Understanding How to Sell a Home with No Equity in Today’s Economy Provides a Valuable Service to Everyone.

Did You Know You Can Sell a Home with No or Negative Equity in Today’s Market?

Consider this scenario: You go to a real estate professional, you need to sell you house because the financial commitments are becoming too great amid this Global Financial Crisis. The only problem is you have none or negative equity in the property.  The market value is $185,000 and the mortgage note is $210,000.  If you sell conventionally, you would have to pay closing costs, and that would run them close to $10,000.  So now you have a debt of $35,000 instead of making a profit out of the asset you thought was a sure thing. The only winners here are the Banks and the Agents (both Real Estate and Lawyers). The difference between foreclosure and a successful sale is the knowledge of the Real Estate Professional (Not Agent).

How to Sell a Home with No Equity | The facts

If you ask a Real Estate Agent and the answer is ‘I don’t know’ or ‘I can’t sell this house’, then you are leaving of thousands of dollars on the table.  In fact, they are doing a major disservice to the industry and every homeowner because their lack of knowledge is leading to more foreclosures.  More foreclosures lead to lower median housing prices, which eats away at people’s equity, and leads to more upside down (negative equity) homeowners…in which they have no solution for.  It is our responsibility to be educated and understand how to sell a home with no equity.

Unemployment is high and will continue to rise, causing more distressed homeowners who need to sell to downsize their expenses.  Foreclosures are increasing, and will continue to do so until jobs are created again. Home values are dropping and are at their lowest levels in a long long time. The situation we are in now will be here for about 5 more years, maybe longer.  If you have not adopted your real estate strategy and got in touch with a real estate professional that knows how to sell a home with no equity, you will be taking on a debt you do not need too.

How to Sell a Home with No Equity | The solution

The solution on how to sell a home with no equity is to be able to create a real estate transaction that involves owner financing.  In addition to a large amount of distressed homeowners who want to sell but can’t lose ball that money, there are many motivated buyers who still want their piece of the Australian Dream and have money to put down on a house but can’t qualify for traditional financing with a bank or lending institution.

Selling a home with no equity provides a win to all parties involved, a homeowner can sell an ‘unsellable’ house instead of losing their home to foreclosure.  The banks win because they’ll continue to receive payments on their mortgage loan.  The new buyer wins because they are able to purchase a home they otherwise couldn’t qualify for through traditional means.  The neighbourhood wins because a distressed house was sold at below market value therefore keeping values high.

Who Do I See To Make This Happen NOW!

Understanding how to sell a home with no equity provides a valuable service to the entire economy and there are only a limited number of real estate professionals that can make this happen and we are one of them. If you find yourself or know someone in this situation then get in contact with us at We Buy Houses 4 Cash.

Just because your house is upside down doesn't mean you need to loose!

Wayne Moffat Earns Residence In The Ranks Of Stanford Who’s Who

We Buy Houses 4 Cash is a real estate investment company that buys houses in any condition for sensational rates. They provide service to home owners and mortgage financers across Australia. Wayne is responsible for managing all major aspects of the business as well as overseeing the daily operations. Mr. Moffat is a member of the Vendor Finance Association, Financial Ombudsman Association, and holds an Australian Credit Licence with the Australian Securities And Investment Commission.

To view more information on Wayne Moffat click here

To visit the We Buy Houses 4 Cash website click here

About Stanford Who’s Who
Stanford Who’s Who empowers executives, professionals and entrepreneurs around the world. Our mission is to recognize successful individuals in multiple industries by providing a forum for networking, consulting, exposure and credibility to broadening one’s future success. Realizing the power of forming business and professional relationships, we have created numerous resources that our members use for a multitude of reasons. With access to thousands of professional biographies of individuals in over 100 different industries, our members utilize our database to recruit others, to announce their career accomplishments, and for lasting, valuable relationships that extend beyond our membership program.

This press release was prepared and written by Michael Fairlie.

Wayne Moffat - Stanfords Who's Who

Rent To Buy : Get Advice

It has become known to us here at We Buy Houses 4 Cash that there are some people taking advantage of the We Buy Houses name. These people are not a part of our system and are in NO way associated with We Buy Houses 4 Cash or associates.

When buying or selling a property make sure you undertake every endeavour to get as much information as possible and get it backed up with advice from a solicitor. The safest way to ensure things go smoothly, make sure you use a licensed professional who has a National Credit Providers licence provided by ASIC, this will protect you from the scammers.

We Buy Houses 4 Cash is licensed with ASIC, is a full member of the Vendor Finance Association (VFA) and a full member of the Financial Ombudsman Service (FOS) so if you have any questions please feel free to get in contact with us.

