Helping Buyers Capitalize on Today's REO/Bank-Owned Inventory

Even in these unprecedented market conditions, there are significant opportunities for buyers to take advantage of the REO/Bank-Owned inventory in the real estate marketplace. In September of 2008, 38% of the homes sold in Alameda County had previously been foreclosed upon and it goes without saying that a good portion of those homes were in “less-than-perfect” condition requiring moderate to extensive renovation.

The good news with today’s REO/Bank-Owned inventory is many “less-than-perfect” listings are being offered at substantially discounted prices. However, there are a couple of main challenges buyers may face on such listings:

• Buyers may love the house and the neighborhood but they can’t afford to make the needed repairs on the home after close so they walk from the deal, or

• Underwriters are denying loans on sub-standard condition properties and/or sellers unwilling or unable to do "subject to" repairs prior to close

Sound familiar? Well, many buyers are finding that Renovation Financing is a great solution for these challenges. In a nutshell, renovation financing is a single loan transaction that:

1. Allows a buyer to purchase a property regardless of it’s current condition (even if it’s red-tagged)
2. Provides funds for renovation, repairs and/or upgrades
3. Allows repairs ranging from major to cosmetic
4. Uses after-renovated value to determine loan amount

This type of financing enables the owner-occupant homebuyer to come in with as little as 3% down (FHA profile buyers) or the "for sale" investor (up to an 80% loan-to-value) to purchase the property, renovate and sell or hold for investment. Sellers and real estate commissions are paid at the close of escrow before the renovation work begins. With Renovation Financing enabling a wide range of home improvements from basic repairs to extensive upgrades, buyers can transform any home into their own custom home or increase their investment value for turn-around profit.

At NurtureSource Designs, we can help your homebuyers purchasing REO properties to envision the full range of possibilities achievable through re-design and renovation. Our local business resources allow us to recommend qualified, local general contractors, licensed tradesmen such as painters, floor installers, landscapers and others. Additionally, for buyers planning eco-green renovations, our "Green & Beautiful" design service utilizes eco-green products such as non-VOC paints, sustainable flooring materials, retrofitted radiant-floor heating, PV solar panels, native plant landscaping, etc., for creating healthier and more cost-efficient homes. Call us to discuss your requirements and let us help.

NurtureSource Pioneers "Green and Beautiful" Design Consultation

Imagine your garden with a beautifully designed solar sculpture that also powers your landscape and security lighting. Envision solar roof tiles that blend into your existing roof maintaining your homes curb appeal. Picture warm, soft interior light provided by LED light bulbs that use less than 10% of your current electricity, are fully dimmable and contain no mercury (as compared to Compact Fluorescent Lights). It is possible to make your home both green and beautiful with these and many other products.

In the past, green products focused on reducing environmental impact, but paid little if any attention to aesthetics. Today, green manufacturers offer a range of beautiful products-eco-kitchen countertops of recycled glass, fine cabinetry crafted from beautiful and sustainable woods, durable and attractive cork flooring, and Green-Seal certified paints in a wide range of mood-enhancing natural colors.

NSD recognizes this new environment. Consequently, we have expanded our design approach to embrace green technologies. By utilizing green products-flooring materials such as cork, bamboo and natural carpeting; healthier interior paints; latest-generation LED lighting; solar energy panels for lighting and heating; recycled roofing materials.These products are all readily available at competitive prices. Homeowners can now have a green and beautiful home without sacrificing environmental concerns.

Since 2003, NSD has been assisting Bay Area homeowners prepare and present their homes for sale. Today, our services include professional home sale preparation (staging), color consultation, landscape enhancement, innovative lighting design and still photography for slideshow presentations. Our services help homeowners increase their home's value and achieve a new design vision for their home. Our creative and artistic resources include local artisans, designers, tradesmen and retailers.

NSD can help bring these products to your home in an integrated way, enhancing your home's value, beauty and its ecological soundness. We invite you to visit our website, www.nurturesourcedesigns.com