IreneNewlove's Blog

An example of creative real estate investment? When I was young, I had a job that paid $3.40 an hour, and I somehow saved enough to buy my first piece of real estate - 2 acres near where I lived. It cost $3,500.

I spent a few hours removing brush, outlined a driveway with logs, and hand painted a sign. Two weeks after I bought it I sold the land for $4,750, with $250 down, $100 per month, at 11% interest. With the capital gain, my annual return on investment was over 20%. This was my first real estate investment.

Creative Real Estate Investment - The Key

I bought the land cheap, because the seller needed fast cash. I solved his problem. I sold the land higher than the market value because the buyer needed easy terms. Second problem solved. Solving problems is the key to creative real estate investment.

Cell phone companies, radio stations, police departments and others need hill tops for their towers. The problem is that they can't tie up their capital buying them. One creative investor found a way to solve their problem.

He got six month options on hill top properties for a few hundred dollars. Then, when he found those who needed them, he would get a long term lease signed. They built the tower themselves, of course. With a lease in hand, it was easy to get financing to exercise the option and buy the properties. He invested a few hundred dollars to create years of income.

Trees are needed by lumber mills. A friend of mine solved this problem by letting a company cut half the trees on his small property. They paid $4,500, and I couldn't see the difference when they were done. The property was worth as much the day after the cut as the day before. My friend lived there, but a creative investor could buy property like his, sell half the trees, maybe clay or gravel too, and then re-sell the land.

To solve problems, you have to figure out what they are. Do people need easy terms? Cleared lots? Lumber? Better access to a piece of property? Smaller pieces of land? Condos instead of apartments? The list could go on. Just remember that solving problems is the key to creative real estate investment.

Steve Gillman has invested in real estate for years. To learn more, go get your real estate investing course free at:  

Locating a Down Payment

If you are a saver, and many of you are, than the need to locate a down payment will not be an issue for you.

But there are also many of us out there that have not had the luxury to save as much as we would have liked for various reasons. With this challenge at hand, we will need to track down a source for a down payment.

If you have excellent credit, and when I say excellent, I mean your credit history is perfect without a blemish on it, you will most likely be able to apply for a mortgage with 100% financing, if you choose to go that route.

A lot of lenders offer this product, and if you can swing it, than you won’t need to come up with any cash for a down payment, and you will only be responsible for closing costs.

If you are unable to go with 100% financing, here are a few ideas you might look into to come up with a down payment.

Retirement Plans

If your employer offers a retirement plan such as a 401k, you might want to consider borrowing from it to help out with your down payment. Most 401k plans offer this option for home purchasing reasons. You do however have to pay this money back on a monthly basis.

The down side to using a 401k plan is that when you pay the loan back, you are doing it with after tax dollars.

With that being said, it is still worth looking into, and a lot of people consider this option.

Family

When all else fails, ask family members to give you a helping hand. This is not an uncommon practice among newlyweds who often approach their parents for assistance with their down payment.

If this is not for you, I understand. It can be tough to swallow your pride and approach family members to help you out.

Save

If you are at the end of your rope, and there doesn’t seem to be any down payment money in sight. You just might have to bight the bullet, start saving, and wait it out.

A great way to jump start your savings is with your tax return money. Depending on what your return is and what percentage the lender requires you to put down, your tax return could have you in the door sooner than you think.
Jennifer Hershey has more than twenty years of experience in the Mortgage Industry as a loan officer. She is the owner of a mortgage resource site devoted to making mortgage terms and products easy to understand.
 

Oklahoma is a state that conjures up images of cowboys, indians, college football and dirt track racing. If these subjects appeal to you, you’ll be happy to learn Oklahoma real estate prices are very low. 

Oklahoma

Once known as the Indian Territory, Native Americans and their culture heavily influence Oklahoma. This give the state a unique relaxed atmosphere with even Oklahoma City feeling less hectic than most cities. As to the geography, plains make up much of the state, but rolling hills can be found around the northern areas of Tulsa. Lakes can be found throughout the state, which provide plenty of opportunities for fishing, hiking and outdoor activities. All and all, Oklahoma offers a relaxed, inexpensive relocation option for potential homebuyers. 

Oklahoma City

Oklahoma City is the largest city in the state and is typical of a Midwestern city. The city has seen a revitalization effort, but still maintains a certain relaxed atmosphere that is unique to the state. Unfortunately, Oklahoma City was also the location of the terrorist bombing of the Alfred P. Murrah Federal Building in 1995. Museums and memorials have been set up in remembrance for the loss of life. 

