Real Estate Seminar Ripoff?

If you've ever been tempted to attend a free seminar on real estate investing, or felt attracted to a money-making course you see on some late night infomercial, this next story is for you. Part 2 of 2. (1:40)

Have you, or anyone you know, been taken in by something like this?  We'd love to hear about it.  Leave any comments you'd like to make about the video by using the "Comments" link below.

Home Builders Blaming the Media

According to new figures released recently, U.S. home builders remained pessimistic in November and are now beginning to blame the news media for their woes, worried that the national media's tendancy to report negative housing stories as if there is one real estate market, when, in fact, there is no such thing.

All housing markets are local, and our personal opinion is, builders blaming the media for their low numbers is a bunch of bunk.

What do you think?  We'd love to hear your opinion on this.  Click the comment link below and sound off.

Common Mistakes Made by Unprepared Home Buyers

An unprepared home buyer always makes the same mistakes when looking for real estate.  Here are the five most common mistakes you should avoid at all costs.

• Not knowing exactly what you want - It's very important to define your goals before you begin looking.  Determine exactly what your goal is: how long are you planning to keep the property and how much would you want to gain afterwards.  You should also think through the common worst case scenarios and prepare a solid backup plan.
   
• Thinking in a hurry - If someone wants to sell you something suspiciously fast, it’s never a good idea to allow yourself to be pushed into a corner.  Making a large purchase like buying a house without doing all the necessary homework beforehand is just not smart.  Get yourself a good real estate agent who will agree to represent you as the homebuyer and make sure every agreement is written down.
   
• Quality over location - An older or inferior property located in a good neighborhood is usually better than a palace in the middle of nowhere.  This is a mistake a lot of home buyers make, when they don't do the research and end up with an expensive home in a bad location.
   
• Relying on one source - Never, ever rely on just one source of information.  Ask more real estate agents about their opinion, ask more home inspectors, lawyers and do your own research.
   
• Unclear legal status - Many people forget to actually check the legal status of the home properly.  Many things could resurface later when you've already paid.  Make sure you look into title insurance and talk to your lawyer.

These are just 5 starting point mistakes.  There are many others.  Contact us to avoid making any of them!

How to Read a Credit Report

If you have any questions or comments about credit reports or how to read them, leave us a comment below.

The Rate Freeze Idea - Give Us Your Opinion

If you haven't been keeping up with the news of late, you may not be aware of the new "Rate Freeze" idea that is being kicked around by the Hope Now Alliance, coalition of lenders, servicers, investors and community groups, put together by the Treasury Department.  Details of the plan have not been finalized, but in essence, it would freeze adjustable rate mortgages from taking a big jump at their next scheduled rate adjustment date, but only to those borrowers judged unable to make payments at the reset rates.

That would be determined based on a borrower's debt and income.  Borrowers for whom loans are unaffordable even at the initial rates would likely not qualify, as is the case in current programs already offered by some lenders.

We have an opinion on this "Rate Freeze" idea, but would love to hear yours.  Do you think this idea (if implemented) will really help anything here?  Do you think the idea is fair if someone is going to decide FOR YOU whether you can afford a higher payment or not in order to qualify for a freeze on your ARM?  We think it's a feeble effort with a band aid to fix a hemorrhage, but would love to hear what you think.  Leave us your comment below.