Beware of Fraud!

The Morgan Hill Times reported a story last night about a couple who have been swindling property owners.   According to the story, the couple has been using fraudulent documents to verify their identity, income, and employment in order to get rental applications approved, and wrote a personal check to cover the move in costs.

Can you see it coming?  I know, it seems obvious to professional property managers and professional property owners, but there are many amateur rental property owners with good intentions that make small, simple mistakes, that end up costing them a fortune, or in some cases, their property to foreclosure.  That's why it's so important that if you decide to rent out your property, you either really educate yourself on professionally managing rental property, or you get yourself a good professional property manager.  Hiring a good property manager will be more than worth the cost in the long run.

Foreclosure Update

Foreclosures ramped up again:  Full Story

Home Sales Increasing in California

Home Sales Increasing;  Full Story

The Eviction Process

The eviction process can be the scariest, and most expensive part of the rental business for the owner/manager.  The process is strictly regulated to protect the residents, and any small mistake or typographical error can/will restart the clock, and cost you more money.

Avoiding Evictions

I've discovered the best way to reduce/avoid evictions is a two step process.

Why invest in Real Estate?

KMPH is reporting that housing in the Fresno area is cheaper to buy than to rent.  All over the state, occupancy rates are rising, and rental rates are rising.  With sales prices still remaining very low, and mortgage rates also remaining very low, this is a great time to purchase an investment property and start earning positive cash flow.  If you're wondering how that works, please allow me to explain..

REO - Buying Bank Owned Properties

Your Guide to Buying Bank-Owned Properties: What to Know and What to Watch Out For- Buyer Beware

With the number of foreclosures skyrocketing in California in recent years, there is a lot of interest from would-be buyers in purchasing bank-owned properties which are also known as real estate owned or REOs.

What are the differences between short sales, foreclosures, and REOs?

What is a short sale? Short sales occur when the value of the property is less than the encumbrances.

Realty Times article points out, short sales are attractive “because lenders often agree to take less than what is owed on the property. The idea here is that you are saving the lender time and money” by avoiding the foreclosure process. Some lenders may agree to a short sale after a default has been filed.

What is a foreclosure?

Realty Times article points out, “When a property is in foreclosure, the owner has stopped making payments and the lender has given the borrower a written Notice of Default that the payments must be brought up to date or the property will be sold off. The notice is a public document (which is why so many websites offer foreclosure lists). It normally takes about two missed payments for a lender to issue a Notice of Default, but not always.” The property is then sold through a public auction process.

What is an REO?

Realty Times article points out “If no-one bids high enough to meet the lender’s price at auction, the foreclosure completes and title transfers to the lender. Real Estate Owned means the property is owned by the lender.” The article went on to point out that “Some investors see REO homes as the best way to buy property because there are no emotions involved: it’s strictly business between the investor, their agent, the lender, and its agent. And because most lenders aren’t landlords (nor do they want to be),

So if you are interested in buying a bank-owned property, here’s what you should consider:

Get Pre-Approved and Be Ready to Act

In the REO market, competition can be fierce. It’s not uncommon for there to be multiple offers on bank-owned properties. Just as you are looking for a bargain, so are many other buyers. You should be financially prepared to make a down payment and you should have a pre-approval letter from a lender in place before making an offer.

Know Where and How to Look

Your agent can help you find REO’s.

Gardening Mistakes to Avoid

7 Gardening Mistakes to Avoid

Even veteran gardeners make rookie mistakes, like giving plants too much water and too little space. Here are common garden blunders. Consider yourself warned.

It’s easy to misjudge and make a mess out of your landscaping. Here are seven common garden blunders, and how to avoid them.

Contractor Disputes

How to Resolve a General Contractor Dispute: Your Legal Options

If you have a general contractor dispute, try some simpler resolution alternatives before you call in Perry Mason.

No matter how carefully you pick your contractor, a dispute with your general contractor (http://www.houselogic.com/articles/how-fight-back-against-bad-contractor/) is possible. Fortunately, you have several options to resolve it-a time-consuming and expensive lawsuit is not always necessary.