Bank of America to Resume Foreclosures

Bank of America, the country’s largest bank, announced Monday that it plans to resume foreclosures in 23 states.  This announcement comes less than a few weeks after the bank announced a halt on foreclosures in all 50 states. 

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Bank of America Stops All Foreclosure Sales

Bank of America is stopping foreclosure sales in all 50 states. While the foreclosure process for delinquent borrowers will continue, the process will not proceed to the judgment or foreclosure sale stage.

EPA Delays Enforcement of Lead Paint Rule (RRP Rule)

After intense pressure from businesses and trade groups, the EPA is delaying enforcement of the Lead Paint Rule (RRP Rule). A Wall Street Journal article on the subject mentions several important points including:

The EPA Lead Paint Rule (RRP Rule)…An Exemption for Real Estate Investors?

The EPA lead paint rule (RRP Rule) takes effect on April 22nd, 2010. The rule is causing a lot of concern among real estate investors, renovators, and contractors. Currently, the rule seeks to require contractors to get certified before engaging in any substantive work on lead-based paint. In addition to this, the expansive rule requires contractors to provide certain disclosures to owners and it mandates how renovations involving lead-based paint shall be handled.

Flipping Gaining Momentum in Florida

Time Magazine explores the changing Florida real estate market where flippers are making a re-entrance. However, the flippers now appear to be a more educated breed than the ones who made speculative bets when the housing market peaked.

Cleveland Real Estate Investors Capitalizing on REOs

The Cleveland Plain Dealer chronicles a group of Cleveland real estate investors with a “buy, fix, and hold” strategy.

Washington D.C. Real Estate Investors in Buying Frenzy

The Washington Post chronicles the frenzy-like buying activity taking place in D.C. The competitive “multiple offer situations” mimic the buying activity that took place in the pre-bubble years, only this time the prices are at steep discounts.

Luxury Estate Foreclosure Auctions

Looking for a bargain in the $1,000,000 or above price bracket? The Los Angeles Times examines a unique auction on a 13,500 square foot Tarzana, California mansion.

Flipping Properties in Philadelphia

Flippers are at work again in Philadelphia, scooping up bargains in high demand neighborhoods.

HUD Temporarily Suspends FHA 90 Day Flip Rule

HUD is temporarily suspending the FHA 90 Day Flip Rule for 1 year. The waiver takes effect February 1, 2010.

New HUD-1 Settlement Statement Unveiled

HUD has enveiled a new HUD-1 Settlement Statement. A few changes have been made to the form. The most important change is the addition of a section which compares the Good Faith Estimate to the HUD-1 charges. There is also a Truth in Lending section.

Florida Real Estate Investor Profiting from Bargains

The Sarasota Herald Tribune chronicles a local wholesaler who lines up profitable deals for rehabbers. It’s also a good example of why rehabbers benefit from working with wholesalers.

Investors Flipping Properties in Foreclosure Drenched Sunbelt

The Wall Street Journal takes a look at the auction-oriented flipping frenzy taking place in states like Arizona, California, Nevada, and Florida.

Vacant Property Registration Ordinances Gaining Steam Across Country

Across the country, cities are increasingly adopting ordinances requiring owners to register vacant, abandoned, and foreclosed properties. The fees for registering these properties range widely. However, in some cities the fees are as high as $6,500 per year.

New Face of Housing Downturn: Hollywood Stars

It looks like the housing downturn is also affecting the Hollywood elite . Nicolas Cage, after suffering financial problems and disputes with a former business manager, recently lost several homes to foreclosure.

Is there an FHA Bailout on the Horizon?

Is the FHA headed for a bailout? FHA heads say no, but many are concerned they are headed in that direction.

Fannie Mae Deed for Lease Program

Fannie Mae implements “Deed for Lease” program:

New Fannie Mae Offer Policy

Fannie Mae has a new offer policy for their properties. The following was provided by some of their REO Agents:

President Signs Tax Credit Bill into Law

The President signed a $24 billion economic stimulus bill into law today. The law includes an extension and expansion of the existing homebuyer tax credit.

Congress Extends and Expands Tax Credit

Congress passed a bill today extending and expanding the homebuyer tax credit. President Obama is expected to sign it tomorrow. First-time homebuyers will have until April 30th, 2010 to take advantage of the $8,000 tax credit.

Congress to Extend $8,000 Tax Credit

Congress is expected to extend the $8,000 federal tax credit which expires on November 30, 2009. The extension is reportedly an additional few months, no firm date has been set. The law is also expected to be revised so that buyers do not have to complete the sale by the deadline. Rather, they will only need to sign the purchase agreement before the new deadline.

Is the Second Wave of the Housing Crisis Looming?

Are we about to experience the second wave of the housing crisis? Click here to read an article by Anthony Mirhaydari, of MSN Money. He does an excellent job explaining the current surge in sales activity and suggests that despite this good news, the U.S. housing market may be headed for more trouble. He details four important factors that support this outlook:

Dealing with an Invalid Mechanic’s Lien

Every real estate investor who undertakes a renovation will eventually encounter a disgruntled contractor. This is the nature of the business. Of course, the dispute is always over how much money is due the contractor.

Dealing with the Fannie Mae Deed Restrictions

It’s important to know that if you come across Fannie Mae owned properties, the contracts they require buyers to use when purchasing them will contain a clause in which the buyer agrees to receive a deed containing a deed restriction.

Does a Contract for Deed Qualify for the $8,000 Federal Tax Credit?

As of 07/02/2009, the IRS has finally issued an official statement that addresses seller financing arrangements and the $8,000 federal tax credit.

If the buyer incurs the “benefits and burdens” of ownership of a residence, then the buyer can claim the credit even if the seller retains legal title. According to the IRS, factors that indicate whether the taxpayer has the benefits and burdens of ownership include:

Mortgage Payment Protection Insurance – Another Buyer Incentive

Real estate investors are able to offer a new incentive on top of the many others being pitched. If federal tax credits, seller paid closing costs, home warranties, and selling agent bonuses aren’t enough, now you can offer Mortgage Payment Protection Insurance to your buyers.

A Breakdown of the FHA Flipping Rules

Real estate investors are often confused about the flipping rules enacted by the FHA. A simple breakdown of some important terms can easily clear up any confusion.

HUD Tweaks $8,000 Federal Tax Credit Rules

Good news for cash strapped first-time homebuyers. HUD has changed the rules regarding the $8,000 tax incentive.