By "requiring", they would be requiring it of themselves. There is no law or governing body requiring them to charge a higher interest rate.
Mortgages are credit score driven, and risk based-priced by the lender.
2nd homes and investment properties are viewed by lenders typically as higher risks because in the event of a bankruptcy, or other economic problem that effects the Buyer, the first properties they let go are their new acquisitions, 2nd homes, and investment properties rather than the home they live in, and have built equity in. That is also why they require bigger down payments. The bigger down payment and higher interest rates are to help secure their investment. Since you will agree to let them take back the property if you default, then it is in fact viewed as an investment for them, and they secure their position in advance in the case of default. And since that mortgage will most likely be sold on the secondary market, quickly, it makes it more appealing to the mortgage buyers they sell their portfolios of loans to. It is the cot of borrowing money. We can build by hand, pay cash, or borrow money from others who have it.
If you need any more help, I am a local Realtor, native of Cape Coral, with investment experience, and 16 years as a mortgage lender. I can pretty much cover every question you may have. Save my website address, and call on me any time, 7 days per week. And what is great is that I work for you for free. When I help you buy a home, I will be compensated by the seller, not you.
Robert Guth, Realtor
They are legitimate, but not in your best interest in my opinion. First you have to ask: "If the home is a good deal, why would they want to help me and not just rent it out or sell it since inventory is so low?
To put it nicely, they are preying on your ego. Renters want to be able to tell their family and friends that they are buying a home. But you will essentially still be renting. You will not be on title to the property, so it is just a glorified way of renting.
They will require a big deposit, a contract that is entirely in their favor, and if you miss one payment, they can keep your deposit and evict you because you have defaulted.
And finally, you will be required to get a mortgage in your own name within 12-24 months usually. If you don't, you lose your deposit, and back to square one, but now rather than that money sitting in your bank, you lost it.
But here is the worse part in my opinion. Once you qualify for a mortgage, it will hit you: "wow honey....you know, our credit is good now, we have all of the money saved, we can qualify to get a mortgage for $--------. If we had waited, we would be able to go out and look at ALL of the homes in our price range and have choices. Now we are stuck buying this home, and have no other options."
So what if during your renting period you decided you wanted a bigger home? Another bedroom? A pool? Or you found out that your neighbor was an obnoxious drunk? Too bad.....you limited yourself by letting your ego (and I mean that nicely) rush you in to a bad decision.
IN many cases, you don't build equity either on the "rent to own" property. Some require you to buy at the new appraised value. There are many scenarios and terms, but all favor the seller, not you. I have heard investors actually hope that their "rent to own" tenant defaults because then they would keep a $10,000 deposit, and could easily put another renter in there.
Your best plan is to work on YOU. Save money, maintain a steady job, keep your debts low, pay your bills on time, pay off bad debt, and get yourself mortgage-ready. Then I take you shopping where we will find a property with an affordable payment, very little money to close, and you will own it free and clear from day one and start building equity in your investment.
If you need any more help, I am a local Realtor, native of Cape Coral, with investment experience, and 16 years as a mortgage lender. I can pretty much cover ever question you may have, and I love helping first time home buyers game plan to THEIR benefit. Save my website address, and call on me any time, 7 days per week. And what is great is that I work for you for free. When I help you buy a home, I will be compensated by the seller, not you. So don't be shy.
Robert Guth, Realtor
If you wish to have a more current photograph listed on the Lee County Property Appraisers website, then you can merely take one yourself & upload it to the site. The following information was copied from www.leepa.org/comingsoon.aspx
Send Us Photos of Your House!
Donâ€™t like the photo of your house? Want new photos on our website?
If you would like a different photo of your property displayed on our Web site or have something about your property you want to share with us, you can now upload photos to our office.
To upload a photo, use the Upload Your Photos link that is found in the Taxpayer Services menu. If you do not have an account on our site, you will need to create one and associate your parcels with that account before uploading.
A few Pointers:
Make sure your photo doesnâ€™t show anything you would not want to share on our site. For example, vehicle license plates and pictures of people should not be included.
Make sure the photo you upload is in the .JPG format.
Include a note in the comments if there is something specific you are alerting us to.
Try to get the entire structure framed within the photo.
Note: We reserve the right to either use or not use your photo and to edit it as necessary for display purposes. The photos you upload will become part of the public record associated with your parcel.
If you would like some assistance with this, please feel free to contact me at 239-210-8256
Hi I have a 5 Bedroom 2.5 Bath with a pool for rent. TLC Realty is managing it for me. There number is 239-810-9212. I pay for pool cleaning, lawn care, and pest control. Free internet and basic cable.... more
Hi Joseph! The one important thing you should know, is that FEMA is likely to increase Flood Insurance rates significantly by the Fall of this year. Given the cost, sadly, of so many recent natural disasters, the program is/has run out of money. Whomever you speak with (insurance agent) be sure to have them address this looming issue. Ones' property could be off-water but in a flood zone. The elevation height of the property is the key. The 33991 area does have the barrier islands and preserve to help and most of the homes are newer (usually higher in elevation, but your best call would be to an insurance agent. Bon chance!
