Where do our offshore foreign investors go to obtain a loan for a real estate investment?

That would be my dilemma if I were sitting in my office in Buenos Aires noticing I had cash and I was looking to purchase an apartment complex in Miami and convert it to reasonably priced condos.

Former basketball star Earvin “Magic “Johnson was approved for a special building permit by the Miami City Commission to develop a $171 million condominium project in Little Havana.

The Canyon-Johnson Urban Fund plans to build a two-tower, 19-story development in Little Havana called Intown Village.

The real estate developers behind Caribbean, a 103-unit condo complex located in Miami Beach, have obtained $124.7 million in construction funding and are breaking ground this month.

There are few facts that are worth mentioning which will help persons to maintain higher credit scores.

On Monday, Oct. 24, President George W. Bush nominated Ben Bernanke, his top economic adviser, to replace Alan Greenspan as chairman of the U.S. Federal Reserve Board, handing management of the world’s most powerful central bank to someone who is widely respected by liberals and conservatives.

Bush said Bernanke had “built a record of excellence as both economist and policy maker.”  Bernanke and Greenspan flanked President Bush as he made the historic announcement.

This guy Bernanke is no joke.  He’s smarter than anyone who ever attended Princeton, Yale, or Witchita Falls Junior College. 
Greenspan is expected to step down Jan. 31 and will be the second-longest serving chairman of the Fed after William McChesney Martin Jr.
In his statement, Greenspan said Bernanke came with “superb academic credentials and important insights into the ways our economy functions.” He also said:  “I have no doubt that he will be a credit to the nation as chairman of the Federal Reserve Board.”

“Economics is a very difficult subject,” Bernanke once said. “I’ve compared it to trying to learn how to repair a car when the engine is running.”

Give the guy the job, worst case scenario he’ll help the feds tune up their hoopties in the executive parking lot.

Wall street appeared to be please with the nomination.  (I didn’t check Midas or Pep Boys); but, the stock market rose broadly after the announcement was made.
Three cheers for Bernanke…he’s got huge shoes to fill but this guy’s platnium…mark my words.

Via: WhiteHouse.gov

For the 11th straight time, the Federal Reserve has raised interest rates this week. The internet rate was raised one-quarter of a point, to 3.75%. This represents the highest level the Interest Rate has been in four years.

Recently here at miamibeach411.com an on line mortgage application was added.

The purpose of an on line mortgage application is to condense specific personal data and match the data with a variety of mortgage products.

The borrower should determine if he/she has the capacity to repay the mortgage.  If the borrower in fact has the necessary “capacity”, the next step is to determine based on credit worthiness what products are available to them.

In most cases, an on line mortgage application should be completed (name, address, date of birth, and employment status).  Upon completion of the mortgage application; telephone contact should be made. 

When making contact with a mortgage professional, be prepared to release your social security number for free credit evaluation to be done.

Any questions or comments our on line mortgage application will be responded to promptly.

Related stories:
Florida Mortgage Application

They say the best things in life are free; here’s hoping our free credit reports fit in that catagory.

Starting September 1, consumers in 14 East Coast states join the rest of the country in qualifying for a free annual credit report from each of the three nationwide consumer reporting companies – Equifax, Experian, and TransUnion.

The free reports were mandated by Congress in The Fair and Accurate Credit Transactions Act of 2003 (FACTA), which requires the nationwide credit bureaus to provide consumers with a free copy of their credit report, at their request, once every 12 months.

Consumers who want to access their free credit file disclosure, commonly called a credit report,  can go to AnnualCreditReport.com.

“The right to receive a free credit report is an important new tool for consumers,” said Deborah Platt Majoras, Chairman of the Federal Trade Commission. “Not only does checking the credit report give consumers a valuable snapshot of their credit histories, it permits them to detect and correct errors, and spot and stop identity theft.”

I like what Chairperson Majoras says about decting errors and stopping identity theft.

When a bank runs your credit, you get the banks interpretation of the report, but if you run a credit report yourself, you can see the findings, and address any errors.

Questions and or comments regarding free credit reports will be answered promptly.

Since the chief here added a very handy home appraisal tool to the site; and since he asked me my opinion of it,  here is my review of the Miami home appraisal tool.

Perhaps in the future we can “review” other products or items of interest which could lead to contraversy/insight.

