Author: Roy Landers
The subprime mortgage real estate fiasco has created a glut of residential real estate in the real estate market. Foreclosures are on the rise and it doesn't look like the end is in sight for at least another year. Thousands of home owners are losing their homes because adjustable mortgage rates have adjusted upward and caused increases of monthly mortgage payments so high that the affected home owners just can't make the payments. It is inevitable, under these circumstances that many homes go into foreclosure and banks have to take them back.

While it is unfortunate that many home owners are losing their homes, the opposite and upside effect is that the real estate market is now a boom for the first time home buyer .

Mortgage interest rates are still low and banks and real estate lending institutions have 30-40 year fixed loans for home buyers. With home values in many areas around the country, such as California, plummeting anywhere from 30-50 percent of what they were a year ago, the market is wide open for buyers who have never owed a home and would like to do so now.

Lending institutions and sellers are very motivated now and are readily lending their ears to home buyers saying "lets make a deal" and deal they will. Here are some of the innovative and sensible ways home buyers can now acquire a home of their own when they are armed with some real estate homebuyer education.

1. Use government grants and loans for down payment assistance.

The federal government in 2003 established the American Dream Down Payment Act. This federal law has allocated $200 Million a year since 2003 to assist with arranging down payments for first time home buyers. This is a good indication of just how serious the government is about helping Americans make the American dream of home ownership come true.

Fannie Mae, one of the many federally supported programs for home buyers has programs such as the MyCommunity Fixed Rate Mortgage. This unique program is ideally suited for the first time home buyer. It provides for low down payment, high loan to value with broad flexibility, including nontraditional credit considerations allowing for the buyer to qualify for the loan. It also has special financial options to serve public servant professions such as teachers, police officers, firefighters and health care workers, and people with disabilities.100% financing is available with 30-40 year fixed rates. Check out the details at http://www.money2close.com/.

These funds, in addition to other government funding sources, are made available through federal, state and local government agencies that provide down payment assistance to their citizens on a case by case basis.

Every major city and county has one of these programs. One need only exercise a little initiative and these funds can be acquired. Contact your local housing authority, city managers office or county administration department to find out about them and how to apply.

2. Use non-profit agency down payment assistance

Another little known, but long existing opportunity for first time home buyers to acquire help with down payment assistance is the numerous numbers of non-profit agencies around the country that provide free down payment assistance to home buyers. The Community Reinvestment Act of 1977, enacted by Congress in 1977 and revised in 1995, requires banks located within identified communities to make loans and reinvest the depositors' deposits within that community.

For decades now and continuing into the future banks have been making huge amounts of funds available to invest in targeted communities. However, the availability of the funds was not publicized in a significant way and many people did not and still do not know about these funds. Many non-profit agencies became aware that they could help in the community revitalization effort by creating a means whereby the banks could channel the funds through various home assistance programs that non-profits created. The non-profits that specialize in this type of program have grown over the years. Some are very large and are nation wide such as the Nehemiah Corporation.

They get funding from the banks via the Community Reinvestment Act and other funding sources and then provide for down payment assistance and other housing assistance to persons desiring to own a home.

One of the high points of these programs is that the funding is often times not limited to first time home buyers and certainly is not limited to only low income home buyers. This creates yet another source of down payment assistance for the prospective home buyer. Given the numerous avenues of funding to assist in buying a home and the present market swing in favor of home buyers, buyers are now firmly in the driver's seat.

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Author: Ted Brumby
Home ownership is the dream of many Australians, but taking that first step onto the property ladder is now harder than ever. The current housing affordability crisis puts many properties out of the reach of first home buyer budgets. And spiralling rents make it increasingly difficult to save for a deposit without significantly impacting on lifestyle. As a result, many young people put their dreams on hold and delay buying their first home until well into their 30¡¯s.

To assist first home buyers overcome these difficulties, many lenders now offer no deposit home loans . A no deposit home loan enables the purchaser to borrow up to 100% of the purchase price of the property, without affecting eligibility for the First Home Owners Grant or first home buyer duty exemptions. The borrower simply needs to be able to afford the repayments and have funds available to cover the transaction related costs such as legal fees, any statutory charges, mortgage insurance costs and the cost of a deposit bond, if required.

To help understand how a no deposit home loan works, here¡¯s a simple example: Say Andrew wants to buy a $350,000 property. He¡¯d usually have to save a minimum 5% deposit (or $17,500) and show evidence of a savings history. Because he¡¯s borrowing over 80% of the property valuation, Andrew would normally have to pay mortgage insurance. On this loan amount this would typically be over $6,000. In addition he would have to pay other fees such as legal costs and possibly stamp duty (in some States first home buyers are exempt). Straight away, we can see they he is going to need over $25,000 just to get started.

However, with a no deposit home loan Andrew doesn¡¯t need to save a deposit, or demonstrate a savings history. Plus he can use his First Home Owners Grant, or a gift from family, towards his remaining costs. This means he can now afford to stop paying rent and buy his first home faster.

So for want-to-be first home buyers stuck in the rental trap, a no deposit home loan offers a flexible alternative.

Whilst many lenders now offer no deposit home loans, it¡¯s worth shopping around and checking out what¡¯s on offer, as products do vary. For example, some lenders charge the borrower a higher interest rate for a no deposit home loan than on a more traditional home loan, where a 5% or more deposit is paid. Equally some lenders restrict the borrower taking out a no deposit home loan to just one or two home loans choices, which may not be best suited to the borrower¡¯s circumstances. So when it comes to choosing a lender, a little research can pay big dividends.



