Infinite Investment Realty

Foreclosure vs. Short Sale

2010-01-27T13:34:00.001-08:00

Foreclosure vs. Short Sale

2010-01-27T13:28:00.001-08:00

Homeowner Consequences

Santa Clara Housing Inventory Snapshot on December 28, 2009

2009-12-29T11:45:00.001-08:00

Housing Inventory Snapshot		December 28, 09
	Average List Price	Median List Price	Average Days On Market

Single Family under $1M	$588,521	$569,000	72
Single Family over $1M	$2,394,786	$1,699,000	110
Condo/Townhome under $600K	$356,759	$354,000	76
Condo/Townhome over $600K	$793,523	$725,000	93

Pleck's Auto Parts For Sale, San Jose, CA

2009-08-22T14:44:00.000-07:00

Business Opportunity to own an Auto Parts for Free. Considerable Goodwill Value is Free, just buy the wholesale inventory for $79000. Owner would like to retire after over 40 years in the business. Prime location on Keyes, this store has done no advertising or marketing, which could be a nice upside for new owner. Great opportunity to do Auto Parts business. Low rent, owner is also owned the building. The retail space can be used to configure for other businesses. Owner is motivated. Please contact listing Agent Alan Nguyen at 408-835-7743 or email me at alan@i2realty.com for more information.

Bulk REO Investment

2009-07-23T12:47:00.000-07:00

Amazing Bulk Investment

34 Single Family Resident in GA, F, IL, OH, MS, PA, and others for $215,000. That is correct, 34 homes for little over $200,000. This is a life time opportunity to own homes at an extremely low low price. Contact me for more information:

Alan Nguyen
Broker, Realtor, Investor
(408) 835-7743
alan@i2realty.com
www.i2realty.com

How to Finance a Bank Owned Property

2009-07-09T11:07:00.001-07:00

So you found a bank owned property and you want to finance it with a mortgage loan. Here is the dilemma. Bank owned properties typically need repairs, but sellers want to sell it as-is offer. Meanwhile, your lender wants you to make repairs before they will approve the loan. So what can you do?

Add repair costs into your offer. Ask your lender what items would require to fix so you could get an estimate the cost of repairs. Once you have an estimate, add it to your offer price, then ask the seller to credit you for repairs.

It's essential to ask these consessions at the beginning. Once you have presented the offer, it is impossible to ask for addition consessions. If you make it simple to the seller, it is easier they will entertain your offer.

The Buyer's Market: It's over in San Jose

2009-05-05T15:27:00.000-07:00

The media has been telling us it is a buyer market for some time. The real estate community talks about it too. Everyone seems to believe it.

I think the Buyer's Market is over!

A buyer's maket makes buyers to believe that they are in the driver's seat, calling all the shots, and can get homes for 10% or 20% off the market value. No more.

Last Friday, I put in an offer of $400,000 for my client on a traditional listed home for $389,900. It was listed for 4 days and sold for $425000. We now see many offers on bank owned properties. As someone with multiple buyers who have been this drill several times, and who are frustrated, and disappointed...is this a buyer's market? No, at least not in their minds.

"An article in the MercuryNews" can explain this point very well. My point is we need to trully understand our particular markets and individual niches so we do not mislead buyers making decisions based on misinformation.

Alum Rock Bank Owned Single Home for under $300,000

2009-04-22T19:21:00.000-07:00

Beautiful home in alum rock area, close to shopping, school, library. 3 bedrooms, 2 baths, 1283 sq ft, newly painted, granite counter tops, tiles flooring in the living room, family room and bathrooms. New carpet in all 3 bedrooms. Garage converted, permit unknown. Please contact me for more details.

Alan Nguyen

Infinite Investment Realty

408-835-7743

alan@i2realty.com

Urgent Housing Market News

2009-04-07T11:42:00.000-07:00

The first quarter of 2009 has come to an end and the low end of the real estate market is on fire. I had seen multiple offers on properties that are on the market for less than a week, and offers were a lot more than the asking prices. The median home and average home prices across the country have rising.

The shift in the real estate market has already begun. The buying trend is going to continue, as long as interest rates stay as low as they do. Here are what driving the housing markets:

Interest Rates are at 40 year lows
Fewer sellers are putting their homes for sale because they are modifying their home loan instead of selling
Majority of short sales have now become Bank Owned, which are much easier properties to purchase
New Administration is showing hope that a recovery is in sight

The housing statistic I have reviewed are showing that some part of the markets will not let prices go lower. Every time we have multiple offers, there are buyers left looking for something else to buy. Regardless of what people are saying, homes are selling in the bay area and we continue to see more demand than supply in the near future. Remember, for each rise in interest rate by 1%, your affordability drops by 10%.

