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Tuesday, March 29, 2011

IF YOU LOOK AT ALL REO SALES NATIONWIDE AND TIMES IT BY 30 THEN YOU KNOW HOW MUCH SHADOW INVENTORY IS THERE! FOR THE CHEAP SEATS IF YOU LOOK DOWN YOUR STREET AT 10 HOMES /1.2 HOUSES ARE REO VACANT FOR SALE AND THERE IS ANOTHER 1.8 OF THOSE HOMES THAT HAVE NOT MADE PAYMENTS, FORECLOSED AND CONSIDERED SHADOW INVENTORY "BECAUSE THEY ARE NOT LISTED ON THE MLS DUMBASS"!

The shadow market is coming out of the shadows, and the numbers are staggering. "But you should know that if you have been following my blog"

According to a report released yesterday by LPS (Lender Processing Services), “foreclosure inventory levels [stand] at 30 times monthly foreclosure sales volume.” As a result of this massive backlog, real estate analysts expect more downward pressure on U.S. home values as most of these homes are likely to reenter the market as REO properties rather than being sold in another more profitable manner[1].

The statistics on the foreclosure backlog are also staggering, with LPS reporting that the average U.S. loan currently in foreclosure has been delinquent for 537 days, and 30 percent of loans in foreclosure have not made payments in more than two years.

Thanks to slower processing times on foreclosures, it is unlikely that this backlog will disperse any time soon. In fact, although total U.S. loan delinquency has fallen nearly two percentage points over last year and foreclosure starts are down 14 percent from last year, the actual foreclosure rate is up as banks struggle to keep their books in order and intact[2]. With the “non-current inventory” logging in at nearly 7 million, the backlog is likely here to stay.

Many analysts have been predicting that 2011 will be the beginning of a recovery for many sectors of the real estate market, though most agree that the residential market has a long way to go. With this foreclosure backlog, however, do you think that home prices are likely to start a recovery by 2012?

If you do you must be on the "head stuck in the sand" train with the rest of the realtors. "LOL"



Angel Investors / Private Investors
Angel Investors


Friday, March 18, 2011

AGAIN HERE IS THE CALL TO INVESTORS TO STOP SITTING ON THE FENCE AND GET INVOLVED!

"With all the turmoil and unknown in the markets, investors today may be searching for a safe-haven. U.S. real estate wouldn't exactly sit at the top of the list for most, given the still uncertain state of the housing and credit markets, but there is one sector that seems to have fundamentals and sentiment on its side: Single Family Homes and Apartment Rentals.

We're in Boston, MA today for day two of the Spring Realty Check:

Opportunity Knocks.

Boston is home to Avalon Bay, one of the largest SFH (single family home) and apartment REITs in the nation. *Note: "This is until those reading this start working with me for minimum returns of 10% to investors in the fund. Interested? We are launching and looking for the right partners. Partners make 50% profits in the company and investors in the fund see 10% monthly returns."

Avalon Bays revenues were up 8% year over and shares are up 34% from a year ago. It's the upside to the downturn in housing. Many people who lost their homes to foreclosure have been forced to the rental market, others who are unable to get a mortgage are doing the same, and still others who would have headed toward home ownership have been scared away from the market by still falling prices. In turn, apartment vacancies are down, rents are up and REITs are reaping the rewards.

We interviewed a young couple in Boston, fiancées, and I think their insights are indicative of so many around the country. 'A lot of people are scared to buy just because if they have to move or things change, you lose money on the house and you might not be able to sell it. In my mind it's just easier and more safe to rent.' 'I think more and more people are going to go away from buying and start renting more just because it's convenient. It's a no brainer to rent, especially when you're young and you want to live in the city.'

The story appears to be the same in most cities around the country. Even though affordability is very high, renting just seems like the safer bet for many on the fence.

The big question of course is whether this is a temporary phenomenon or not?

One important fundamental of note: There is very little multi-family supply, as new construction essentially ground to a halt during the housing crash. The endless supply of REO SFH is sitting there vacant, waiting to be bought, brought back to market condition and utilized as long term rentals.

For those of you looking to be part of the new venture. We are looking for one (1) capital partner.

Capital Partner requirement: $200k Investment (these funds will be used for the opening of company branded Real Estate office and the purchase and rennovation of the first three model homes). Offices and homes are projected to generate profits within 60 days. Projected profits based on one time 200k cash injection over 15 year period is 3.2 million in cash and 40k monthly revenue. *Note: these projections are ultra conservative, and do not include any profits generated from the real estate office, Sales of the planned REIT or franchise of the business model to other states.

If you are interested, please contact us in private for full business model and to discuss working and capital relationship.



Angel Investors / Private Investors
Angel Investors


Thursday, February 3, 2011

One Very Important fact for my fellow investors in regards to plentiful inventory, and a quick heads up for the realtor / brokerage firms that think we do not know what has been going on!

Two things!

#1 What Investors should know about Inventory currently out there.
#2 What Realtor and Broker groups should know about the rest of us "that including the government" catching on to what you have been doing...