Victoria Yereance, RE/MAX Realty Team, 239-823-6917
there is 1 furnished home available but just until October 31. But there are more unfurnished homes in Sandoval available.
Let me know if I can help you!
Leisure American Realty
I have a rental home with a pool listed for $1350. It is a three bedroom, two bath home with a fenced back yard. The address is 3102 SE 8 Ave, Cape Coral, FL 33904. Please let me know if you are interested in viewing the home.
Good Luck to you and your family!
Cape Realty Inc
Chinese drywall includes most defective drywall that was imported from China from 2001 to 2007. This tainted drywall emits sulfuric gas and noxious odors and can cause corrosion on metal surfaces, internal writing, appliances and electronics.
This is the seventh tip in our series: â€œ12 Tips for Buying Real Estate in Southwest Floridaâ€ which is also available as a free eBook at www.AckermanSWFL.com/ebooks/.
Dangers of Chinese drywall
Corrosion resulting from Chinese drywall can create issues with electrical appliances, including alarm systems and smoke detectors. In very high concentrations, Chinese drywall emits hydrogen sulfide, a dangerous gas that is considered fatal in high levels. The highly toxic compounds found in this drywall can be particularly dangerous to growing children. It affects not only their bone growth but also their nervous system.
Signs of Chinese Drywall
Rotten egg, sulfur or ammonia smells upon entering your home can be signs of Chinese drywall. Not all owners report these smells, so it is important that you look for signs of corroded copper wires, air conditioning coils, and corrosion on other metal sources.
If you suspect that you may have Chinese drywall in your home or a home that youâ€™re considering purchasing, it is imperative that you hire an inspector to check your home. Inspectors are licensed and knowledgeable in all aspects of concern in buying a home.
Download our free eBook 12 Tips to Buying Real Estate in Southwest Florida for more information on Chinese drywall such as itâ€™s origination.
Feel free to search our listingbook for homes in Southwest Florida but be sure to contact us before accidentally purchasing a home with Chinese drywall.
The seller and the bank are legally bound to the origainal buyer once a written contract has been accepted by all parties. Sometimes a seller may take a back up offer in a short sale just in case a buyer does not like the terms a bank may come back with in a short sale situation or if the buyer cannot get financing. In the past I've seen several buyers back out of a short sale due to the length of time the bank takes to do their B.P.O. or the final price that the bank decides upon. I am seeing less of that now, since their is less inventory in our housing market.
Joanne LaFleur Broker/Associate
Jones & Company Realty
JLAFLEUR1234@yahoo.com www.swfloridaareaproperty.com... more
You should close as soon as the loan is ready to close, things happen in the real world, the seller could die, go belly up or get sued for divorce just to name a few examples. Or your lender could close up shop, get my drift? The longer you delay the higher the odds are the deal will never close.
NMLS # 6395
Financing Kentucky One Home at a Time... more
You should check with your buyers agent and have them discuss this with the listing agent. As the others have told you, an approval letter is issued but I know of a couple of real estate offices in Lee County that consider the approval letter "confidential" and only release a copy of it to the sellers and the title company closing the transaction.... more
Anything is a possibility! Search for rentals on my website at www.CCParadise.com and let me know if you see anything you like. Contact me to set up an appointment at 239-243-6224 or email me at Frank@GulfGatewayRealty.com.
Gulf Gateway Realty, Inc.
Unfortunately things like this do happen and you have to start over. I have only seen it happen a couple of times and I have handled numerous short sales with great success so if you truly want the home you might want to hang in there.
Find out who now owns the note - do your homework with the assistance of your buyers agent to get an idea of how long the process will take now that you are dealing with someone new. That will give you an excellent idea of how to proceed as far as hanging in there or seaching for another property.... more
Real estate agents are not allowed to give "legal" advice. You need an attorney to assist you with this if you think they are going to try to back out of the contract after they have already accepted it.... more
Also it's unwise to perform any inspections or incur any other costs until/if the buyer receives an approval letter. Oftentimes the listing price is not approved and some Short Sales end up not being the bargain they seemed to be.... more
There are several very nice homes available that may meet all your needs! I would need to know if you have any pets, your max. rent and when you are planning to move? I have lived in Cape Coral for over 25 years and know alot about this great community. Please email me at Dorinas13@aol.com or call me anytime at (239) 910-6485 and I'll be glad to work with you to find a great house! As always, there is no cost to you!
Have a great day,
Century 21 Birchwood Realty
4040 Del Prado Blvd., Cape Coral, FL 33904
If being in a good school is an important issue for you? Start your search on www.greatschools.org
It's a wonderful site that rates the schools in the area. =) I just had a buyer who started on the schools he wanted and then we showed only homes in the areas near those schools. The family also took a tour of the schools while down.
Was a great success! Good Luck with your search! Have a Beautiful Day!... more