{"id":4438,"date":"2008-09-15T09:43:23","date_gmt":"2008-09-15T16:43:23","guid":{"rendered":"http:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/?p=4438"},"modified":"2008-09-15T09:43:23","modified_gmt":"2008-09-15T16:43:23","slug":"programs-for-the-pessimist","status":"publish","type":"post","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/4438\/programs-for-the-pessimist\/","title":{"rendered":"Programs for the Pessimist"},"content":{"rendered":"

The latest news regarding Lehman and Merrill are not surprising.\u00a0 Still, expecting<\/em> an impending disaster and enduring<\/em> a disaster are not the same thing.\u00a0 For some, a pessimistic leaning may take hold and for you… I have great news.<\/p>\n

In a recent article in the San Diego Union Tribune by syndicated writer Lew Sichelman<\/a>, we learn about a growing business in refinance lending: the cash out, no interest, no payment, no loan… loan.\u00a0\u00a0 That’s right.\u00a0 There are investment companies out there right now loaning cash against the equity in your home.\u00a0 There is no interest rate and no payments because it is not a loan.\u00a0 The company simply gets to share in any equity gain you experience between the time you receive the money and when you sell the home.<\/p>\n

There are restrictions, including a kind of pre-pay penalty.\u00a0 You can not sell the home for an agreed to time period (usually at least five years).\u00a0 But there is also freedom: no restrictions on how you use the money.\u00a0 The investment company shares in your appreciation and<\/strong> your depreciation.\u00a0 Of course, if your home goes up substantially, the cost of the money you received can be exorbitant.\u00a0 But you get use of frozen assets right now, which can be pretty handy.<\/p>\n

Here’s the marketing gem in all of this: There are plenty of clients and prospects on the sideline right now, desperately wishing they could get in the game.\u00a0 This is one of the best buying cycles I have personally ever seen.\u00a0 The problem: they are house rich and cash poor.\u00a0 Here is a solution and it does not add to their monthly budget or future debt-to-income calculations.\u00a0 Show them how to get that “dead” money out their home and into an income producing property.<\/p>\n

HIGHLIGHT: If you think housing is in trouble and things are not going to get better for some time, you can take your equity out now at a cost of: nothing<\/strong>.\u00a0 When you do eventually sell you will still have to pay back the original amount but you will have gained no equity and so the “loan” will have been Read more<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

The latest news regarding Lehman and Merrill are not surprising.\u00a0 Still, expecting an impending disaster and enduring a disaster are not the same thing.\u00a0 For some, a pessimistic leaning may take hold and for you… I have great news. In a recent article in the San Diego Union Tribune by syndicated writer Lew Sichelman, we […]<\/p>\n","protected":false},"author":36,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_crdt_document":"","jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[5],"tags":[],"class_list":{"0":"post-4438","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"hentry","6":"category-real-estate","8":"no-featured-image"},"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"jetpack-related-posts":[{"id":1420,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/1420\/can-i-ease-out-of-my-pay-option-loan\/","url_meta":{"origin":4438,"position":0},"title":"Can I ease out of my pay-option loan?","author":"Morgan Brown","date":"May 12, 2007","format":false,"excerpt":"Heard this one before? I tell you what, if I had a nickel... skip it, you know what I'm saying. During the last few years home owners, especially in areas with exceptionally low levels of housing affordability, have flocked in droves to the \"dreaded\" pay option mortgage. Now with recasts\u2026","rel":"","context":"In "Lending"","block_context":{"text":"Lending","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/lending\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":1343,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/1343\/confessions-of-an-arms-dealer\/","url_meta":{"origin":4438,"position":1},"title":"Confessions of an ARMs Dealer","author":"Brian Brady","date":"April 24, 2007","format":false,"excerpt":"Strategic Equity Positioning is a buzz phrase in the mortgage industry today. The concept of equity management came from the book, Missed Fortune, by Doug Andrews. Andrews, a life insurance agent and financial planner, discovered a strategy that extracts equity from your home to fund tax deferred investments. The response\u2026","rel":"","context":"In "Real Estate"","block_context":{"text":"Real Estate","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/real-estate\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":1558,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/1558\/pay-the-loan-down-and-refinance-later-the-irs-is-out-to-getchya\/","url_meta":{"origin":4438,"position":2},"title":"Pay the Loan Down and Refinance Later? The IRS is Out To Getchya !","author":"Brian Brady","date":"June 21, 2007","format":false,"excerpt":"Rising real estate prices and serial \"cash-out\" refinance transactions has the IRS licking their chops. Mortgage interest deductions are limited to the acquisition indebtedness plus a maximum of $100,000 for home equity indebtedness. Scofflaws have taken advantage of the fact that the IRS is not able to track the segregation\u2026","rel":"","context":"In "Lending"","block_context":{"text":"Lending","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/lending\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":1537,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/1537\/ask-the-broker-whats-up-with-my-apr-and-why-is-it-so-different-from-my-interest-rate\/","url_meta":{"origin":4438,"position":3},"title":"Ask the Broker: What’s up with my APR, and why is it so different from my interest rate?!?","author":"Morgan Brown","date":"June 13, 2007","format":false,"excerpt":"Hot out of the broker oven mailbox today is this question: I am in the process of refinancing. Can you please tell me what the APR should be for a $295,800 loan? The broker is charging 2% origination fee and 1.5 loan discount. The interest rate at 6.64. I'm not\u2026","rel":"","context":"In "Ask the Broker"","block_context":{"text":"Ask the Broker","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/ask-the-broker\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":6180,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/6180\/workable-real-estate-deals-may-require-even-more-creativity\/","url_meta":{"origin":4438,"position":4},"title":"Workable real estate deals may require even more creativity","author":"Greg Swann","date":"December 20, 2008","format":false,"excerpt":"This is my column for this week from the Arizona Republic (permanent link). \u00a0Workable real estate deals may require even more creativity I do a lot of work with buy-and-hold rental home investors, more and more of whom are able to come into Phoenix with all-cash offers. Poor me, I\u2026","rel":"","context":"In "Investment"","block_context":{"text":"Investment","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/investment\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":5638,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/5638\/thus-does-big-mother-make-gonophs-of-us-all-how-to-keep-your-house-by-taking-taxpayers-for-a-ride\/","url_meta":{"origin":4438,"position":5},"title":"Thus does Big Mother make gonophs of us all: How to keep your house by taking taxpayers for a ride","author":"Greg Swann","date":"November 16, 2008","format":false,"excerpt":"This is choice, from the San Francisco Chronicle:To qualify, you must be at least 90 days delinquent and live in the home as your primary residence. You must owe at least 90 percent of the home's value. It's fine if you owe more than it's worth. Your mortgage must be\u2026","rel":"","context":"In "Big Mother"","block_context":{"text":"Big Mother","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/big-mother\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]}],"_links":{"self":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/posts\/4438","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/users\/36"}],"replies":[{"embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/comments?post=4438"}],"version-history":[{"count":7,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/posts\/4438\/revisions"}],"predecessor-version":[{"id":4445,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/posts\/4438\/revisions\/4445"}],"wp:attachment":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/media?parent=4438"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/categories?post=4438"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/tags?post=4438"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}