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Housing Crash Round 2?  We’ve really tested our patience by waiting this long to finally craft this brief report about lease-options and other real estate and business deals transacted the wonderfully old fashioned way.  Even with investment, consumer and mortgage interest rates at 50 year lows, the hassle factor of securing workable credit is usually not worth it.

When you see an ad stating “lease or rent with options to buy” for single family residential housing you know this means a “potential hot deal.”  No surprises there.  A genuine fear of double-dip in housing, a market poised for yet another plunge, is bubbling up all around us.  In fact, the 3^rd and early 4^th quarter housing statistics cast a big cloud over the expected recovery; not just housing, but the overall economy as well.

With tumbling housing starts and dramatically increasing foreclosures, the buyer’s market just keeps getting better.  So much so that it may be wise to lock in a property now that you want to own via a lease or renal, with purchase options and/or buy now at low pricing with even more attractive seller (or bank) carry-back financing. 

Before you discard this theory as premature or even overly pessimistic, consider the combined effect of today’s numbers for the markets in a year or two or even three.  Maybe you should put off that home purchase, investment or business deal even longer if you can, but if you must strike now; close on a personal residential or business deal, do it right.  Do it in a way which makes you look even more brilliant given a few years of hindsight.

So, assuming we’ve made a valid point; how do you not only weather, but indeed profit form the next, deeper storm bringing with it waves of value and liquidity depletion? Where we go:

Primary Home If you’re a buyer in most markets, you are wise to wait, or alternatively squat while you wait by renting.  The only thing that is better than owner carry financing at a great purchase price and awesome terms is the guaranteed control of the even more attractive deferral of the same.  Meaning that you can rent now with an option to buy, rolling annual options for the next 2-3 years to trigger a “buy” a the THEN  (still lower?) market value.  How do you beat that?  If you are the unfortunate seller, try the same move only backwards.

Investment Real Estate If you’re a home run hitter, you are about to enter hog-heaven.  The highly volatile housing market has nicely morphed into an all out once in a lifetime opportunity(s) for single family, multi-family; even commercial office and strip-mall properties.  Seller financed carry-back deals abound with the property itself operating as the sole collateral.  Couple this with no money down up front and you’ve hit the home run.

Authored by Your Credit Company

Original Post at Your Finance Blog

Housing Crash Round 2?  We’ve really tested our patience by waiting this long to finally craft this brief report about lease-options and other real estate and business deals transacted the wonderfully old fashioned way.  Even with investment, consumer and mortgage interest rates at 50 year lows, the hassle factor of securing workable credit is usually not worth it.

When you see an ad stating “lease or rent with options to buy” for single family residential housing you know this means a “potential hot deal.”  No surprises there.  A genuine fear of double-dip in housing, a market poised for yet another plunge, is bubbling up all around us.  In fact, the 3^rd and early 4^th quarter housing statistics cast a big cloud over the expected recovery; not just housing, but the overall economy as well.

With tumbling housing starts and dramatically increasing foreclosures, the buyer’s market just keeps getting better.  So much so that it may be wise to lock in a property now that you want to own via a lease or renal, with purchase options and/or buy now at low pricing with even more attractive seller (or bank) carry-back financing. 

Before you discard this theory as premature or even overly pessimistic, consider the combined effect of today’s numbers for the markets in a year or two or even three.  Maybe you should put off that home purchase, investment or business deal even longer if you can, but if you must strike now; close on a personal residential or business deal, do it right.  Do it in a way which makes you look even more brilliant given a few years of hindsight.

So, assuming we’ve made a valid point; how do you not only weather, but indeed profit form the next, deeper storm bringing with it waves of value and liquidity depletion? Where we go:

Primary Home If you’re a buyer in most markets, you are wise to wait, or alternatively squat while you wait by renting.  The only thing that is better than owner carry financing at a great purchase price and awesome terms is the guaranteed control of the even more attractive deferral of the same.  Meaning that you can rent now with an option to buy, rolling annual options for the next 2-3 years to trigger a “buy” a the THEN  (still lower?) market value.  How do you beat that?  If you are the unfortunate seller, try the same move only backwards.

Investment Real Estate If you’re a home run hitter, you are about to enter hog-heaven.  The highly volatile housing market has nicely morphed into an all out once in a lifetime opportunity(s) for single family, multi-family; even commercial office and strip-mall properties.  Seller financed carry-back deals abound with the property itself operating as the sole collateral.  Couple this with no money down up front and you’ve hit the home run.

Learn more at Your Credit Company