This was published on a page of ‘In My Community’ recently.

12/May/2011

Comments:

SIGNS seen at intersections around Joondalup recently warn of a house-buying scam, which has not been reported to Consumer Protection.

The handwritten signs read “we buy houses is a scam”, but Consumer Protection commissioner Anne Driscoll said some “we buy houses” promotions related to Rent to Buy schemes.

“As with many other offers being made in the consumer marketplace, if it sounds too good to be true, it usually is,” Ms Driscoll said.

“Prospective purchasers should ensure that they get legal and financial advice before considering a Rent to Buy scheme to either sell or purchase a home.

“The legality of elements of Rent to Buy schemes is unclear and may depend on the specific arrangements for each scheme.”

We Buy Houses Scam Busted

Is Vendor Finance New, Or Is It A Sleeper?

Is Vendor Finance New, Or Is It A Sleeper?

Vendor finance is not new. It has been used for a very long time for the sale of real estate in Australia. But its popularity goes through cycles – there are times when it is very popular, and other times when it is hardly used.

Question – At what times is vendor finance popular?
Answer - When the banking system is rationing loans for homebuyers and investors.

Question – Does vendor finance work better at times where there are lots of properties on the market, and buyers are hard to find?
Answer – Yes. When everyone else is advertising real estate on price like motor vehicles For Sale $X – Make us an offer! And dropping the price to meet the market, vendor finance stands out because it is advertising on terms For sale on affordable terms to attract buyers who do not have a deposit or bank finance to pay for a property advertised at any price.

Allow me to give an example of a time when vendor finance was popular because bank credit was tight and home loans were hard to get –

>>  In the 1950s, 1960s and the early 1970s, the banks rationed home loans. This was the
process that homebuyers had to go through to own their own home at that time –

1. Buy the land from the subdivider using a terms contract, where they paid the subdivider for the land by price instalments over 2 to 5 years (reason? – banks did not lend for the purchase of housing land); and
2. Build the new home using loan funds provided by a bank secured by first mortgage over the land that they had paid off;or
3. Buy an existing home using a 20% deposit saved, borrowing bank funding/ life insurer funding/ credit union funding/ building society funding / private funding for up to 65% of the price, and borrowing another 15% from a finance company at an interest rate of up to 5% pa above the bank rate from companies such as ASL, CAGA, ESANDA, FCA, Custom Credit and IAC (because the maximum the banks would lend was 65%).

This changed when deregulation of the financial markets from the 1960s onwards led to the banks loosening their lending policies and becoming the dominant players in the residential lending market. This dominance by the banking system has continued until the present day.But clouds are forming which will affect this dominance and which are resulting already in a steady revival of vendor finance for real estate.

One cloud is the Basel II implementation in Australia of tighter financial controls for the banking system, resulting in less home loan money being available. Another cloud is that the wholesale lending market is not providing banks the cheap and easy funding that it provided before the GFC (the 2008 Global Financial Crisis) to make 95% of value loans any longer.

There is another reason why vendor finance is experiencing a revival which is that other sources of housing finance, namely the non-bank and low doc lenders which had a 20% share of new home loans have not made home loans since their securitised funding dried up with the GFC in mid 2008. Remember Bluestone, Pepper, Wizard Home Loans, Seiza, Challenger, GE Money and Liberty?

Need help with Vendor Finance? Give us a call at We Buy Houes 4 Cash for all your help. Remember we are licensed by ASIC and are here to help you put the pieces together.

Content care of Cordato Partners

Are looking to buy your own home in Australia?

Are looking to buy your own home in Australia? If you are then you may (or may not) also be aware of the trends and changes which are occurring that are affecting the real estate market within this great country.  The main problem is coming from the statistics of the current market showing buyers and sellers who can no longer afford traditional ways of buying homes.  The response is that many trends are now pointing to the Rent To Buy / Rent To Own arrangments.

The Rent To Own market is growing as a trend, first because of the unaffordable prices that are still high in the real estate market.  This began with an overnight shift in which house pricing moved upwards by 6% or more while the short sales and foreclosures began to boost the market, instead of traditional sales and needs.  With this response, was the need for individuals to find a different way to move through their needs of owning a home while creating alterations with the needs which were a part of the market.

