Tag Archive for: investors

No, FHA Is NOT The New Subprime; Foreclosures Aren’t Surging; Immigrants Did Not Dominate FHA

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I frequently see posts about FHA becoming America’s new subprime crisis waiting to happen, particularly regarding down payment assistance loans that allow borrowers to buy a house with very little money out of pocket. So, while I do love the focus on borrowers with no skin in the game, as that was a major cause of the 2008 crisis, the math doesn’t support the doom and gloom.Read More

Hoovering Up Sunbelt Rental Properties With DSCR Loans; Bucking The Narrative

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George Gammon got very rich by buying up rental properties in droves in 2012. He loves telling the story because it so nicely illuminates “contrarian investing.” EVERYONE was telling him not to buy real estate because of the 2008 crash; it scarred everyone, and the broader narrative was that real estate was a dead asset.Read More

The Huge Problem With Boomers; The #1 Reason To Buy A Home!

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In the 1960s, over 50% of America’s 30-year-olds were both married and homeowners. That percentage is down to 12% today.Read More

Greed Can Be Very Costly! Facing Reality; Powell Signals A Rate Cut

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My son’s former landlord is out $50,000 – for not facing reality.Read More

Mortgage Concepts Every Agent Should Know

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Investors that buy loans subject mortgage banks and loan officers to “early payoff penalties.”Read More

Shockingly Large Percentage of People LIE About Owner Occupancy

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Whenever the real estate market gets hot, investors clamor into the market – further driving up prices. We saw this play out in spades over the last five years, when Wall Street jumped into the game, and when social media influencers and the “how-to-get-rich-in-real-estate” bros started to brag about their dubious gains and sell dubious courses with a fervor not seen since 2006.Read More

Blame Mortgage Banks For High Rates! The One Thing That Makes The Fed Cut Rates

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The Fed looks at many factors when deciding to cut rates, including inflation rates, GDP projections, consumer sentiment, manufacturing output, retail sales, and more. But there is one thing that […]Read More

Hedge Fund Real Estate Investors Are DESTROYING The Residential Real Estate Market! (or not…)

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Americans love to hate on “BIG!” Big tobacco, big pharma, big oil, big food, and my own personal bête noire – “big bank!” These guys use their political clout and capital to crowd out the little guys with sheer muscle and regulatory capture – where they push for regulations that they can afford to comply with, but the little guys can’t.Read More

Declining Markets Force Banks To Increase Down Payment Requirements; What To Do?

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In January, I blogged about appraisers checking “The Dreaded Declining Markets” box on appraisals. I highly recommend re-reading that blog, as the issue is much more prominent now – particularly […]Read More

Who Buys Loans From Mortgage Banks; How It Works & Why It Matters

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Most mortgages in America are funded by “mortgage banks” – which are entities that solely originate, underwrite, and fund mortgages; they do not hold deposits or do any of the […]Read More

Getting Rich From Dry Powder (Cash On Hand)

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You don’t need to be a wealthy investor to take advantage of massive opportunities in a down market. You just need to make sure you have some dry powder (cash on hand) – and be ready to take the plunge when opportunities arise.Read More

Competing Against “Losers” (Companies Willing & ABLE To Lose Millions Or Billions)

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Ken McElroy is one of America’s most prominent real estate investors. He runs a huge real estate fund, owns hundreds of millions worth of real estate himself, works with “Rich […]Read More

“Stips;” Loan Salability; Facing Huge Losses; And Why A Competitor Went To Bat For Us

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What is the scariest thing on the planet? For mortgage banks, it is an unsalable loan. Mortgage banks literally borrow money to fund mortgage loans – using what is called […]Read More

Biggest Increase in 3 Years; Unpredictability/Timing the Markets

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We are seeing the biggest rate increase in 3 years. Investors moved into stocks and out of bonds, and rates climbed. Trump’s promises to cut taxes, to increase government spending […]Read More