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        <title>Atlanta Real Estate Blog</title>
        <link>http://www.realsourcebrokers.com/blog/atlanta-real-estate-investing/</link>
        <description>Atlanta Real Estate Blog - a complete Atlanta Home Guide helping local buyers, sellers and investors make informed decisions through insightful market news and analysis.  Because we focus specifically on the eclectic Intown Neighborhoods (Candler Par</description>
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            <guid>http://www.realsourcebrokers.com/blog/preparing-for-the-college-years.html</guid>
            <link>http://www.realsourcebrokers.com/blog/preparing-for-the-college-years.html</link>
            <author>joshua@thekeenteam.com (Joshua Keen)</author>
            <title>Preparing for the College Years</title>
            <description> <![CDATA[ 
A new trend in real estate investment is emerging: parents investing in real estate to fund their children’s college education.


With the decline of the stock market in the past decade, more parents are seeking to invest for their children’s future through other assets, including real estate. These parents believe that the time is right to purchase real estate because of low prices and mortgage rates, and a strong belief that real estate prices will show considerable appreciation by the time their children are in college.


The idea is to purchase a house as an investment property when a child is born or very young. Ideally, a 15-year fixed rate mortgage is used for a property that cash flows in the first year. By the time the child has reached college age the property is paid for and the parents can sell the asset and use the gain to fund college. Not only has the equity in the property grown over 18 years, they’ve benefitted from the yearly cash flow as well.


Here’s how the scenario might play out:


Let’s say our fictional parents purchase a $100,000 house with $20,000 as a down payment. They take out a 15-year mortgage for the balance at 6.75 percent interest. Their mortgage payments are roughly $8,945 for the year (or $708 per month).


If they rent the house out for $1,200 a month and have around $325 per month in expenses (taxes, insurance, repairs), they should see about $2,005 in cash per year from rental income for the first 15 years. From years 16-18, the expense of the mortgage is eliminated, yielding them $10,500 in cash flow annually. Over 18 years the total cash flow equates to $61,575. Note that this conservative estimate does not include potential rent increases that will increase cash flow and will help offset additional property taxes. Nor does it include interest earned if the parents decide to reinvest cash flow.


In 18 years the property will have appreciated, too. The standard rate of appreciation for real estate nationally over the past 40 years has been 3 percent. At that rate the $100,000 property they bought would be worth $170,243 at the time of sale.


The initial $20,000 investment would have earned $150,243 over 18 years - a return of over 13%. Including cash flow, the return is 15%!


While it is difficult to determine what future tuition will be—increases in tuition have spiked dramatically in recent years—a $230,000 ($170,000 sales price + $60,000 in cash flow) cushion should be enough to soften the tuition blow.


Investors aren’t limited to purchasing real estate to fund college; many choose to purchase property during the college years to provide their children with a home and save on room and board.


In a recent survey of real estate agents, 64 percent saw significant number of parents investing in college-town real estate for their children. With increased room and board and the high demand for rental property in college towns, the strategy makes sense.


San Francisco-based parents Katie and Dale have purchased a house with multiple bedrooms for their children, leasing the other bedrooms to other students. Because of the high demand, the rent helps pay the mortgage on the property and the parents plan to sell when their children no longer need the house.


In the long run, these savvy parents are saving money and helping to provide their children with a stable place to live during their college careers.
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            <pubDate>Wed, 11 Apr 2012 10:13:50 -0400</pubDate>
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            <guid>http://www.realsourcebrokers.com/blog/how-to-lease-purchase-your-home.html</guid>
            <link>http://www.realsourcebrokers.com/blog/how-to-lease-purchase-your-home.html</link>
            <author>joshua@thekeenteam.com (Joshua Keen)</author>
            <title>How to Lease Purchase Your Home</title>
            <description> <![CDATA[ 
Over the last few months I've had a number of past clients ask me whether a "lease purchase" would be viable to help them sell their home. Though it's not right for everyone ... it can be a win-win real estate deal, and it can help solve a serious problem for today's frustrated sellers.


Here's how it works:


In its simplest form, a lease-purchase agreement is nothing more than a written contract to purchase real estate over an extended period of time, typically not exceeding 36 months. It is usually coupled with an agreement to allow the purchaser to occupy the house and pay rent on it while he is completing the purchase.


In contrast, a lease-option agreement is primarily an agreement to rent real estate. That agreement contains a provision granting the renter the option of purchasing the real estate at some point in the future if he so chooses.


Here's why it's working today:


Traditional lenders have tightened underwriting guidelines and raised minimum credit standards, and there are lots of first-time buyers who have been pushed out of today's buying market. A lease containing an option to purchase may give the buyer enough time to get qualified and make the purchase he or she wants.


In today's market, some sellers are willing to compromise on a quick sale in order to get some revenue coming in to help cover the mortgage payment.


Typically, a lease-purchase agreement includes these features:


• A complete rental agreement outlines the relationship between the resident and the owner. This can be the same rental agreement that you might use if you were simply renting for a specific term, then intending to vacate.


• If this is a lease-purchase, there will be a simultaneous contract for the purchase of the property, specifying the price, the "on or before" closing date, and the other terms and conditions of the sale. In this contract, a non-refundable "down payment" is often made from buyer to seller. This down payment is usually applied toward the purchase price.


• If, instead, this is a lease-option, then there may or may not be any "down payment," and it may or may not be refundable, depending on the agreement. As an alternative, the lease-option agreement may specify a more traditional (and refundable) security deposit.


• A common feature of almost all these agreements is a "rent to own" provision. This clause specifies that some portion of each rental payment shall accrue toward a reduction in the purchase price of the property, even if that price has yet to be determined.


A small provision might be a monthly credit of $100, to be accumulated by the owner for use as a credit against the purchase price of the property. A more generous offer might be a credit of $400 per month, allowing the renter to build a sizeable down payment of almost $5,000 for each year of rental.


I have even heard of sellers so highly motivated to cause a sale of their home that they offered a credit of 100 percent of all rents paid as a credit against the purchase price. Obviously, a seller in this category would need sufficient equity in the property to cover such a generous offset. But it would have the further effect of almost guaranteeing an eventual sale. What smart buyer would walk away from a $24,000 credit after two years of renting?


• Another typical feature of these types of contracts is a provision asking the renter/purchaser to inspect the house as they move in and agree to accept it in "as is" condition now. This is to prevent the renter from damaging the house, then asking the seller to make repairs prior to the sale.


• Additionally, the agreement typically also makes the renter responsible for all repairs during the life of the lease and until the purchase occurs. The idea here is that since the buyer is going to buy the house, he can take on the responsibility for upkeep now. However, this provision may not be enforceable under Georgia law, which prevents the owner of residential rentals from transferring the responsibility to repair. I'd better leave that one to the attorneys to sort out.
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            <pubDate>Sun, 26 Feb 2012 16:09:33 -0500</pubDate>
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            <guid>http://www.realsourcebrokers.com/blog/save-by-not-paying-capital-gain-taxes-on-investment-or-trade-properties-tax-deferred-exchanges.html</guid>
            <link>http://www.realsourcebrokers.com/blog/save-by-not-paying-capital-gain-taxes-on-investment-or-trade-properties-tax-deferred-exchanges.html</link>
            <author>adam@realsourcebrokers.com (Adam Keen)</author>
            <title>Tax Deferred Exchanges: An Introduction</title>
            <description> <![CDATA[ 
There is a way to defer the taxes on the "sale" of a property being used or held for investment purposes or trade. Its referred to as a Tax Deferred Exchange. You may also hear it called a "Deferred Like-Kind Exchange" or a "Section 1031 Exchange" or a variety of other terms; we're going to stick to tax deferred exchange or TDE. First, let me say that you must use, by law, what is called a "qualified intermediary" to complete a TDE. Its also highly recommended that you have an attorney that can explain the legal aspects of the exchange. In simple terms…you can defer (postpone), and in some cases, eliminate the capital gains tax on an investment property you're selling. The catch? You have to be purchasing a "like-kind property" to "replace" the one you're selling. In short, its the simultaneous to semi-simultaneous swap of one property for another. This allows you to maintain more of your money to put into a replacement property. I'll go into detail on the definition of "like-kind" a bit later.  - A bit of history - Section 1031 refers to the tax code in which you can find the rules and regulations that govern tax deferred exchanges. The ability to defer tax on investment property has been around since the 1920s. However, complexity and convoluted details allowed only the most expert of investors and tax preparers to partake in 1031's use. However, that all changed with the Omnibus Budget Act in 1991. That act clarified the rule's use and opened it up to a wider range of consumers. Since then, TDEs have become much more popular as a tool to defer capital gains tax on investment or trade property. The tax code "provides that no gain or loss shall be recognized on the exchange of property held for productive use in a trade or business, or for investment." The premise of the code being that economic gain has not been obtained in a way that generates immediate funds to pay any tax. It holds that the tax payer's investment is still the same and that only the form has changed.  - Why Choose a Tax Deferred Exchange -If you're an investor by trade or someone who plans on being in the world of investing for some time, then a TDE is the perfect formula for you. You will save 15% on capital gains tax that you would pay in a straight sale-for-profit transaction. Thats 15% more of your money that you have to put into your replacement property. You can then grow your investments at a faster pace.  Simple Example: If you make $100k from a typical property sale, you're going to pay around $15,000 (15%) of that in capital gains tax. You now have $85,000 to invest in more property. Lets make that a TDE. You get $100k from the sale of a property. You now want to buy another investment property. In the example above, your buying power is at $85k. Well, with a TDE, you're buying power is the full $100k (important note: the replacement property must be equal or greater in value to the sold property - more on that below). Thats a very simple example used to illustrate the benefit of a TDE - there may at times be other expenses and taxes involved, depending on your situation. - Requirements of a Tax Deferred Exchange - There are several requirements to complete a TDE. Some are a little harder to convey and will require the expertise of your qualified intermediary (QI) or attorney; I won't go into those details with this blog. I'll touch on some of the basic, but still important factors that one should have knowledge of before entering into the TDE process. *Choose a Qualified Intermediary One of the most important requirements of a TDE is that the transaction MUST be handled by a licensed qualified intermediary, sometimes called a certified exchange specialist. By law, If the funds used in the TDE transaction are not handled by a QI, then everything becomes taxable. You want to make sure that you interview several QIs and get references (from other investors, not your real estate agent, as it could create a conflict) for whoever you choose. You also want to make sure that they are bonded and insured and from a reputable organization whose sole occupation is tax deferred exchanges. ***Find a qualified intermediary experienced in Atlanta Real Estate.***


*Property Must be "like-kind"Another important factor, and perhaps the most important is that the property you're selling and buying must be "like-kind" properties. Both properties must be used or held for a trade, business or for investment purposes. Properties used for your principle residence, 2nd residence or say, a vacation home, do not qualify. The IRS says "like-kind property is property of the same nature, character or class. Quality or grade does not matter." Your guide should be the purpose and price of the replacement property. Why do I say price? Well, that brings us to another important rule. *Price and FundsTwo other key factors involve the price and funds used during the transaction. First, the total purchase price of the replacement "like kind" property must be equal to, or greater than the total net sales price of the relinquished property. Second, all the equity received from the sale of the relinquished property must be used to acquire the replacement, "like kind" property. So, that 100k from above - you must use all of it to purchase your like-kind property. You are not permitted to pocket any of the funds.*Important timelines Two remaining factors I'll discuss are in regard to timelines. There are several different types of TDEs that I won't go into. The most common, that I'm discussing here, is a 'delayed TDE.' That means you sell your first property and then go looking for a replacement property. The Identification Period: That states that you have 45 days from the sale day of your property to find the replacement property. That timeline will not be extended under any circumstances (ie. if it falls on a weekend or Holiday). The Exchange Period: You must close on the replacement property no later than 180 days after closing on your sold property. A highly important note - your 180 days can be cut short by tax day. So, if your 180 day timeline happens to include April, you're 180 day exchange period is up on tax day (usually April 15th, but April 18th this year). Make sure you discuss that with your QI. A couple important notes to discuss with your QI:- You're not limited to just one replacement property...see if purchasing more than one is right for you.


- Will tax day disrupt your timelines. If so, ask about your options.


- Which exchange process is best for your situation.


 


What you've just read is a basic and simple introduction into Tax Deferred Exchanges. There are several different types of exchanges, most involve more experienced investors - your QI is the best source on which is best for you. Note - you want to make sure the QI you choose is an expert on the specific type of exchange you need. There are several great resources for more information on Tax Deferred Exchanges: http://www.1031.org/http://www.1031exchangemadesimple.com/http://www.irs.gov/newsroom/article/0,,id=179801,00.html


 
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            <pubDate>Mon, 02 May 2011 16:32:21 -0400</pubDate>
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            <guid>http://www.realsourcebrokers.com/blog/real-estate-investments-in-atlanta.html</guid>
            <link>http://www.realsourcebrokers.com/blog/real-estate-investments-in-atlanta.html</link>
            <author>joshua@thekeenteam.com (Joshua Keen)</author>
            <title>Real Estate Investments in Atlanta</title>
            <description> <![CDATA[ 
Real Estate Investment Opportunities in Metro Atlanta

To better serve the needs of real estate investors throughout the Metro Atlanta market, I recently earned the Certified Investor Agent Specialist&trade; (CIAS) Designation. With the CIAS, I have the training, tools and calculations to effectively serve the five investor types: First-Time Investor, Move-Up Investor, Portfolio Investor, Performance Investor, and Rehab and Resell Investor.

Real estate represents a consistent and stable way to build wealth, brings liquidity to our housing market, and stimulates our local economy. In fact, in the past year, investment and second-home properties represented approximately 27% of all residential sales. Its also worth noting that nationwide, 43% of real estate investors earned less than $75,000 per year.

Today, real estate is quite literally on sale! There is an unprecedented opportunity to build wealth through real estate, and I specialize in helping all investors achieve their goals.

Contact us today to learn more about investing in real estate.

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            <pubDate>Sat, 19 Mar 2011 12:13:30 -0400</pubDate>
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            <guid>http://www.realsourcebrokers.com/blog/are-you-going-to-retire-in-style.html</guid>
            <link>http://www.realsourcebrokers.com/blog/are-you-going-to-retire-in-style.html</link>
            <author>joshua@thekeenteam.com (Joshua Keen)</author>
            <title>Will You Retire in Style?</title>
            <description> <![CDATA[ 
Or will you bag groceries at Publix?



Have you ever been in the check out line at your local grocery store and noticed a Senior Citizen bagging your groceries? I have. And it breaks my heart everytime.



Do you think that old man checking receipts at the exit of Wal-Mart
dreamed of a day when he'd use a yellow highlighter and a polite nod to earn some extra cash to help pay the bills?



Can you picture him in his 20s, 30s, 40s or 50s just waiting for the day when he can retire with dignity at the end of a check out lane in an apron asking whether you prefer paper or plastic? 



Of course, I'm being funny ... but there's something serious for us to all consider.  We're here enduring the worst economy since the Great Depression.&nbsp; Millions have lost their jobs, healthcare costs are skyrocketing and our &quot;nest eggs&quot; are worth a fraction of what they were valued at just a few short years ago.&nbsp; Now ... it goes without saying the Senior Citizens we see working at McDonalds aren't doing it for the social perks.  They're there because they have more &quot;month than money&quot;. 



So the question I'm asking is this: Do you want to spend your golden years asking the folks in the drive thru lane if they &quot;want fries with that&quot;?



No? Then you should consider this:



If You Want A Comfortable Retirment, Get Busy Creating Passive Monthly Income Today



Look around. Who (or what) will support and fund your life when you want to retire?&nbsp;  Do you have a secure job matching a 401K?  Are you making maximum contributions to an IRA?  Do you think Social Security will be there for you?  What about a pension? Stocks?  Bonds?  Mutual Funds? Long term health insurance? 



We need look no further back than October 2008 when, in a matter of moments, our 401K's and IRA's dissappeared and our future financial freedoms with it.  Don't think it can happen again?  It will.  And the biggest problem I see most people make is becoming too comfortable and reliant on one stream of income.  Here are a few things to consider: If you rely on your 401(k) and the stock market crashes, you suffer. If you rely on Social Security and the government runs out of money, you suffer. What happens when your company downsizes and your income goes away?&nbsp; What happens when you need special health care?&nbsp; What happens if your spouse passes away and you're left with just income stream? 



For most of us it's a classic case of too many eggs -- one basket.



If this Great Recession has taught us anything it's that we can't rely on our Corporations, our Government or those greedy bastards on Wall Street to have our best interests in mind.&nbsp; Our future security and financial freedom is up to us.&nbsp;  And we need to hedge ourselves against the risk of future economic disaster by creating multiple income streams to help support the life we want to live as we move into retirement. 



Here's something to consider:&nbsp; What would it mean to you and your family if you had 20 streams of income vs. the one or two you have now?



That's what this article (and future installments) are all about.&nbsp; I want ot help you conceptualize and build passive monthly income streams that will provide security
and financial independence for you and your family now and into your future.



What is passive income?  Well ... in simple terms it's money you're paid every month from making smart investments.  Important distinction here: I'm not talking about some &quot;get rich quick&quot; infomerical.&nbsp; I'm not talking about buying gold, foreign exchange trading or zero down real estate scams.  The strategies and tactics I'm going to teach you take work.  But once you lay a strong foundation it's simple to manage several passive streams at once.&nbsp;



In the days and weeks ahead I'll show you ... step-by-step ... how to generate thousands of dollars in passive monthly income and future locked in profits through strategic buying and holding of residential real estate. 



Stay tuned (bookmark, rss) ... this is something you should know about.

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            <pubDate>Sun, 13 Feb 2011 16:44:13 -0500</pubDate>
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            <guid>http://www.realsourcebrokers.com/blog/buying-real-estate-is-a-smart-move-in-a-bad-economy.html</guid>
            <link>http://www.realsourcebrokers.com/blog/buying-real-estate-is-a-smart-move-in-a-bad-economy.html</link>
            <author>adam@realsourcebrokers.com (Adam Keen)</author>
            <title>Buying Real Estate is a Smart Move in a Bad Economy</title>
            <description> <![CDATA[ 
I've recently read a ton of news articles and heard a number of folks on news shows talking about why it may not be a good idea for you to buy a home right now. I say FALSE, and so do many who understand not just the financial gain found in home ownership but the quality of life and pride that can be gained as well.  A recent article written by Ron Lieber in the NY Times (http://www.nytimes.com/2010/08/28/your-money/mortgages/28money.html) mentions a few reasons why buying is still a great idea. I'll touch on his thoughts and then share a few of my own. Its worth noting that I bought my first home in March, 2010 at the age of 26. 
 


Record Low prices combined with Record Low Interest Rates 



Have you heard that is a buyers market? If you have a stable financial situation, there will NOT be a better time in your lifetime to buy a home. Its as simple as that. Try the NY times &quot;Rent Versus Buy Calculator (http://www.nytimes.com/interactive/business/buy-rent-calculator.html) to help decide if your financial situation is in the right place.  



Forced Savings 



Ron understands that buying a home is still, in a sense, &quot;forced savings.&quot;  The money you put towards principal can be seen as a way of putting that money back. No, you may not make a huge profit on your home when you resell, but unless the market hits another bust (which is highly unlikely in even the far off future), you will at least be able to gain back the principal payments on a &quot;break even&quot; sale.  He does point out that many say you will be more successful saving that money and investing it&hellip;but hey, who among us are that great of savers. Investing takes a lot of discipline - paying a mortgage takes only simple discipline.  



Bad Landlords 



When you buy, YOU own the home. You can do whatever you want to it, in it and around it. Who among us have not dealt with the bad or negligent landlord? Buy a home and make that annoyance a thing of the past. 



The Right Neighborhood  



Its common knowledge that in the very best of neighborhoods and school systems that there are not many &quot;family sized&quot; rentals. If you need to be in the safest or most prestigious neighborhood, that dream neighborhood, then you will likely find what you're looking for in a purchase rather than a rental. Many of the best schools are in areas that do not have many rentals, which might force you to buy. And, anyone who owns a home that came from a rental, and has kids, will likely agree that they are happier and have more space for their family in the home they purchased, just ask them.  



Roommates 



Are you a young, possible first time home buyer? Yes, one of the attractive reasons for buying your first home may be to get away from the roommate situation. But consider buying your first home and sticking with a roommate or two for a while. You can practically live for free. My fiance and I recently bought our first home in this down market. We were able to get a home for almost half of what it would have sold for just 4 years ago. After living on our own for the first 6 months, we had a friend that had her apartment lease ending. We all decided to be roommates and she moved into our home. Now imagine, on top of our record low interest rate- which provided us with a mortgage for a 5 bedroom house for just under what we rented a 1 bedroom apartment at - we now have a roommate supplementing our mortgage and utility cost. We now pay less for the two of us then most folks would pay for a single person's rent. And, we're considering another roommate - we'll live practically free.  




Not a young, first time home buyer? Consider this idea anyway and call it an adventure in living. Take on a roommate or two and supplement your living expenses greatly.  