Enjoy the rest of your weekend and if you know of a friend, co-worker or family member who really wants to buy a piece of property and needs some sound advice, let me know by calling me at 408-835-7743, or emailing me at alan@i2realty.com

San Jose 4plex Investment Property for $414,900

2009-04-02T19:58:00.000-07:00

Bank Owned. Nice rental property with 4 units, each unit comes with 2 beds, 1 bath, 1 parking space. This San Jose 4plex was achieving $4300 in rent per month in the past. This is a very good deal for an investor who can manage a 4plex well. It was sold in August of 2006 for $795,000. Get it half price, call me for more details.

Bank Owned REO Single Home in San Jose

2009-03-18T11:42:00.000-07:00

Warrington Ave at White, 3 bedrooms, 2 baths, 1180 sq ft, 5200 sq ft lot. New tiled flooring, large 2 car attached garage with storage space and updated kitchen carbinets. Great opportunity to own a single home in nice condition for $229,900!!

Let me know if you want to see any of these deals.

Well-Kept San Jose REO Condo for $139,000

2009-03-16T16:25:00.000-07:00

Well-Kept condo at Jackson and Mckee. 2 Bedrooms, 1 1/2 Baths, 1000 sq ft. in moving in condition. Good home for 1st time buyer or investor. Hurry, it won't last long!

Plan to Help 9 Million Homeowners

2009-03-11T16:35:00.000-07:00

Hi folks, I guess you probably heard the Obama administration's "Homeowner Affordability and Stability Plan" phan. Here the two major components to the program.

Refinance Program to assists those responsible homeowners who are current on their mortgage payments. You can refinance up to 105% of LTV (Loan to Value). Unfortunately this program will not help many people in my market, especially in the Bay Area, since values are down in half in the last 24 months. In San Jose the house is worth $400,000 and they owe $600,000+.
Modification Program to assist those homeowners who are already behind in their mortgage payments or are facing foreclosure. The loan can modify by:
- Reduce the Interest Rate
- Increase the length of the term period of the loan - Reduce the Principle Amount.

To see more details, "read this full guideline"

How to Determine Who Owns Your Mortgage

2009-03-10T14:21:00.000-07:00

When trying to contact your lender to work out a payment plan or some other deal, knowing who owns your mortgage can be very helpful. Unfortunately finding out is not as easy as it sounds since more often your mortgage lender is not the one who owns your mortgage. I have my mortgage with Wellsfargo bank, as it turned out, the record shows that Freddie Mac is the owner of my mortgage and Wellsfargo as an investor.

Chances are your loan is backed by either Fannie Mae or Feddie Mac. You can try the following links to check out if your loan is with these two agencies Fannie Mae's Weblink and Feddie Mac's Weblink. You can also call 1-800-7FANNIE and 1-800-FREDDIE.

If you have an FHA loan, contact FHA’s National Servicing Center to determine who owns your mortgage: (800) CALL- FHA or send an email to hsg-lossmit@hud.gov.

One of the most important steps to saving your home from foreclosure is to get in touch with your lender immediately. Better yet, hire a qualified attorney with experience in foreclosures and loan modifications to contact your lender on your behalf, so you have legal representation on your side.

San Jose Bank Owned 3 Bedrooms Condo for $139,000

2009-03-09T10:59:00.000-07:00

Nice location off Jackson and McKee, 3 bedrooms, 1.5 bathrooms, offered at $139,900. 1180 square feet of sunny space. Tile & carpet flooring. A little TLC and this will make a lovely dwelling. Low association fee of $215. Sold for $440,000 in May 2006! Great opportunity for a first time home buyer or investor, good deal that won't last. Call me for a tour!

Home Buyer $18,000 Tax Credit!

2009-03-04T14:00:00.000-08:00

Now is the time to buy a new house. The Biggest tax credits ever! This means you may be eligible for tax credits of up to $18,000! The $18,000 tax credit is a combination of up to $8,000 Federal tax credit for first time home buyer and up to $10,000 California Tax credit. Eligibility requirements and expiration dates are different for each program. Here are the break down of the Federal and Califonria Tax Credits:

$8,000 Federal Tax Credit for First Time Homebuyers

Tax credit is $8,000 or 10% of the purchase price, whichever less.
Your purchase first home is after January 1 and before December 1, 2009. First time buyer is defined as a buyer who has not owned a principal residence during the three-year period prior to the purchase.
Income qualification: the credit is based on your modified adjusted gross income (MAGI). The Federal tax credit is limited to individuals with annual incomes of $75,000 or $150,000 for joint filers. Partial credit reduces for MAGI above those limits and becomes unavailable for MAGI above $95,000 or $170,000 for int filers.

$10,000 California Tax Credit for buying New Homes in California

Tax Credit of $10,000, 5% of purchase price or $10,000, whichever is lower
Buyers will get $3,333 off their taxes starting in the year of purchase, and $3,333 in each of two years afterward
Buyer must live in the home for two years to receive the credit
The tax credit does not have to be repaid (unless buyer sells or rents out home before two years)
There is a $100 million limit statewide on this tax credit. First come, first served

The tax credit reduces your tax billl or increase your refund, dollar to dollar. It is fully refundable, meaning that the credit will be paid out to you, even if you owne no tax or the credit is more than the tax that you owe. There is no repayment requirement associated with this incentive if you reside in your home for at least three years.

I'm here to answer all of your questions, feel free to call me at 408-835-7743 or email me alan@i2realty.com

Santa Clara Property Assessment Review

2009-02-25T10:31:00.000-08:00

With the declined market in real estates, property tax assessment can be reviewed and adjusted accordingly. Proposition 8 in 1978 allows property owners to ask county assessors for a re-evaluation of their property value for tax purposes if they believe the market value has fallen.

Here's the Form you can use to fill out yourself, I can help you for FREE with recent sold homes pricing research in your area. Do not fall for scam that advertised to save you money on the property assessment for a fee. According to Santa Clara County Assessor Larry Stone, he said "These folks are very deceptive, there's no reason for anybody to pay for a service that the assessor provides for free."

Please contact me at alan@i2realty.com or at 408-835-7743 if you have any question.

Great Deal on this new San Jose home

2009-02-11T10:39:00.001-08:00

This new model home is for sale at $530,000, including $125,000 upgrades. Everything is included from furnitures, washer and dryer, refrigerator, air condition, to TV and decors. It's a fantastic deal, please call me for more detail. 408-835-7743

San Jose and Santa Clara Property Search

2009-02-06T14:39:00.000-08:00

Are you a Buyer looking for up to minute property listings? Try out my latest technology 'bird-eye" view of any property in San Jose city or Santa Clara County,MLS (Multiple Listing Service) for current property for sale listings HERE! The best part is that you do not need to login to search.

Better yet, FREE REO listings in Santa Clara County:
San Jose Bank Owned REO properties
Santa Clara Bank Owned REO properties
Milpitas Bank Owned REO properties
Sunnyvale Bank Owned REO properties
Campbell Bank Owned REO properties
Saratoga Bank Owned REO properties
Mountain View Bank Owned REO properties
Los Gatos Bank Owned REO properties

Contact Alan Nguyen, Infinite Investment Realty Broker by phone at
408-293-0139 (office), 408-835-7743 (cell), or alan@i2realty.com

Santa Clara Home (REO) Statistics

2009-02-04T14:16:00.000-08:00

Here's my Market Report for Santa Clara County as of 02/03/2009

There are currently 5699 Active Listings (single family homes, townhomes, and condos) in Santa Clara County, but 2805 are Bank Own (REO) and Short Sales. That is 49% Bank Owned/Short Sales.

There are currently 2224 homes that are in pending, but 1692 homes are Bank Owned (REO) and Short Sales. Therefore, 78% of the Pending homes are Bank Owned REOs or short sales.

The bank deals are the MARKET right now. That is why it's important for sellers to know so they will have to price closed to what the banks are selling or they will not attract buyers. Foreclosures are going to increase and values are going to continue to decline. Unless you absolutely need to sell your property DON'T. If you must sell, please call me.

If you are a buyer, you need to be buying. Prices are incredible awesome and mortgage rates are at low. If you are waiting for the bottom you may very miss it. The only way we will know we have hit bottom is when it is in our rear view mirror.

Real Estate Investors In The Declining Market

2009-01-29T11:53:00.000-08:00

In the declining market, cash is king. There are plenty of bargains available for investors whether they want to buy for rehab or to rent out or to live in. REO properties are selling for pennies on the dollar, typical REO is selling around 50% of the loan balance at the time of foreclosure and below market in comparison to current market values. As an investor, I think it's good to have a number of ways to make a deal work that others overlook. But even without much cash, there are investors who have been successful in using loan assumptions (yes, a "non-assumable" loan can be assumed in a distressed situation, you can sometimes negotiate things that they wouldn't normally do!), owner financing, loan wrap around, etc, but these each require special circumstances and hardwork to make it working for you.

Happy New Year, the Year of the Ox

2009-01-26T12:37:00.000-08:00

The year of the Ox came upon us today, I wish everyone has a joyous year with love, affection, and health. Ox represents Power, Strength, and Never Give-up. Chuc Mung Nam Moi - Kung Hei Fat Choi!!

Bank Owned Story Road Townhouse near Kelly Park

2009-01-23T12:46:00.000-08:00

Why rent when you can own?

The following Analysis is based on a Townhome I previewed earlier.

$139,000 is for a 2 Bedrooms and 1.5 Bath, it's in good living condition.
Assume the purchase price is $120,000
Downpayment (20%) is $24,000
1st Loan is $96,000
Payment at 5.25% is $530
Insurance Tax is $200
Total Payment is $730

Rental for 2Bedrooms is running around $1,200 to $1,600.
Not bad for first time buyer! If your interested in finding out more information regarding bank owned properties please contact me alan@i2realty.com

Bank Owned Downtown San Jose

2009-01-21T10:58:00.000-08:00

A real gem for fixer upper. 2 Bedrooms, 1 Bath, large backyard (5000sft lot size), great potential. The property is livable and was rented but needs a lot of work. Great location, easy access to major freeways, close to schools, parks and shopping's. Must See! List Price $185,000.

Real Estate Outlook under Obama Administration

2009-01-20T16:35:00.000-08:00

As Barack Obama became the 44th president this afternoon, we can expect major changes in the real estate market. The Obama administration wants to end the foreclosure epidemics through ambitious new programs designed to rework the terms of hundreds of thousands of mortgages that are now unaffordable. Versions of that program might include:

principal write-downs, outright reductions in home owners' mortgage balances, and guarantees to lenders in the event borrowers re-default.
immediate ban on foreclosure actions for three months, and is certain to enact bankruptcy reform legislation allowing judges to modify mortgage terms to forestall foreclosures.

If the new administration can successfully reduce the numbers of new foreclosures, there's an excellent chance that the current combination of low prices and record low mortgage rates can have the effect to increase new sales.

FHA Loans

2009-01-20T15:28:00.000-08:00

What Buyers Need to Know

Low Down Payment, 3.5% down payment
First timer status OR Income is not required for FHA 1st mortgage. No seller second or private institutional second is allowed unless the combined loan amounts and total Loan to Value is within FHA loan limits.
100% Gift is allowed for down payment and closing costs. 401K loans are not counted in qualifying; up to 50% can be borrowed from your own 401K (depends on your current employers).
Co-mortgagors can be added for qualifying strength, using blended ratios.
Automated approval process allows for flexibility in ratios: 31% housing debt, and 43% overall monthly debt to income ratios. However, FHA underwriter has the flexibility in exceeding those ratios.
Loan Amount Limits in Santa Clara County:
$625,500 for single resident
$800,775 for 2 units (duplex)
$967,950 for 3 units (triplex)
$1,202,925 for 4 units (four plex)
• One of the multiple units has to be owner occupied.

Combined with current low interest rates and declined home values, FHA offers an attractive financial tool for you to invest in your future and make your dream a reality. Please contact me at 408.835.7743 or alan@i2realty.com if you have questions regarding FHA loans.

Short Sale 104

2009-01-19T14:15:00.000-08:00

Short Sale Package to submit to the Lender

Authorization to release information
Fully signed purchase contract with addendums
Buyer's pre-approval certificate from Bank of America
A copy of the escrow deposit
Preliminary HUD 1
Current listing agreement with addendums
Listing history
MLS property print out
Property market analysis
Hardship letter
Seller's financial statement
Last 2 years tax returns
Last 2 bank statements
Last 2 paycheck stubs

Another helpful hint for you is to make sure and send in ALL documents at once. Even if you have already sent over a authorization to release info letter and the seller has sent the lender their financial statement, once you have a contract send in a COMPLETE package, even if some of the information has already been sent. Make sure to put your loan number on all pages. Your job is to make it as easy as possible for the lender to accept your contract. They are working 100s of files make yours one of the easy ones.