So onto this week's information:

#1 Only 30% of foreclosures on market

RealtyTrac Senior Vice President Rick Sharga said major banks currently hold roughly 1 million REO, or homes repossessed through foreclosure, but only 30% have actually made it onto the market. According to its year-end report, foreclosure filings reached a new high in 2010 and should climb even higher this year, possibly surpassing 4 million filings. And that's not counting the more than 5 million delinquent loans that have yet to enter the initial stages of the foreclosure process, Sharga said.

The major kink in the housing market's recovery, and for the macro economy overall, is the work left to be done on homes currently in the foreclosure process, those about to enter it and the amount of repossessed homes the banks must shed. Striking a proper balance on how to manage this shadow inventory of foreclosures is vital for the banks to show a healthy balance sheet while not dumping too many distressed properties onto the market, further dragging down home prices and values.

A recent study from Morgan Stanley showed the shadow inventory, those properties facing imminent default, evolving from mostly subprime and Alt-A loans to containing more prime loans as elevated unemployment levels have pushed more homeowners behind on their mortgage. Analysts said that some 8 million repossessions would need to be liquidated over the next five years before the market stabilizes. Adding to the problem are recent issues the banks are having processing the paperwork. In October, the banks had to hold up foreclosures to refile affidavits signed improperly in many states, pushing more than 250,000 foreclosure cases into 2011.

Reports recently showed that the problem may have spread to the notices of default as well. And in the 23 states where lenders must foreclose on a homeowner through the court system, backlogs of cases have formed month-long delays.

This just reinforces the business model I follow, and should encourage more to act!


#2 FBI "Bid Rigging / REO Realtor Failures To Submit Offers" Investigations Stir Up San Fran.. and are gearing up for nationwide


The recent FBI investigations into California bid rigging taking place at courthouse auctions and accusations that REO Realtors are not submitting investor offers to banks in California are having repercussions throughout the United States. Investors and bird dogs alike desire up-to-date information related to the ongoing investigations with specific data on how to identify or avoid potential problems when Buying at Auction or dealing with Bank REO Realtors.

Bid Rigging Explained

For those that haven't yet heard the news, the FBI is investigating real estate speculators and Real Estate REO Agents that have been "rigging bids" in the San Francisco Bay Area and elsewhere throughout the nation. Bid rigging is considered a federal violation of the Sherman Antitrust Act and subject to 10 years in prison and up to $1 million dollar fine if convicted. The current investigation has come about due to claims that small groups of industry insiders are collaborating to fix prices by refusing to bid against one another. The case was supported by a probe into the affairs of a Stockton real estate agent that plead guilty to bid rigging last April; since that time the FBI has expanded their probe and is now issuing nationwide alerts while encouraging anyone with knowledge about anti-competitive practices at foreclosure auctions / or when submitting offers on individual properties to call their published tip line.


Bottom Line?

Bird dogs and investors must understand the proper way to compete at court house auctions...And also there rights when submitting offers to REO Real Estate Agents.

Just ask yourself as a investor how many times you have placed a bid on a property "only to hear that it was rejected" to find out six months later it is either still for sale / or sold for less.

If you are submitting offers but are not receiving a letter of refusal direct from the bank on "Letterhead", there is a good possibility your offer was not submitted or the agent is allowing you to find great properties and then the agent places bids for his/her investment group.

Do not allow this practice to continue.

Know your rights and start making complaints direct to the FBI




Angel Investors / Private Investors
Angel Investors


Thursday, January 27, 2011

CHINA IS GIVEN 257 CITIES IN AMERICA TO BUILD AND GOVERN, GOOD THING ASIANS LIKE ME.. SERIOUSLY TAKE FIVE MINUTES TO READ THIS "THIS WILL KEEP MOST AMERICANS UP TONIGHT"

*Note: I will make this statement before you read this, the information contained below is 100% legitimate, and I have no political opinion one way or the other. "Frankly I look forward to making some money building low income subdivisions for them"

SO THIS IS WHAT OBAMA AND THE CHINESE WHERE UP TO, SEND THIS TO EVERYONE ON YOUR LIST, WRITE LETTERS TO THE EDITOR AND GET THE WORD OUT!



This is an urgent message! Read this and spread the word! Subject: Foreign Trade Zones.



This is unbelievable at first, but you will soon realize that there are several motives for the global communists to physically weave our United States territory together with communist China. Read On! Here’s what is going on!



Each and every one of our state governors has approved and allocated a certain amount of acres of their U.S. state land to be inhabited by Chinese communists –communists straight from China! They are to set up little towns and live here, supposedly for the purpose of producing Chinese products for sale in the U.S.A. The land the states are giving them for their little towns will be considered “foreign territory”!!! We are told that the laws of the state (in which these Chinese communists dwell) will apply to the communist Foreign Trade Zone (FTZ).



Comment: If so, why are they allowed in here!??! Isn’t the whole set up unlawful??? There are 257 of these little communist towns to be built all over the United States.



