to get as close as possible on as many of these optimal scenarios as possible: http://www.forbes.com/sites/zillow/2013/05/21/three-things-that-make-a-great-real-estate-investment/
Everyone likes a discount but in the world of real estate discounts have become less common. Home prices have risen sharply in the past year but distressed sales continue to be available with significant write-offs. The catch is that distressed homes — foreclosures, short sales and REOs — are sometimes not in pristine condition. That’s a kind way of saying that some distressed properties need a lot of tender loving care as well as paint, updates and repairs. The general “rule” is the worse the condition of the property the bigger the discount, a rule which can mean huge savings for those who purchase with FHA 203(k) financing.
124 Meadow Drive, Pasadena, MD 21122
3/2 located in Riviera Beach across from large community park. 200m from water. Currently 2 bedrooms with a full bath upstairs, wall removed to make large master. Put wall back for 3rd bedroom. Additional full bathroom in basement; can easily add 4th bedroom. Large basement. Good hardwoods on main level. Fenced back yard. In great condition, just needs updating.
ARV: $271,000
Repairs: $40,000
Offered at $164,500
Visit our website and see "Properties For Sale" page for more information and photos: