Archive for September, 2012

Sep 22

When to Find Best Deals on Michigan Real Estate

Is there really a best time of the year to pick up better bargains on Michigan
real estate?

Absolutely!!

Local asking prices typically drop at a certain point in the year providing bigger
discounts for savvy home buyers on the hunt for good deals and for real estate
investors looking for properties to flip or convert into rentals. So when is it?

Spring and summer are traditionally considered the busiest and most active months for
real estate transactions nationwide, and we normally see a sizable rush between
school years. However, the weather is also a major factor in controlling
housing trends.

The south gets to see its annual invasion of snowbirds descending from November to
April, a migration which also often carries a large flock of home buyers with
it. Of course each year many Michiganders decide they are tired of the back and
forth and decide to sell their Michigan homes and never come back. This means
more sellers competing with each other and fewer buyers for them to fight over.

According to the National Association of Realtors this regularly results in home listing
prices dropping by an average of $7,000 to $20,000 between Labor Day and
October as sellers preempt this trend and try to snag buyers while they can.

Of course as we progress through the year we see more and more would be buyers
become distracted and caught up in holiday shopping and entertaining, while
sellers simultaneously become more desperate for cash and to cut deals. This
year, the desperation is likely to kick in even earlier than normal due to the
looming deadlines for short sales and tax penalties at the end of the year.

That makes this the perfect time for first time home buyers, move up buyers and
professional real estate investors to be scooping up deals on properties in
Romeo, Macomb County and Oakland County, MI.

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Sep 21

How to Beat the Competition to Better Deals on REOs

Real estate investors in many areas are reporting that
bidding wars over REOs are getting out of control but the savviest investors
are finding ways to leap frog the competition and find more profitable bargains
on distressed property and mortgage notes.

Where the Deals are

In some areas of the country investors are increasingly
complaining that the competition is pumping up the prices of REOs as large and
small investors battle over deals.

Going head to head for these homes does little good for
anyone involved. It wastes precious time and resources for those who lose and
those who win contracts often pay more than they hoped, diminishing returns.

However, there should be no need for this. Foreclosures
continue to surge by 20-30% or more in a number of states and while some
experts say shadow housing inventory is dropping Morgan Stanley analysts still
estimate almost 6 million off-market properties are lurking out there to be
slowly dripped onto the market.

It’s all about knowing how to get to these off-market
distressed properties and REOs and connecting with the right decision makers to
lock up their inventory before they put it up for bidding wars to the public.

The Secret for Tapping into Off-Market Deals

The most successful and profitable real estate investors
today are utilizing new software for identifying and honing in on the banks
which have this inventory to streamline their searches, maximize their time and
ROI and beat out their competitors.

Clearly this means less competition and less competition
means bigger discounts and spreads and higher returns as well as the luxury of
more time to complete due diligence.

BankProspector is one of the most respected software programs offering  fast                                and easy access to this data, including information for buying residential REOs,                         finding distressed multifamily properties, distressed commercial property notes                           and for direct contacts to those who can make deals on them.

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Sep 17

Can You Invest In Real Estate Without Title Insurance?

In some cases it is possible to purchase and invest in real estate without getting
title insurance but you can be sure you’ll regret it sooner or later, and the
consequences may be far more severe than you imagine…

If taking out a mortgage loan you will be required to have title insurance to
protect the lender’s interest. However, even in cases when not required
obtaining title insurance it is essential to protecting your investment and
financial solvency.

In past years and out of a growing pressure to act quickly to beat out the
competition and to ‘save money’ some have relied on title searches versus title
insurance. This is a huge and ruinous mistake.

Fast title searches for jumping on great real estate investment opportunities is a must but a search alone doesn’t guarantee anything and won’t insure you against any other claims to the property in the
future.

Since the recent robo-signing scandal and the foreclosure crisis all kinds of crazy
things have been done to complicate and cloud title deeds to homes. Without
proper due diligence there may be no telling who really has the right to sell
the home right now and who else has potential rights to it.

If you’ve been considering skimping on title insurance ask yourself how many
properties it will take for you to lose to lose an entire month or year’s worth
of profit or all of your working capital or to force you into bankruptcy? It
doesn’t matter if you are flipping 100 houses a year losing $100k, $200 or
$300k is going to hurt, if not at least sting a little.

Remember being unprotected doesn’t just mean you can be prevented from selling an
investment property or refinancing it, it can mean losing the property and
everything you put into it. Besides blood, sweat and tears this could easily be
tens of thousands in rehab costs and worse, you’ll still be on the hook to pay
any debts you have.

Plus, when these things go wrong it is notoriously always at a time when everything
else is going wrong too. If you were relying on the sale of that one property
to cover your overhead for the month or to keep on investing everything could
come to a grinding halt overnight.

Without title insurance and whether other claims are justified or not the legal battles
can be dragged on for years and eventually you could run out of cash to fight
or end up paying more in legal fees than the home was worth.

Getting title insurance doesn’t just help you ensure your holdings it also makes it a lot
easier to sell the property and cash in to actually realize those profits too.

Don’t get caught without title insurance!

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Sep 13

6 Low Cost Marketing Tips for MI Mortgage Brokers

As the Michigan real estate market continues  to improve, demand increases and hopes of an ease in access to credit rise mortgage pros are going to quickly see a surge in competition.

So whether launching a new mortgage startup, getting back into the lending business or looking for ways to make your
marketing budget go further for your established business what are some of the most effective yet affordable marketing options available to you?

1. Google Map Maker

Everyone knows Google Maps but few mortgage professionals and lenders are aware of the power of Map Maker for generating
business. Map Maker enables the public and loan officers to edit Google Maps themselves and tie in business locations with Google + Local.

2. Blog

Yes, blogs have been around for a while but they still remain the single most powerful tool for mortgage companies to improve SEO and attract business online.

3. Press Releases

You no longer have to suffer in envy while your competitors get their faces and brands in the news, even though they are offering inferior loan products, rates and advice. Now everyone can publish their own press releases online. Paid distribution sites like PRWeb can run a
couple hundred dollars and are well worth it but for those on a budget sites like OnlinePRNews.com allow free publishing and still rank great on Google.

4. Attend Networking Events

All Michigan mortgage brokers and loan officers should be out networking in person at least once or twice a week to maintain a steady stream of new contacts, referral sources and targeted leads.  This can include Realtor networking events, local real estate investor groups and the Chamber of Commerce.

5. Newsletters

Newsletters offer a versatile soft sale platform for constantly keeping at the top of customer’s minds, increasing perceived expertise and brand visibility. There are also many affordable options from email newsletters to collaborating with local Michigan title insurance companies and Realtors to reduce costs on printed newsletters or simply contributing content to others’ newsletters including community newsletters.

6. Collaborate with Your MI Title Company

The odds are your Michigan title insurance partner is interested in helping you with your marketing or already has leads to share with you. If they aren’t interested in collaborating and reciprocal marketing the chances are they giving them to your competition and perhaps you
should consider switching. Why not contact My Coordinator and find out how we can help?

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Sep 10

Investor Friendly Title Company In Michigan

Are you looking for an investor friendly title insurance company in Michigan?

Real estate investors face enough complications in flipping houses today without
hold ups when it comes to title. Unfortunately not all title insurance
companies in MI are investor friendly or experienced in or equipped for serving
their needs.

As a real estate investor, having the right title insurance agent on your side
makes all the difference in smooth transactions, closing on time and making the
money you hoped. It’s just as important as picking a lender and making the
right property picks.

So what are the most important things to look for in selecting an investor
friendly title agency?

7 criteria to search for:

1. Alert to Issues

The last thing you can afford is a title agency who doesn’t alert you to issues
fast enough or who only brings up deal killing or delaying issues the day
before or even of closing. It is critical that you are working with a team and
rep who knows what threats you need to know about and who will let you know as
soon as they are discovered so that you can work to fix them.

2. Double Closings

Double closings are critical for minimizing risks and expenses while maximizing
leverage and profits. Make sure your Michigan title company will facilitate
them.

3. Power of Attorney

As an investor the odds are you are constantly on the go and you don’t want to
have paperwork hold you back from getting onto the next deal or cramping your
lifestyle. Let’s face it, Michigan is a great place for flipping houses right
now but the weather isn’t always the greatest. An agency which will allow you
to close via P.O.A. can be a huge help.

4. Mobile/ After Hours Closings

The 9-5 and traveling to meetings is so 90’s. Demand a firm which can facilitate
mobile closings at your convenience.

