Real Estate Investor · Las Vegas, NV · Member since 2008 · 1k+ posts · 447 votes
17y
You’re jumping the gun a little. $15,000 is the Senate version, the House version is $7,500. The differences need to be worked out in conference before the bill is passed. Many key provisions can change. All anyone can do at this point is guess what the final version will be. Be patient, the details should emerge by the end of the week.
Rental Property Investor · Mercer Island, WA · Member since 2008 · 22k+ posts · 14k+ votes
17y
They're saying we'll see some info on this program on Tuesday. I'd be astounded if this applied to anything except OO properties. If it does apply to investor properties, I wonder if it will make prices tick upwards?
Madison, MS · Member since 2008 · 53 posts · 5 votes
17y
While I would be shocked if it applied to NOO properties as well it sure would help get the inventory down. Fannie is going to allow up to 10 properties again, so maybe they are realizing the importance of the investor in this market.
Wholesaler · Amarillo, TX · Member since 2008 · 369 posts · 75 votes
17y
Fannie Mae got in trouble because the government decided to "strongly persuade" lenders to extend loans to people with no money down, bad credit and job history. So, Fannie Mae did just that and the govt. guaranteed the loans. When loans began to default at record highs the government was "obligated" to bail them out. How is multiplying the same priciples that got us into this mess (times ten) going to help the economy?
Madison, MS · Member since 2008 · 53 posts · 5 votes
17y
Chris,
The principles/guidelines of Fannie are a lot different today than they were 6 months ago. Max LTV for NOO is 75% with a 720 Fico. All loans are full doc with liquid reserve requirments.
These guidelines are very strict and are not the same principles that you stated in your post. This is good change as it allows investors with strong credit profiles the opportunity to purchase property if they had been maxed out by the 4 loan limit.
I personally feel that the investor will play a huge role in the housing market. Many areas will not be touched unless the investor comes in and rehabs. The govt should provide incentives for investors, through tax credits ect... This will be the quickest way to get the inventory of homes moved.
Wholesaler · Amarillo, TX · Member since 2008 · 369 posts · 75 votes
17y
Michael,
That is a good change! If you're betting in high risk situations you're usually going to lose! Sound, conservative principles that have proven to work are the way to go.
Real Estate Investor · Las Vegas, NV · Member since 2008 · 1k+ posts · 447 votes
17y
I stated earlier that worrying about the ramifications of the proposed tax credit was jumping the gun. Turns out I was right, the provision was eliminated from the final compromise bill that was announced.
Real Estate Investor · Miami, FL · Member since 2008 · 59 posts · 0 votes
17y
A $15,000 tax credit for anybody buying a home over the next year was dropped from the Economic Stimilus Package; instead, first-time homebuyers could claim an $8,000 credit for homes bought by the end of August. This is the latest revision made to the FTHB Tax Credit.