FHA Renovation Loans Offer a Great Way to Purchase Heavily Discounted HUD Homes

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One of the unfortunate outcomes of the economic downturn our nation faced during the time immediately following 2007 has been the number of homes with the mortgage going into default. Sadly, try as much as we did collectively as a nation to avoid this, for many homeowners this was an inevitable and very painful fact of life.

But as they say, “every cloud has a silver lining” and the opportunity that lies in these same homes is for first-time buyers to be able to afford much more house in much less money. Take HUD Homes. When a federally insured home is defaulted on and repossessed by the government upon default, it will usually end up on a long list of available HUD homes.

As demonstrated in the video, all a prospective homebuyer needs to do is to visit www.HUDHomestore.com and start shopping. With weekly updates the inventory of these homes is fairly vast, providing a fair amount of selection in the same areas and same neighborhoods that you would find traditional MLS listings. As you browse through the properties you will find that each has a set of parameters, including the types of acceptable financing allowed on each property.

Keep in mind that there are many HUD homes that are insurable. In the example I pulled up to demonstrate the property was not insurable, therefore the only forms of financing available were either cash, conventional mortgage or a FHA 203k loan. Also called the “rehabilitation loan” the idea behind this type of financing is that the home being purchased will need some sort of rehabilitation or renovation. The government then insures one amount to cover the purchase price plus another additional amount that accommodates renovations/repairs that need to be done.

The beauty of this type of financing is that like any other FHA product you will only have to put down 3.5% on the loan and that includes the amount borrowed for rehabilitation too. There is one more aspect to HUD homes that many people don’t realize; these are usually open for owner occupants first before they open up to the remaining market. This gives you a much better chance at getting the property you want without having to compete with an investor that is out looking to get a great deal.

There is one small caveat to this unique type of home inventory – you must visit the property via an authorized HUD broker. Of course, Carbutti & Co. Realtors is a HUD broker and we have full access to HUD homes so all you have to do is give us a call or send us a quick email and we’ll get you right in to see the homes of your choosing. Also, in our extensive experience dealing with HUD homes, we are more than happy to answer any questions you may have about the home buying process with these properties. We look forward to hearing from you today!

Harness the Power of the Fall Season – List Your Home Now To Sell it Lightning Fast

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Many sellers are unsure whether or not to wait until next spring before listing their home. The confusion comes with a combination of age-old schools of thought that predict the spring season as being almost the only season for homes to sell successfully. Not true.

A lot of homeowners are under the impression that homes are not selling at all, whereas in our own experience, time and again we continue to see completely the opposite results. So much so, that we are defying the myths of never ending days on market statistics with many properties going under contract in approximately two weeks. Here’s why.

There are so many buyers in the marketplace right now that are eager to lock in the phenomenal interest rates and market conditions that continue to allow a very significant amount of buying power. The interesting thing is that while it is a strong buyers’ market in that sense, sellers are still enjoying an edge with the lower inventory that comes with it being this time of year.

Regardless of which side of the fence you are on, either way you look at it the market is strong. People are out there buying. If there are fewer homes available on the market, then that only means that there is less selling competition. This of course translates to top dollar and incredibly quick, hassle-free transactions in which everyone comes out a smiling winner.

So to answer one of the most frequently asked questions I am getting these days, it IS a great time to sell your home. Sure, you could wait till spring. But keep in mind that so will countless other sellers and by the time springtime blooms are back out, so will equally as many more “for sale” signs, competing with you.

By listing your home now, you can harness the power of the buyers that are striving to find that perfect property before the holidays kick in.

Contact us today if you’d like a custom, home valuation report detailing exactly what we expect your home will sell for in today’s marketplace. Our team looks forward to hearing from you and helping your real estate goals come to fruition.