Big Bear Lake, CA

I just wanted to take this opportunity to reiterate a point I have brought up time and time again. If you are planning on buying a home, bank owned or not, your first order of business is to get preapproved. If you do not take the time to complete this essential step, you are setting yourself up for failure. Why go to all the trouble of finding a property, writing it up and getting your offer accepted, only to have your hopes dashed before your eyes? I know I have addressed this before, several times, but I think it is worthwhile to revisit the subject.

Being preapproved gives you instant credibility with a seller. When you present your offer to the seller, accompanied by a preapproval letter, it automatically lets the seller know that you are a buyer to be taken seriously. It also lets the seller know that you have taken the time to make sure you can actually purchase the property. I would never counsel a seller to accept an offer from someone who was not preapproved.

Being preapproved gives you the ability to move quickly when a property you want to buy comes on the market. Currently, in the Big Bear market, there are a great many buyers looking for a great buy. When one comes on the market, there can be many buyers making on offer on it. If you are preapproved and ready to buy, many times you can get in before the property gets noticed and buy it before anybody else has a chance to make a move. If you need to wait a few days to get preapproved, you have lost your advantage and will most likely have to get into a bidding war.

Being preapproved lets you know exactly how much of a house you can purchase. This can save you from wasting time looking at homes you can't buy. I can't tell you how many times I have been told by a buyer " Don't worry, my credit is excellent and I can buy this house with no problem", only to find out they actually cannot buy the home because it is out of their price range or they have too high of a debt to income ratio. Knowing your limits is a very valuable thing in looking for a home that is going to be a good fit for you.

Lastly, being preapproved is required to purchase a bank owned property. That's right. If you are not preapproved, a bank will not even consider your offer. If an offer is not accompanied by the preapproval letter, the asset manager won't even open it. Since most of the best buys on the market are bank owned homes, it only makes sense to position yourself to be able to purchase one. It takes a little effort, but it will make your home buying experience a much happier one.

On June 21, 2010 GMAC will be offering financing incentives on their REO properties. This program will help buyers save some money on fees and services when buying a REO in Big Bear that is owned by GMAC. Not all GMAC REO properties will qualify for this program. When I get new listing that do qualify, it will be noted in the MLS and I will have informational packages at the properties. As always, I am available by phone or email to answer any questions that come up regarding this new and exciting program.


SAVINGS

One Year Home Warranty at no charge
No Pre Approval Fee
No Loan Application Fee
No Charge for Credit Report
No Appraisal Fee



Qualifying Loans


Conventional Loans (Fixed or Adjustable)
FHA (Fixed and Adjustable)
VA (Fixed and Adjustable)
Jumbo (Fixed and Adjustable)


There is going to be a lot more information coming out in the coming days. As GMAC provides me with the information, I will be posting it on this blog.

You can contact me anytime by phone or email my phone number is 909 436 8043 and my email is tony@tonycard.com

12 Homes Sold This Week in Big Bear 6/4/2010

Statistics for Homes Sold in Big Bear 6/4/2010

• 6 of these home were Traditional Sellers (50%)
• 3 of these homes were Short Sales (25%)
• 3 of these homes were Bank Owned (25%)

The Big Bear Valley is expecting the number of bank-owned REO properties to rise in the summer of 2010. Here are 7 Tips that can help you snag a bank-owned property.

First- Hire an REO expert with experience buying and selling bank-owned properties in the Big Bear Valley. I am that expert

Avoid lowball offers. Since most bank-owned properties in Big Bear are being sold at list price or above, a lowball offer will not work. Consider submitting an offer slightly above list price.

Determine the value of the property. You make your money when you buy and not when you sell. I can help you become an expert in the Big Bear market so you can recognize a bargain instantly when you see it. Also have an inspector and contractor evaluate the property and itemize all the repairs that need to be made. Subtract the cost of these repairs from the estimated value.

Submit a complete package. Each lender has certain guidelines for submitting offers on property in Big Bear. When you arrive in Big Bear to look at property, be prepared. Bring proof of funds if you plan on paying cash, a bank account balance statement works well for this. If you need to take out a loan, bring your pre qualification letter and your check book.

Write multiple offers. Don't expect your first REO offer to be accepted. Competition is fierce for Bank Owned, REO property in Big Bear. Be prepared to write multiple offers on different properties before you land one.

Prepare for counteroffers. Banks will often send you a counteroffer at a higher price. You may be willing to raise your price slightly with the first counteroffer, but if a second counteroffer comes in, respond with your "best and final" offer.

Be prepared to walk away. If the bank doesn't accept your offer or you're unwilling to raise the price during the counteroffer period, be prepared to walk away and find another deal.