Tulsa

Tulsa is an odd city because of two contrasting influences. On one hand, Tulsa has a pretty impressive art movement involving building architecture, museums and art galleries. On the other hand, Tulsa is an extremely conservative Christian town and is often considered to be the heart of the Bible belt. Despite these apparent contrasts, everything meshes incredibly well. 

Oklahoma Real Estate

Oklahoma real estate prices are universally on the low end of national prices. A single-family home in Oklahoma City and the suburbs will cost $185,000 on average. The same home will set you back roughly $145,000 in Tulsa. 

With such low prices, one can’t expect to see a soaring appreciation rate for Oklahoma real estate. In 2005, property appreciated at a little over five percent.
Raynor James is with - FSBO homes for sale by owner. Visit our "sell my home" page at to sell your own home yourself with a free 1 month listing.

From Niagara Falls to the Catskills to a little city with the Big Apple nickname, New York is truly the Empire State. New York real estate prices reflect this lofty nickname.

New York

While New York City gets a lot of publicity, New York is a state with a lot more to offer. Go upstate and you’ll find spas, horse farms and resorts in the green, towering Catskills and Adirondacks. Lakes and springs present throughout the state are also popular places to live and visit. Of course, if city life is your thing, there’s a little, unassuming place called New York City. 

New York City

Where does one even begin to describe New York City? I’m not even going to try other than to say it is perhaps the dominant “big city” in the world. Space is at a premium and so are real estate prices. This is one of those situations where if you have to ask about the price of a home, you can’t afford it. 

Buffalo

The second largest city in New York, Buffalo is a misunderstood city. Known for getting massive amounts of snow in the winter, Buffalo actually has a lot to offer. A very wealthy town during the industrial revolution, the town has beautiful art-deco architecture and historic Victorian homes in the downtown area. A bit sprawling in the suburbs, Buffalo offers reasonably priced real estate compared to the rest of Niagara Falls. Lake Erie to the west of Buffalo makes a great setting for summer fun. 

Rochester

A sprawling city, Rochester is dominated by some of the best-known brands in the world. Home to such companies as Xerox, Kodak and Bausch & Lomb, the city offers plenty of jobs and a distinct well-healed atmosphere. This is particularly true in the downtown area, which reflects the economic strength of these companies. 

New York Real Estate

New York real estate prices are entirely dependent upon the specific location. If you’re looking for a home in New York City proper, a bank robbery may be in your future as an absolute closet is going to run you close to a million if not more. Things aren’t as bad elsewhere. 

A single family home in Buffalo will set you back roughly $225,000 on average, while the same home in Rochester will run an additional $30,000. Appreciation rates for New York real estate were a little more than 13 percent in 2005, but differ greatly by location.
Raynor James is with - FSBO homes for sale by owner. Visit our "sell my home" page at to sell your own home yourself with a free 1 month listing.

If you have decided to take the leap into home ownership or you are interested in refinancing your current mortgage, one of the first things you will need to do is track down a mortgage.

I honestly can’t tell you just how many mortgage companies there are in the United States, but I can tell you this, there are a lot of them.

Mortgage companies also come in a few different forms. You might recognize one as your local bank, but there are also wholesale lenders who use not only there own loan officers to originate mortgages, they will also use mortgage brokers. Than you have your retail lenders, who use only their own employed loan officers.

Because there are so many mortgage companies out there, the industry has become highly competitive.

So before you commit to the first lender you approach and start filling out applications, look again, and consider shopping around. Like I said, the mortgage industry is highly competitive, so let them fight over you.

You don’t have to go crazy when shopping for a lender. No more than five inquiries should be your limit. Talk with them, find out what programs they have to offer, and at what rate. Ask about closing costs. Remember, closing costs should not exceed 5% of the total amount of the loan at the very most. (This does not include the down payment).

By shopping around, you will be able to get a feel for what is out there, and whatever lender offers you the best deal to fit your needs and your budget, should be your lender of choice.

The down fall to speaking with one lender is, you are limiting yourself too just their products and services, as well as their rates. How do you know you can’t get a better deal somewhere else? Most likely you can.

Shop around for a mortgage the way you would shop around for a car. Look at a few of them at different dealerships, test drive them, discuss pricing with the sales person, than once you and the selling party have come to an agreement, make the purchase.

Buying or refinancing a home is not something you want to rush into. So take your time and educate yourself. Talk to people within the industry, shop around, than make an educated decision based on what best fits your needs.
Jennifer Hershey has more than twenty years of experience in the Mortgage Industry as a loan officer. She is the owner of a mortgage resource site devoted to making mortgage terms and products easy to understand.
 

IreneNewlove

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