Help your local economy and home prices 



&quot;Its a people driven economy, stupid.&quot;  - Erik Qualman



There will not be a recovery in home prices until folks get out there and start buying again. And guess what, you're the first step. Get out there and buy&hellip;tell your friends and coworkers to buy. The faster the available inventory is reduced, the faster home prices will start to recover.  




Now I've read articles that compare the financial situation of a current home owner to that of current renters and use that as a base to say its not a good time to buy. The logic here is incorrect. Of course, if you bought in the past during the peak of home prices, and need to sell now, you are not in a good position. That is not the same as buying now, at or near the bottom of your market, and selling in the future. Home prices will rebound. That is a fact. Maybe not to the levels they were before the recession, but they will rebound from current bottom to near bottom prices. This means that your home will gain in value from what you paid for it if you bought in 2009 or after.  And after is NOW.  



Want some expert advice on buying in this market? Contact The Keen Team at 404-270-9374 and tell us you're thinking about purchasing a home. Ask for our exclusive &quot;Buyer's Worksheet&quot; to help work out the details and put your thoughts around purchasing on paper.  



Logic Check: Are you waiting for your market to &quot;bottom out?&quot; DON'T. How can you? Not even the most expert of experts can exactly determine when a specific market will bottom out. Only when prices start to rebound do you realize just where the bottom lies, and then it may be too late.  Check out mint.com's (http://www.mint.com/blog/finance-core/should-you-buy-a-home-now/) factors that should not be considered when purchasing a home.  
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            <pubDate>Mon, 07 Feb 2011 20:52:09 -0500</pubDate>
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            <guid>http://www.realsourcebrokers.com/blog/the-second-wave.html</guid>
            <link>http://www.realsourcebrokers.com/blog/the-second-wave.html</link>
            <author>joshua@thekeenteam.com (Joshua Keen)</author>
            <title>The Second Wave</title>
            <description> <![CDATA[ 
It's a testament to the quality of 60 Minutes that nearly 2 years after it was first recorded in December of 2008 this 12 minute prediction of what will come to pass has ... well ... come to pass.

We're entering the 4th quarter of 2010 and we are, without a doubt, heading right into the second wave of the Atlanta Foreclosure crisis.

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            <pubDate>Tue, 21 Sep 2010 11:01:25 -0400</pubDate>
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            <guid>http://www.realsourcebrokers.com/blog/fha-changes-the-investment-game.html</guid>
            <link>http://www.realsourcebrokers.com/blog/fha-changes-the-investment-game.html</link>
            <author>joshua@thekeenteam.com (Joshua Keen)</author>
            <title>FHA Changes the Investment Game</title>
            <description> <![CDATA[ 
In addition to residential sales, my team is heavily involved in helping investors profit by investing in foreclosure properties. Mainly by purchasing small single family homes in Atlanta foreclosure market at 60% to 70% of future value, rehabbing them, and quickly reselling them for a healthy profit. Most of these properties are in blue collar neighborhoods that we resell to first time buyers using FHA insured financing. Most of the foreclosed properties we purchase were also financed by FHA insured mortgages.

The one wrinkle in this buy, rehab, and resell process was the arcane Housing and Urban Development anti-flipping 90 day rule 24CCFR 203.37a(b)(2). This rule &quot;provide that a rehabbed property would not be eligible for another FHA insured loan if the contract of sale was executed within 90 days of the prior acquisition by the seller and the seller was not exempt from this rule&quot;. What this meant in plain non-bureaucrat English was that if an investor purchased the property for rehab and flip, an FHA buyer could not enter a contract to purchase the property until 90 days had passed since the investor closed on the property. This rule, also known as the &quot;anti-flipping&quot; rule was put in place &quot;to protect FHA borrowers against predatory practices of &quot;flipping&quot; where properties are quickly resold at inflated prices to unsuspecting borrowers&quot;.&nbsp;Well this rule obviously hurt investors by needlessly extending the time an investor had to hold the property. If an investor completed his repairs in 30 days, he still had to wait 60 more days before he could accept an offer and open escrow. This hurts an investor's return on investment - ROI.

New FHA Rules Are a Game Changer 

Fortunately starting Feb 1 2010, Hud has issued a 1 year moratorium on this rule which makes it easier and more profitable for investors to make profits investing in foreclosures. You can click here: to read the HUD announcement here on their website.&nbsp; Or click here: for the entire PDF if you want more detail and the exact Waver of Requirements from HUD.