5. Negotiation Assistance

Having access to affordable attorney’s services for negotiating and clearing liens and
the title to your real estate deals is essential to protect from losses and
increase profits.

6. Fast Title Searches

Fast title searches are essential for due diligence and keeping ahead of the
competition.

7. Investor Friendly

Besides just offering the basic services you need and understanding the challenges you
face and how you do business you want a title company who actually wants to
work with you and help you achieve your goals versus those who look down on
investors.

My Coordinator, LLC LOVES Investors!  Contact me to find out more!

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Sep 05

How to Choose the Best Title Insurance Company

How can you ensure you are getting the best title insurance company to assist you with your Michigan real estate transaction and is it really that important?

Selecting a great title insurance company is at least as essential as choosing a mortgage lender, Realtor or real estate agent. Your title company isn’t just critical for getting your transaction closed on-time, they are the ones holding and dispersing the money and the one who guarantees the title and your ownership rights.

So how can you ensure you are choosing the best Michigan title insurance company?

1. Search

Ask for referrals from other local real estate professionals and interview the title reps they refer you to in order to see who is the best fit.

2. Efficiency

You need an experienced title insurance agent, who is fast and is committed to alerting you to potential issues right away and proactive about helping you solve them.

3. Services

Do they offer all of the services you need? Beyond title searches and title insurance does this title company offer help with negotiating liens finding other owners who weren’t on the contract to ensure
the deal can close and if you are an investor assist with auxiliary services for ensuring the most profit, as well as mobile closings to allow you to close when and where it is convenient for you?

4. Customer Service

There are lots of promises and slick ads out there but what will instantly help you tell the difference between the good and the bad is if they treat you as a valued customer and how fast they respond.

5. Trust Worthy

You need a trustworthy Michigan title insurance agency that won’t just ensure you close on time but who makes sure you receive a clean title, all previous liens and claims are cleared and any escrowed items like property taxes are satisfied. Look for an agent with a good reputation who is involved in the community and a member of local organizations like the Chamber of Commerce.

My Coordinator LLC, recently announced the grand opening of its new title office at 228 N. Main Street, Romeo, MI 48065.

Give us a call today at 586-453-9260 to find out more about how we can help and you’ll instantly see the difference…

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Sep 05

Discover a New Real Estate Investment Niche

Looking for a profitable new real estate investing niche?

Michigan and Macomb County real estate in particular has become incredibly popular with real estate investors over the last year as well as with locals who have been rushing to scoop up affordable
homes while prices are low and mortgage rates are great.

However, while Michigan boasts some of the best real estate investing bargains in the country its popularity is also making it more difficult for those who desire a steady stream of deals, as we
saw with one investor scooping up all 650 properties up for auction in Macomb County last month.

In fact according to data from the county registrars’ offices for Macomb, Wayne and Oakland counties homes sales volume jumped up 13.2% in July compared to last year and the median home price rose a
whopping 16.8% too.

An area Re/Max real estate agent backed up these trends in an interview with the Detroit Free Press urging owners to list their homes as the demand has been so hot there are often 10 buyers for every
home that comes on the market.

So where’s the opportunity for real estate investors?

This high level of demand is great for those with inventory and who are focused on flipping houses, though it also means it can be tougher to find wholesale properties.

However, it is important to know that the majority of homes being sold in the last year have been in the under $50k bracket, with far fewer being sold in the over $500k range. However, emerging
industry trends and seasonal changes suggest this may be about to change, creating a great window of opportunity for savvy and fast thinking investors.

New Fannie Mae and Freddie Mac changes are quickly making it tougher and more expensive for lower end borrowers to get mortgages. However, the opposite is happening at the top end. In fact, jumbo
mortgages have been making a big come back and some say show a significant easing of credit as they are more profitable and desirable to make for lenders.

Between this making it easier to resell luxury homes and less competition for luxury properties in areas like Romeo, MI and as we approach year-end bonus time and interest rates threaten to rise further, this presents some great investment opportunities with big potential paydays. If you haven’t looked at just how much home buyers can get for their money in Romeo and haven’t been watching the trends in higher net worth individuals expanding into this area it might be time to take a look.

Found something you’re interested in? My Coordinator is here to help with your title needs and specializes in helping out of state and international investors with auxiliary services too.

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