Short Sale 103

2009-01-17T17:05:00.001-08:00

Short Sales Negotiation Process

With the current real estate market, short sales are here to stay. Lenders WANT to do short sales. A successful short sale cuts losses and keeps the lender from owning a declining asset. Here're a few thoughts on taking control of the process situation from the get go.

With a short sale we are submitting CONTRACTS, not offers, to the lenders. We are not asking them to accept an offer, we are asking them to accept a "short" payoff so a contingency can be removed from the CONTRACT.
The lender is NOT a party to the Contract. The Lender do not control the purchase price and the commission. They control over how much they are willing to accept as a payoff. If the payoff is too high then a solution needs to be found. The solution may be to have the seller sign a promissory note, increase the purchase price or lower the expenses of the deal.
If the Lender asked the Seller to sign a promissory note to pay the difference in losses, an Agent can negotiate the amount of this note downward or to make it go away. The Lender always ask for a promissory note to be signed when the seller can afford to make payments.

Short Sale 102

2009-01-16T10:05:00.000-08:00

My clients and friends often ask me questions concerning about Short Sale and Forclosure so I thought it is time to clear some of the concerns regarding Short Sale and Forclosure.

1. What is my exposure for a deficiency judgement?
In other words, “can the Lender sue me and get judgment to collect for losses not paid off in the Short Sale or Foreclosure?" My understanding is that on a short sale if the lender agrees to take the amount offered then the seller shouldn't have to pay the difference. The Foreclosure is the one where the bank can come after you for the difference. Please consult with your legal expert.

2. How will my credit be affected?
In general terms, credit wise it is always better to do a short sale than a foreclosure. A short sale results in the mortgage actually being paid off, which reflects positively compared to a forclosure. A completed foreclosure will do much more damage and lower your credit score tremendously. Fannie Mae Announcement 08-16 states that it can affect your credit for 2 years after a short sale and 5 years after a foreclosure.

3. What are the Tax Ramifications?
According to the IRS, if you owe a debt to someone else and they cancel or forgive that debt, the canceled amount may be taxable. Fortunately, Mortgage Debt Relief Act of 2007 forgives home owners' debts who are short sale their PRIMARY residence. This Relief Act of 2007 applies to debt forgiven in calendar years 2007 through 2012 so you have plenty of time to take this tax relief advantage.

4. Do I need to miss a payment to start a Short Sale?
No, you do not need to miss a mortgage payment to start a Short Sale. You can work with a Broker to get a Short Sale Parkage and to list your house for sale.

Short Sale 101

2009-01-15T10:40:00.000-08:00

These days, you would have heard a lot about short sales or going short in the news media. But what is a Short Sale?

A Short Sale is when you need to sell your property but the amount owed exceeds the value of the property and you are asking your lender to accept a “short” payoff so you can sell and they can avoid the expense of a foreclosure.

For example: You bought your house in 2005. You paid $550,000. You carry a mortgage of $500,000. You can no longer afford to keep the house because of a legitimate hardship. You MUST sale or you will be foreclosed on.

The property is now only worth $400,000 (Market Value). Fortunately, you have a qualified Buyer willing to pay Market Value. After the expenses involved with selling the property there will only be $380,000 left over to pay the lender.

So you either have to bring $120,000 to closing or ask the lender to accept a “short” of $120,000 ($500,000-$380,000=$120,000). If the lender agrees, you have just completed a Short Sale.

In order to request a Short Sale from your Lender, you must have a hardship. A hardship is anything that makes it where you can not afford the payments on your house. A hardship may be the result of:

Divorce
Job loss
Reduced income
Disability
Military duty
Failed business

One of the key documents related to a short sale is the Hardship Letter. Whatever your hardship may be you will need to write a hand written letter telling your lender about it. This outline will help you prepare your hardship letter.

First Paragraph: Explain what you want.
We are requesting that you approve us for a short sale of our loan with your Company. We are no longer able to make the payments and have been trying hard to sell the property. We love our home but due to circumstances beyond our control we are no longer able to pay for it.
Second: Describe your hardship.
What led to your current financial problems and caused you to miss mortgage payments? What caused your hardship? Remember you are trying to get your Lender to accept a loss.
Third: What you have tried to overcome your hardship.
Have you been to counseling? Have you been job hunting? Are you cutting back on your expenses? Have you been making mortgage payments on your credit cards?
Finally: Provide your contact information.
Let them know they are free to contact you BUT you should ask them to contact your Broker. Sign and date the letter.

In the meantime, if you have a property that needs to be sold as a Short Sale, please contact me at 408-835-7743 or at alan@i2realty.com.