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Fannie Mae Foreclosure Article
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Purchase a Bank Foreclosure for your Next Investment Opportunity
from:A bank foreclosure is also known as a real estate foreclosure and it occurs when a borrower is unable to repay their outstanding debt to the bank. The real estate property was put up for collateral for securing the loan and a lien was put upon the property giving the bank legal right to seize that property should there be a default in payment.
The bank foreclosure takes a while and a wise investor will be aware that there is a period in between the time the bank will actually taken possession of the property. This period is known as the pre foreclosure period. During this time the property owner can attempt to sell the home in order to preserve his good credit standing. For the investor wishing to buy the property it becomes a very lucrative deal as many homeowners need to sell the property so quickly that they will give great deals on the sale of the home.
If the property was not successfully sold during the pre foreclosure period, the bank will take over the title of the property and repossess the home or other real estate property in question.
When a bank foreclosure has occurred the bank will not wish to keep the property that it now owns for several reasons:
• Banks are moneylenders; they are not real estate owners.
• Having possession of property on their books shows bad decision making on their part resulting from lending money to consumers who are unable repay the loan.
• Banks lose money on the ownership of repossessed homes. They must maintain the buildings, pay taxes and insurance fees. The longer they own the property the more loss they incur.
• The bank will also want to recover the money lost on their bank foreclosure.
Since banks want to rid themselves of the foreclosed property as soon as possible, they too will sell the property thus, opening up a wise investment opportunity for an investor as well. The investor can obtain property at between 20 – 60 percent below the market value from purchase of a bank foreclosure.
A wise investor can search for bank foreclosures and choose the property that is right for his/her current needs and budget. There are several online sites that offer bank foreclosure listings. Not all provide current listings. Bankforclosuresales.com will provide the most update bank foreclosure listings on foreclosure homes, commercial foreclosures, and government foreclosures. They charge a nominal fee but provide an excellent service.
Investing in a bank foreclosure home or other property is risk free, the deals are well below market value, and all liens on the property have been lifted. The investor is only responsible for the cost of the sale price of the property.
Fannie Mae Foreclosure News
Fannie Mae Won’t Seek Aid After Posting $2.7 Billion Profit
Fannie Mae (FNMA) , the biggest backer of U.S. home loans, said it won’t need Treasury Department aid to balance its books for the first time since the company was seized by federal regulators in 2008 amid losses that pushed it to the brink of collapse.
Read more...Fannie, Freddie are set to reduce mortgage balances in California
The mortgage giants sign on to Keep Your Home California, a $2-billion foreclosure prevention program, after state drops a requirement that lenders match taxpayer funds used for principal reductions. As California pushes to get more homeowners into a $2-billion foreclosure prevention program, some Fannie Mae and Freddie Mac borrowers may see their mortgages shrunk through principal reduction.
Read more...Leaving Fannie Mae, Freddie Mac As Is Risks Another Housing Bubble
Anthony Sanders is a senior scholar at the Mercatus Center and the distinguished professor of Real Estate Finance at George Mason University. Last week Fannie Mae, one of the two mortgage giants in conservatorship ...
Read more...Fannie Mae Posts Profit, No Aid Required
Mortgage guarantor Fannie Mae Wednesday reported a swing to profit in the first quarter, aided by lower credit expenses and a seven percent rise in revenue. Fannie Mae also said it does not require funding from the U.S. Treasury for the quarter, stating it has enough funds to pay the dividend of $2.8 billion. Fannie Mae, which went bankrupt after the financial crisis and had to subsist on ...
Read more...Fannie Mae Makes Profit, Skips Taxpayer Funds
Fannie Mae reports first-quarter net income of $2.7 billion. Comprehensive income of $3.1 billion covered a $2.8 billion dividend to the U.S. Treasury. No new government borrowings, which total $117.1 billion. NEW YORK (TheStreet) - Fannie Mae on Wednesday reported a first-quarter profit and said it would not need government assistance as credit quality improvements ended years of losses. Fannie ...
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