The Rent To Own advantage is growing in popularity in the real estate market because of the economic turns and the amount of foreclosures which have occurred in the market.  With those who are buying traditionally, there are also specific parts of the economy that are sky rocketing above others.  According to the Performance Urban Planning, Australia has one of the highest costs in housing affordability and it is creating moderate to high numbers which most families can’t afford.  Affordable is at a rating of 3.0 or less while most Australian homes rank at 6.3, with Ireland following behind at 5.4

The dilemma which is growing within the Australian real estate market is one which is not only compounded of the problems with the current market.  Many people are finding the Rent To Own as the only way to work within a specific budget while assisting with lifestyle needs.

If you are living in Australia, seriously looking at the different alternatives with real estate can also determine the options within the market.  When looking at the Rent To Own it can be seen that this has emerged from the large amount of unaffordable homes as well as the economic crisis which Australia has gone through.  By considering this option to buy, you will also have the capacity of moving into a home without the complexities of raised prices and not having the necessary affordability of your property.

When looking at venturing into a Rent To Own arrangment make sure the person(s) you are dealing is qualified and carries the Naitional Credit Providers licence issued by ASIC such as We Buy Houses 4 Cash or Ownahome.

Fix Your Credit NOW! Australia’s Top Tips

There are several who are suffering from bad credit and which don’t have options for getting the financing that is needed.  If you are thinking of moving into a home, getting an extra loan or finding personal help, then you may have difficulties with the lending available.  Instead of continuing to wait for your credit rating to go up, you can find options to fix your credit so you get the best of financing for your home.  Following are the top three ways to prepare your finances.

1. Catch up with past payments.  If you have late payments or have past due notices, then you can fix your credit by paying off the outstanding balance.  Each payment that you make or miss goes into your credit standing.  By catching up or getting on a payment plan, you will easily be able to change your credit status.
2. Work into debt management.  Some of the outstanding loans that individuals have don’t allow them to work into paying off the loan.  Debt settlement plans or re-payment plans can be used to move your credit into good standing.  With this, you will be placed on a monthly plan for any credit that is outstanding past three months.  You can also settle for a lower price to pay off the amount owed.
3. Check your status.  There are other factors that change your credit.  If you want to repair your finances, then you will want to look at other options to fix your credit.  Making sure there are no false reports or unnecessary inquiries with your credit status ensures that you are able to move back into good standing while getting the points desired for your credit needs.

If you want to find a way to get in front and fix your credit, then you can start by looking at personalised  plans to change your status.  There are several alternatives that are available, all which can provide you with a different approach to getting into good standing and borrowing for a mortgage or a personal loan.

Get in touch with us and get started now at http://www.webuyhouses4cash.com.au/

Providing immediate peace of mind by offering creative real estate solutions for people with everyday real estate problems.

We Buy Houses Scam

Why is it that when someone comes up with a great way to help people out of a jam, others come along and turn it into a scam? The We Buy Houses scam has ruined a lot of lives directly and indirectly.

There are undoubtedly people who have set themselves up in the business of buying houses so they can prey on the weak or the desperate. Those who bully others into taking less than they should or talk them into selling without any advice have made it hard for legitimate operators to work. The We Buy Houses scam affects the sellers and the buyers, too.

There are many home owners who are struggling in today’s difficult economic climate. They face foreclosure or even bankruptcy. They NEED someone to buy their home quickly, for cash and with no fuss. What they don’t need is someone to push them over the financial edge by forcing them to accept a low price. They don’t need someone to make them sign over the deed to their home without discharging the mortgage, taking their only asset and leaving them with the debt they were trying to escape.

There are times when your best option is to sell. If your home is falling down and you can’t afford the repairs or you’ve inherited a home that you can’t afford to maintain, the logical thing to do is to sell up. As our baby boomers hit their senior years they will be looking for a change of lifestyle and will be choosing between the motor home and the retirement village. Retirement villages and nursing homes are very expensive and most people today have to sell their home so that they can buy in. There are lots of circumstances that make selling your home for cash the best option for you. The price that you get might be of less importance to you than the speed at which you can get your money.

If you have made that decision you need to know that you are not dealing with scammers.

Look for a We Buy Houses representative who is a member of legitimate associations such as the Vendor Finance Association, the Financial Ombudsman Service and who has an ASIC Australian Credit Licence. All of these associations are there for the protection of the consumer.

As with any sale, you are entitled to and should get legal advice before you commit to anything, either buying or selling. If you aren’t certain that what you are doing is the right thing for you, then you still have the option to walk away.

With We Buy Houses 4 Cash you will dealing with legitimate people with an excellent trading history and reputation and a part of all the above associations. We don’t bully you. If you want to walk away, you can. If you want to go ahead, we support you through the entire process. We don’t like being taken advantage of so we will never do it to you.

For more information on our service just visit the website at
www.webuyhouses4cash.com.au