Will a Bank That Turned Down a Loan Mod Approve a Short Sale?
Wednesday, 20 March 2013
Question: “My bank turned me down for a loan modification. Does that mean they’ll probably turn me down for a short sale too?” Answer: Good news. The answer is “no.” Short sales and loan modifications are handled by two separate departments at the bank. Their criteria for approval are different. Yes, both generally require some
- Published in Q&A - Home Selling Questions, Short Sale
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Is It More Expensive to Sell with VA Financing?
Wednesday, 13 March 2013
Question: “I’ve heard it’s more expensive to sell with VA financing. Can you explain?” Answer: Happy to. VA (aka Veteran or G.I.) financing is a government program and has certain rules. Most are to ensure that veterans only buy homes in good condition. The downside is that these rules can cost homesellers and discourage some
- Published in Q&A - Home Financing Questions
Why You Sign the Buyer’s Offer in a Counter-Offer
Tuesday, 12 March 2013
Question: [Question from one of my homeseller-clients who is making a counter-offer to an offer we received.] “Gary, I don’t agree to the buyer’s offer. So why am I supposed to sign it when I make a counter-offer?” Answer: Great question! In a legal sense you are rejecting the offer when you make a counter-offer.
- Published in Q&A - Home Selling Questions
How Are FICO Scores Measured?
Wednesday, 06 March 2013
Question: “I’ve been working again now for 6 months, so my FICO score should be improving…” Answer: While having a job means you have more money to pay your bills, it does not directly impact your FICO or credit score. FICO scores measure 5 things: 35% Payment history 30% Amounts owed (as a % of
- Published in Q&A - Home Financing Questions
Can’t Do a Tax-Deferred Exchange on Your Principal Residence
Tuesday, 05 March 2013
Question: “I’d like to sell my Clairemont condo and buy a little house in P.B. An agent said I could do a tax-deferred exchange and buy another home without paying any taxes. Is that correct?” Answer: A little knowledge can be dangerous. The agent was trying to help, but applied rules for investment property (“tax-deferred
- Published in Q&A - Home Selling Questions
How to Know if You’ll Profit from a Flix-and-Flip
Wednesday, 27 February 2013
Question: “How much under-market do I need to buy a home to make money on a fix-and-flip?” Answer: There’s no simple formula, because of all the variables: Financing Fix-Up Cost Fix-Up Time Added Value Market Time Negotiation Transaction Management Appreciation – Financing – Obviously, you want to get a loan at the lowest cost possible
- Published in Q&A - Home Investing Questions
That Offer You Got in the Mail Could Be a Scam
Tuesday, 26 February 2013
Question: “I just got a letter in the mail from someone who says he wants to buy my home. I’m a little suspicious. Do you think it’s legit?” Answer: Some are legit, others not. While it could be real, often it’s an investor looking to buy your home way under value. A client called me
- Published in Q&A - Home Selling Questions