Future of Fanie Mae and Freddie Mark.

Part of being the best real estate investor that you can be is being able to ask those question that you don't necessarily want the answer to or questions that others are incapable of asking or understanding. Undeterred pursuit of research, information gathering, and the willingness to analyze the market will make you a more diverse investor capable of thriving.

This is a little information to get you thinking.

The Senate Banking Committee has proposed legislation that would start  to wrap-up Fannie Mae and Freddie Mark  and replace it the government lending institution with a new insurer called the Federal Mortgage Insurance Corp. Although there's no timeline for this yet, policy analyst and senate leaders believe that this bipartisan legislation most likely restored a stable economy.

According to most policy analyst, secondary lending will see some changes in the near future. There are several options up for debate: a) policy restricting federal involvement with a fully privatized system, b) entirely public system dependent on government backing, or c) combination of the two.

There's no concrete answer as of now. We know that isn't really an answer but it indicated the need to stay informed about Asia especially China's growth debt crisis.

Excess reserves are bank reserves in excess of a reserve requirement created by a central bank. This means there is more cash than required. Economist and investors argue over how this effects lending. But in most cases economic analysis reports that banks "should not and cannot lend out reserves" and ultimately "do not crowd out lending". However, inventors argue excess reserves result in paying banks not to lend.

Real estate experts and economist argue that we are starting to see slow recovery and increase inventory due to new build and more inventory coming available but to expect traditional lending to remain difficult. New builders have increase their prices and interest rate has gone up in recent months increasing the amount we pay for buying a home.

Rates will continue to rise. Recent legislation going into effect will continue to make it difficult to get lending and interest rates will also continue to rise moving forward.

Keep educating yourself

Real Estate Market

Denver, Colorado is one of the leading real estate market around the country.  Colorado metro areas are enjoying healthy real estate growth. In Colorado for a while, home-buyers enjoyed buying home under market value.  the days of home-buyer's market is now gone.  Today, it is the sellers that are enjoying the appreciating home value, thanks for stronger economy.  It is not only the economy being stronger, it is also the fact that interest rate and the price of homes are low.  As the economy gets stronger and stronger, the price of homes and interest rate will not remain low.  Get in now and buy the home of your dream.  Colorado is a create place to leave especially if you have children.  it also a place where you can enjoy the four seasons in one day.

make Colorado your home    

Is ARMs good for you

There's a need to know before getting into Adjustable Rate Mortgage. you have to know what you are getting into.  There are different type of Adjustable Rate Mortgage in the market today and this is based on my basic knowledge of ARMs.  This is not a professional advice at all.  Before financing  your home, make sure you have research all possibilities and make the right decision for you.

you may choose to get a loan with one year ARMs, what this means basically is that interest rate is adjustable yearly.  Hybrid ARM tell one that there will be a period of either 3, 5, 7, 10 years where their interest rate remains constant and then adjust every year or every 5 year etc., depending on the ARM of your choice.  No matter your choice, beware of the sticker shock or negative amortization.  The negative amortization could actually grow the  principal balance of your mortgage.  Thankfully, though, some of this ARM with negative amortization has disappear because of recent real estate bubble

Looking for real estate investment funding

How do I start my real estate investment business?

I am interested in real estate investment,  but it has eluded me for the past 4 years.  I will like to start with small amount of money and build it up to bigger investment.  I'm also interested in out of state real estate investment.  I've gone to seminars and I think I've learned enough to take a leap of faith but I'm so scared to take that chance.