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Author: Mike Taylor
One of the funniest movies I ever saw was "The Money Pit" starring Tom Hanks and Shelley Long. They play a newly married couple wanting to buy a house but can't find anything in their price range. When they find a beautiful old mansion that is selling for a ridiculous price they buy what they think is their dream house.

Once they move in the house starts falling apart everywhere and they have no choice but to remodel the entire structure. The rest of the movie is devoted to the many problems they encounter during the remodeling project. From dealing with no water to missing staircases this movie is admittedly an extreme scenario of what could happen while remodeling.

The good news is this is one example where life does not imitate art and most people that are thinking of remodeling their home will not have anywhere near the experience Tom and Shelley had if they plan accordingly.

As you are most likely not in a situation where a complete house remodeling is needed right away you will have some time to decide exactly what it is you want to accomplish. Do you need another bathroom or maybe you want to add an extra stall in your garage?

These are questions you will need to answer up front before you start any work. Write down on paper what it is you want and make a drawing you can show the contractor. You might want to consider buying some home remodeling software for your PC as these packages are reasonably priced and can be used for just about anything from building a new house to room additions.

Unless you are handy and are going to do the work yourself once you have your plan you need to find a reliable contractor. This is much easier said than done and you would be well advised to talk to at least three before making a decision. Get references and check them out and try and inspect some of their previous work. Asking your acquaintances if they can recommend someone can be a safe way to pick a contractor that you will be happy with.

Get a general project estimate from each contractor and if it's more than you wanted to spend consider using less expensive materials or scaling down the project some. Be very suspicious of anyone that says they can do the project for an amount that is unrealistically lower than your other estimates.

Next, you need to set a realistic budget that you must adhere to making sure to pad the budget with a little extra for the inevitable problems that will crop up. Be sure to get everything in writing in case you have any serious problems during the project. By having everything spelled out as to the scope of the project and when it will be completed you will be in a better legal position if there are problems. Don't be afraid to consult with your attorney if this is a large project with a lot of money at stake.

If you lack the cash and need to finance the project with a home equity loan you might want to ask yourself if you really need to be doing this remodeling project at this time. By waiting until you have saved up a bit more money you could save quite a bit in finance charges.

If you do your homework and plan everything up front your home remodeling project should be completed on time and on budget giving you the results you desired when you first started the process.



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Author: Home Remodelers Group
A backyard isn¡¯t the same as it used to be ¨C a place to grill, where kids play ball, or just an extra spot to mow. Now the trend is to make the backyard an outdoor retreat or an extension to the house . The Home Remodelers Group® can help transform your outdoors into a beautiful year round sunroom, a deck for entertaining or even an outdoor kitchen.

As reported in the May 2006 Consumer Reports, designing and furnishing an outdoor room is the second most likely home-remodeling project to do. Specifically, approximately 1.2 million U.S. households will install a fully functional outdoor kitchen, according to a study by the industry research company inquiry.

In 2004, Better Homes and Gardens magazine received survey responses from nearly 60,000 Americans describing home improvement projects and future home-building aspirations. Better Homes and Gardens found that people want indoor/outdoor livability, technological innovations, flexibility for family needs and a kitchen-centric focus. (REMODELING Magazine, September 1, 2005)

Homeowners are seeking ways to make the outdoors a functional part of the living area. To accomplish that, the barriers between outdoors and indoors, such as walls and solid doors, are going away. As cited in ¡°A Simple Way to Increase Outdoor Living Space¡± at HGPgal.com, for homeowners looking to add to their living space, improve their lifestyle and increase the resale value of their home, the perfect solution is to extend living areas outdoors through the addition of decks, patios, outdoor kitchens and entertainment areas.

"The line between the house and the outdoor space continues to disintegrate," says Julie D. Taylor, author of Outdoor Rooms. "Many designers are using the same, or similar, materials both on the interior and exterior to extend the house to the outdoors. It breaks down the barrier and gives a feeling of a larger house."

Alternatively, instead of thinking of the barriers disintegrating, another solution is effective indoor-outdoor connections. These connections can include French doors opening up onto a porch, or the addition of a window to expose a lovely view. Indoor-outdoor connections can be as simple as adding a mudroom between the garage and the home, or more complex, such as an outdoor entertainment area placed just outside the doors of a home's main gathering space. Adding visual connections to the outdoors, such as through the addition of glass doors or enlarging a window, adds value to your home by making its interior space appear larger than it actually is. (¡°Connect Inside of Your House with the Beauty Outdoors,¡± Ann Robinson, Deseret News, April 2005)

To create the outdoor living space that you want, start by determining your budget and your desires.

Consumer Reports provides some tips about what to consider for building room extensions or outdoor entertainment areas:

* Determine how you will use your space

* Consider location

* Be sure to weatherproof

* Incorporate lighting and heat

* Consider safety

No matter what extension you decide to make, it will undoubtedly add value to your home. As cited by Ann Robinson in Deseret News, ¡°Exterior living space adds usable square footage to your home without costing you the $120-plus per square foot you'd spend for the construction of an addition.¡±

The Home Remodelers Group® can work with you to determine your indoor-outdoor remodeling desires. We have many gorgous sunroom plans and other renovating features available on our website at http://www.modular.ca. So, if you need a new area to relax and enjoy reading your favorite book, a place to create a new home gym, a place to add a spa to create your own special oasis, or an area for entertaining family and friends, a new sunroom, deck, or outdoor kitchen may be the perfect solution. We can help bring the outdoors in or take your family out in a comfortable and relaxing setting.


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