Anyway, back to the subject at hand. 

Here is what I like about this appraisal tool:  Lets say Mr. and Mrs. Buyer are out shopping for a home; and, as most home shoppers do, they’re driving by some properties which may be of interest to them.  As they drive by a beautiful property, they jot down the address. 

When they return to a computer, they enter the address of the beautiful property..and ..walla they now have: a legal description, square footage, year built, the date the property last sold, and very importantly the amount it last sold for.

Now, the Buyers can determine with some expertise whether or not they wish to contact the owner, or their real estate agent for a viewing.

The only down side to the appraisal tool is the fact that it cannot produce an appraised value.  Appraised values can only be done by comparison of the property to 3 sold properties and that’s a process unto itself. 

One other drawback is that this tool can only be used for properties in Miami-Dade County.

Any questions or comments concerning the home appraisal tool will be responded to promptly.

Since as a culture we’re dedicated to improvement, why not discuss: credit score improvement.

It’s important to note that raising your credit score is a bit like losing weight:  It takes time and there is no quick fix.  In fact, quick-fix efforts can backfire. 

Here is some credit score improvement information:

Payment History Tips
Pay your bills on time. Delinquent payments and collections can have a major negative impact on your score. If you have missed payments, get current and stay current

The longer you pay your bills on time the better your score.

Be aware that paying off a collection account will not remove it from your credit report. It will stay on your report for seven years.

If you are having trouble making ends meet, contact your creditors or see a legitimate credit counselor. This won’t improve your score immediately; but, if you begin to manage your credit and pay on time, your score will improve over time.

Amount Owed Tips
Keep balances low on credit cards and other “relvolving credit”. High outstanding balances can affect a credit score.

Pay off debt rather than moving it around. The most effective way to improve a score in this area is by paying down revolving credit. In fact, owing the
same amount but having fewer open accounts may reduce a credit score.

Do not close unused credit cards as a short-term strategy of rasing a credit score.

Do not open new credit cards that you don’t need (to increase your available credit). This approach can backfire and actually lower a credit score.

Length of History Tips
If you have managed credit for a short time, do not open numberous new accounts too rapidly. New accounts will lower an average account age which could have a negative effect on a score if there is not adequate amounts of other credit information.  Rapid account build up can be viewed as increased risk.

Note that closing an account does not make it disappear. A closed account will show up on a credit report.  It may be considered for scoring purposes.

It’s OK to request and check your own credit report. This will not affect a credit score as long as the report is ordered directly from the credit reporting agency.

Information and Questions regarding credit score improvement will be answered promptly.

Also see:
FTC - What is Credit Scoring

Finding disaster mortgage information can aid those who wish to take the appropriate steps to rebuild.

Through Section 203 (H),  the Federal Government helps victims in Presidentially designated disaster areas recover by making it easier for them to with mortgage insurance for disaster victims, and re-establish themselves as homeowners.

Individuals are eligible for this program if their homes are located in an area that was designated by the President as a disaster area and if their homes were destroyed or damaged to such an extent that reconstruction or replacement is necessary.

If you need help, contact the HUD Homeownership Center that serves your state. Homebuyers can also find a list of HUD-approved lender, or call the FHA Mortgage Hotline, 1-800-483-7342.

Further assistance regarding disaster mortgage information will be responded to immediately.

There are three basic catagories of home mortgages: 

• Conforming
• Non Conforming
• Government

Government loans are administered either by the Federal Housing Authority (FHA) or the Vetrans Administration (VA). 

Most people select a government loan because of the low down payment requirement. 

FHA will lend up to 97% of the appraised value of a single family residence (including mobile homes) with a maximum loan amount of approximately $360,000. 

VA will lend up to 100% for the purchase of a property up to a loan amount of $359,650 and with appropriate down payment there are no limits on loan amount.  Other Government Loan details include:

• VA only offers programs while FHA has both fixed and adjustable rates
• In some cases FHA waives appraisal requirements
• FHA maximum debt ratio is 43%.  VA maximum debt ratio is 41%
• Both VA and FHA have offerings for 2-4 Unit properties. 
• Both VA and FHA have offerings for approved condominiums

VA and FHA offer mortgages for:  rate and term refinancing, cash out refinancing, and for purchases.

Questions or concerns regarding Government Home Loans will be responded to with alacrity.