Banks are ‘Full of it’
The media has been bombarding us about the “mortgage meltdown” or the credit crisis, and banks have been wringing their hands and denying investors credit because of the terrible situation–Hypocrites! It’s the institutional lenders that caused the credit crisis by handing out adjustable rate mortgages (ARM’s) like kids in a candy store.
What they did was actually quite clever–they exploited a loophole in their own underwriting rules. You see, one of the key factors about whether a borrower will qualify for a loan is whether their income is sufficient to pay the mortgage they will be taking on. Now, with ARM’s the initial mortgage payment for the first 6 months, 1year or longer, is very low. It’s the teaser rate. This is the rate the underwriters used to qualify applicants. There were situations where a buyer earnign $30K could qualify to buy a $500,000 home!
However, when those rates readjusted to some base rate (prime, libor) + 5 to 10 points, the payments skyrocketed, often to many times the monthly payment. For most, it was “game over”. Foreclosures and bankruptcies ballooned to the full-fledged “Foreclosurethon” we have today.
Now the banks have “tightened” their lending requirements to show how concerned they are. My prediction is that this will last for about a year. Then, there will be some new scheme, because unless lenders lend, they can’t make money.
By the way, if you want to know how to fund every deal you do, I’ve created the absolute best and most comprehensive funding manual you will ever see called “Show Me the Money“. It contains step by step instructions on how to get money from private lenders, high net worth individuals, lines of credit, financial institutions, buyers, sellers, notes, and much, much more. And, it’s a ridiculously low investment (for now!). Click here and Get in NOW.
Richard Odessey has been investing in Real Estate since 1999 and have bought, managed and sold over $5MM in assets over that time period. He has created a national network of RE investors that are a source of continual on-the-ground intelligence. Richard has also developed unique and proprietary tools to zero in on only high profit-low risk transactions.
Dear Investors:
Richard is so right, the banks are the ones that came up with these crazy programs - They (banks) act like it is the public’s fault that these badly constucted loans are falling apart. I to believe in another year or so the banks will be giving away money again. This whole crisis has also washed away those so called “mortgage brokers” that were just in to it for the money not to assist homeowners either.
What are your thoughts?
Pat Gage
http://www.10stepstomoney.com
Hi,
I just wanted to know as to whether I can obtain a finance for my business while not residing in the US. Is it possible?
Please revert.
Nashwan M. Abd
Dubai - UAE
PS: Please be informed that I am based in the world’s most growing economy.
show me the money is good for established business or the new business
who can not show the tax returns and financial statements?
i really wanna learn more i just do not have the funds to purchase your program if there is anyway you can help me please dont hesitate to contact me!!
As a retired professional (engineering) I have spent bucks over the past 3 1/2 years preparing myself to enter the real estate investiment industry. I have taken courses on line in Real Estate, No Money Down, Forclosures, Tax lien Sales, Short sales, etc. They were all educational but stopped short of providing the most important ingrediant. “Financing the deals”. There is always a gimmick to entice you spend even more money to attend a book camp or some other crafty scheme that promises to bring you to that next level. The Internet is brimming with them. Can you teach me where to get a list of bona fide resources that are ligtimately interested in doing a deal with a novice
(beginner) an honest business man with good credit?
If so I would be interested in doing business with you.