What Does This Mean For Atlanta Foreclosure Investors?

What this means is that the government recognizes there is a need for private investors to help purchase, rehab, and add quality housing stock back in to the real estate market. All for a profit of course. 

The government has just removed a impediment to investors. They probably realized that the free market and capitalism is the answer to working through the backlog of foreclosed properties and that making it harder for investors to profit was not the answer. 

Now of course there are still a few stipulations for investors who are working in the foreclosure market. The main stipulation in my opinion is that if an investor resells the property for 20% or higher than it was purchased for, he must be able to demonstrate that the property was rehabbed and improvements and repairs were made to justify the higher price. In other words, foreclosure investors better keep records and receipts of all of the work they did to the property because the new FHA lender for the buyer will probably ask to see it and submit proof to the underwriter prior to approving the loan. Another rule is that the the property can not have been 'flipped multiple times&quot; in the previous 12 month period. Also the property has to have &quot;been marketed openly and fairly&quot; on the MLS or public auction. For the majority of investors, these won't be a problem. Just keep good records and receipts, list the rehabbed property with a Realtor on the MLS, and don't flip the property to your &quot;Uncle Joey&quot; instead of an arms length buyer.&nbsp;Are you interested in profiting from foreclosures? Do you want to know how to get started? Call today we will go over the process with you. We've been helping investors profit and we can help you. 

This prime foreclosure market will not last forever!&nbsp; Please call for a private consultation. 
 ]]> </description>
            <pubDate>Fri, 29 Jan 2010 14:08:58 -0500</pubDate>
                    </item>
        <item>
            <guid>http://www.realsourcebrokers.com/blog/move-your-money.html</guid>
            <link>http://www.realsourcebrokers.com/blog/move-your-money.html</link>
            <author>joshua@thekeenteam.com (Joshua Keen)</author>
            <title>Move Your Money</title>
            <description> <![CDATA[ 
 Political tags - such as royalist, communist, democrat, populist, fascist, liberal, conservative, and so forth - are never basic criteria. The human race divides politically into those who want people to be controlled and those who have no such desire. 

I urge you to read, watch and take action.
  ]]> </description>
            <pubDate>Tue, 29 Dec 2009 23:19:25 -0500</pubDate>
                    </item>
        <item>
            <guid>http://www.realsourcebrokers.com/blog/timing-the-atlanta-market.html</guid>
            <link>http://www.realsourcebrokers.com/blog/timing-the-atlanta-market.html</link>
            <author>joshua@thekeenteam.com (Joshua Keen)</author>
            <title>Timing The Atlanta Market</title>
            <description> <![CDATA[ 
The Case-Shiller data for October was released today.


Good news first: seasonally adjusted data shows a 5th consecutive increase for nationwide home prices.  


Now the bad news: continued weakness in the Atlanta market with -.2% month over month; -8.1% for the year and a whopping -19.6% since the peak of the market in April of 2007.


The good, the bad and the ugly news: depending on whether you're a buyer/investor (good), seller (bad) or lender (ugly) we have seen prices this low since May of 2001.






Market


MoM Change


YoY Change


Date of Max


Change from Max


Prices Last at This Level in…


Consec. Mos. of Increase




LA Area


0.7%


-6.3%


Apr-06


-39.0%


Sep-03


5




San Diego Area


1.1%


-2.4%


Mar-06


-38.8%


Nov-02


5




Bay Area


1.7%


-2.6%


Feb-06


-38.6%


Jan-01


6




Washington DC Area


0.2%


-2.8%


Mar-06


-29.2%


Apr-04


7




Atlanta Area


-0.2%


-8.1%


Apr-07


-19.6%


May-01


0




Chicago Area


-1.0%


-10.2%


Feb-07


-23.6%


Feb-03


0




Boston Area


-0.2%


-2.8%


Nov-05


-15.5%


Jun-03


0




NY Area


-0.2%


-7.7%


May-06


-19.5%


Jun-04


0




Seattle Area


0.4%


-12.5%


May-07


-22.5%


Apr-05


1




20-City


0.4%


-7.3%


Apr-06


-29.5%


Sep-03


5




 ]]> </description>
            <pubDate>Tue, 29 Dec 2009 18:06:43 -0500</pubDate>
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