Go to this website and see the list of the states, and how many FTZ’s are to be erected in each and every state! Our nation is being peppered all over with these communist closed towns called “zones”! This insane brainstorm by Washington, D.C. officials was just recently discovered by alert citizens in the State of Idaho, where an FTZ is being built there, just south of Boise, Idaho, possibly 30,000 acres of Idaho is going to be used for that FTZ. Check this site quickly before it is removed:



http://ia.ita.doc.gov/ftzpage/letters/ftzlist-map.html



When you get to this website, be prepared by having enough paper to print 40 pages, listing all the FTZ’s to be built over the whole United States!

257 of these FTZ’s!

It is absolute insanity!! How gullible are we???



The excuse given for creating communist towns all over our nation is that these Chinese people will produce products for sale in the United States, and the FTZ will eliminate overseas shipping costs of the products they create! A bizarre excuse!!!



Can’t we manufacture our own products anymore with American workers? How foolish are we to allow this???



Remember the hard-learned lesson taught to gullible people back in ancient times, when the Trojan Horse was built and they pulled it past their protective gates??? Do we Americans look THAT STUPID to the Chinese and to our Washington,D.C. leaders???



It will not mean jobs for Americans. All the help will be Chinese! Besides, it is to be classed as “foreign territory”, remember! You won’t know what is really going on inside the enclave. Is there any danger for Americans to allow this?



What do you think?!!!



It is a known fact that China has been preparing for war against the United States! Many guns are pointed at us. Why should these FTZ’s be allowed??? What is the real reason??



Some people are wondering if the American land in these FTZ’s is being given as collateral for the huge debt we owe to China? Some people are asking: “Does China own us and is our land collateral in case we don’t pay the debt?” China is allowing American businesses to get established in China as FTZ’s. Americans must build the structures in China, and they must employ all Chinese people to do the work in what is built there. After a short amount of years, the Americans must vacate, leave the buildings and let the Chinese keep the technology and the active operation as on-going. What this amounts to is transferring American technology and management to communist China.



FTZ’s are also known as SEZ’s (Special Economic Zones) Please relay this information to all your friends. Someone has to answer for this on state and federal levels! What a set-up for sabotage, espionage, and a study on how to take over the whole United States in a war! Because the newspapers and other media are controlled, they will not be reporting on this unless there is a great public outcry. Remember when being a communist was a punishable crime in the U.S.A. My, how we have changed! "Jesus they have tried to bury me for less"



Complete reversal. Best to take this information to local public officials as well as all your contacts. Please do not delay spreading this information. Check with Idaho Eagle Forum also for updates http://www.eagleforum.org/


.

Friday, January 14, 2011

3 YEARS IS THE INVENTORY PUBLISHED! AND THAT IS NOT COUNTING THE SHADOW INVENTORY...

The foreclosure dump for 2011

"It's coming, no question. [Yesterday's] report from RealtyTrac serves as a warning to big banks, Fannie, Freddie and local communities; The foreclosure glut is coming, and they'd better be ready to get rid of that glut in a big way. 2010 saw a record number of bank repossessions, over a million, even with a big drop in volume toward the end of the year, thanks to the robo-signing scandal and ensuing foreclosure freezes. 'Early indications in January were that this robo-signing related delay will be over by the end of first quarter if not sooner,' says RealtyTrac's Rick Sharga.

'I think we're going to see a significant spike in foreclosure activity early in 2011, and that will contribute in part to 2011 being a record year.' Sharga estimates as many as a quarter of a million foreclosures that should have happened in 2010 will now be pushed into the 2011 numbers, and added to an already huge supply of bank owned properties.

The four biggest banks already have close to $7 billion worth of foreclosed properties (REO) on their books, and Fannie and Freddie have about $24 billion collectively.


While REO sales make up about one third of all sales in the current market, there is an estimated 3 year supply *NOTE: This does not count shadow inventory. There are obviously many incentives to buy REO's, number one being the price discount, as well as some other programs offered by the government; but there are a lot more downsides. Just today I read an article in the Wall Street Journal of witches in Salem being hired to remove the negative spirits from foreclosed homes. Other similar burgeoning businesses include Feng Shui experts, etc.

I WAS ASKED HOW QUICKLY WE CAN ESTIMATE SELLING A RENOVATED HOME?

HousingWire today reports on a study by Field Asset Services that finds rehabbed REOs spend five fewer months on the market, 69 days compared to 222 days. Many investors buy foreclosures and do the rehab themselves, but for regular home buyers, clearly having the home renovated, with no sign of the preceding trouble, is a huge added value.

Through its Neighborhood stabilization Program, the Department of Housing and Urban Development has provided $7 billion in grants to local governments and nonprofits; that money can be used to rehab foreclosed properties, or, to bulldoze them. I also know there have been many discussions brewing within the government and at the banks with hedge funds looking to buy up bulk foreclosures. So far no big deals we know of, but they're coming for sure. The government may even be considering incentives to get more investors to buy foreclosures, which I blogged about over six months ago. As the numbers mount, the GSE's and the banks will have to put more resources into unloading these properties, especially as new Spring organic housing supply comes on the market. If they choose to slash prices even more, the dip in overall home prices may fall deeper than expected."



Angel Investors / Private Investors
Angel Investors