Preparing To Make A Zero Down Offer

     I'm going to focus on the Seller of a hypothetical property you have found and the offer that you are going to make. You want to write it so it has a reasonable chance of being accepted.

Never offer more than you can afford to pay.

     Don't get caught up in the idea that you are going to make it work no matter what. Let's face it, some deals just won't work and you have to let them go.

     Ultimately, the person who gets the best deal is the person who is the least motivated. You have lots of potential homes to purchase... the Seller only has one home to sell.

Work up the numbers.

First, you need to know what the current market value of the property is.

     Do this by going to your title company (you can pick any one you want, just look them up in the yellow pages). Title companies have access to comparable sales of homes in the neighborhood.

Look for homes that are very similar to the one you are preparing to purchase.

     Value the home you are going to buy based on how it compares to the homes that have sold before it. Only use comps that are twelve months old or less.

There are two types of real estate we want to deal with here.

     The first type, is property that you can purchase for cash, for at least 15% under market value. You need to sell these contracts to an investor to complete the deal.

     Every investor out there is looking for these properties and will gladly pay a fee to get them.

     The second type of deal is purchased for full market value by taking title to the property "subject to the existing loans."

     I explain in detail how to make an offer on this type of property in my book. It is one of the easiest ways to purchase property with nothing down and no credit check.

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If you haven't checked out Joe Crump's "$0 Down Real Estate Investing With Bad Credit And No Job!" yet, go to his web site for full details.

http://www.realrealestateexperts.com

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AFP - Speculation about the stressed financial health of US mortgage-finance giants Fannie Mae and Freddie Mac swirled Wednesday as their share prices further plummeted.

Reuters - Shares of Fannie Mae and Freddie Mac dove to their lowest levels in more than 18 years on mounting fears of a government bailout that would wipe out shareholders of the two U.S. housing finance giants.

AP - Shares of mortgage finance companies Fannie Mae and Freddie Mac continued their plunge Wednesday as investors are increasingly convinced that the stocks will drop to zero if the government bails out the troubled companies.

AP - Mortgage application volume fell last week to its lowest levels in nearly eight years, the Mortgage Bankers Association said Wednesday.

Reuters - A growing number of U.S. adults are struggling to pay their medical bills, tapping into savings accounts, home equity and credit cards to cover health care costs, according to a survey released on Wednesday.

Reuters - Most Americans think that the worst of the fuel price spike that pushed gasoline above $4 per gallon has passed, but they have little hope that the housing market will stage a swift recovery, according to a Reuters/Zogby poll released on Wednesday.

AP - As mortgage financiers Fannie Mae and Freddie Mac struggle with continuing credit losses, their ability to raise needed capital is uncertain and, analysts say, is complicated by the possibility of a government bailout of the two companies.

AP - California homebuyers sprung to life in July, pouncing on foreclosed homes and deeply discounted properties but largely ignoring pricier homes that have been languishing on the market, a research firm said Tuesday.

AFP - The euro rebounded from six-month lows against the dollar after a spike in inflation and weak US housing market figures stoked fresh concerns about the US economy.

Reuters - U.S. wholesale prices shot up in July at the fastest annual rate in 27 years, while home builders cut back on construction as they worked through a glut of unsold homes, government data showed on Tuesday.

AFP - Investments in the bonds of struggling US home-loan financers Fannie Mae and Freddie Mac have earned Russia more than a billion dollars in the past six months, press reports said Tuesday.

AFP - The euro rebounded from six-month lows against the dollar after weak US housing market figures stoked fresh concerns over the outlook for the US economy.

AP - The Home Depot Inc. said Tuesday that its second-quarter profit sank 24 percent and reiterated its downbeat outlook for the year amid a weak housing market that shows no signs of recovery.

AP - Whether or not the government is actually on the verge of taking over mortgage finance companies Fannie Mae and Freddie Mac, investor fears that a bailout is imminent could turn such a worst-case scenario into reality.

AP - In the mortgage industry, they are called "liar loans" — mortgages approved without requiring proof of the borrower's income or assets. The worst of them earn the nickname "ninja loans," short for "no income, no job, and (no) assets."

Reuters - Investors dumped shares of Fannie Mae and Freddie Mac on Monday after a newspaper report said government officials may have no choice but to effectively nationalize the U.S. housing finance titans.