Dean Graziosi

As a woman real estate investor I can tell you that today’s real estate market is very odd. For instance, some years ago when you were starting in the real estate investment market and wanted to make a profit on real estate “right now”, then you usually looked at the fixer upper, but today investors can find older homes that need work and new homes in about the same price range, that is,  if they shop around.

So, you have to ask yourself whether buying that older home that needs work, or buying that new home is the better investment. That is why advice from real experts like Dean Graziosi and not the advice from scam artists is needed.

When I started in the real estate investment business, I found Dean Graziosi and the information he had to offer to be the real deal, but I also found a lot of scam artists. The problem is how can you tell who the scammers  are, and who really has pertinent information worth getting.Well, the way I found out was by listening and reading what others have to say. I read a lot of tweets, and wiki information about Dean Graziosi before reading his books and enrolling in one of the seminars.

The information I received helps me determine what type of home to invest in and which is a better buy. Because there are times when that older home is the better investment and many more times when the newer home is the best decision. There are many factors you need to take into consideration to make that decision.

The point is, you need to shop around and list out the advantages of each before making such a decision and the only way you can list out the advantages is by being informed and educated in real estate investing. The best way to start becoming informed is by reading about real estate investing online, and reading real life testimonials from the average, everyday person. This is why sites like twitter and wiki spaces can help. Because the people that post to these sites are “real people” with real experiences in all kinds of things, including in real estate investing.

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It has been said that Escrow is a real estate investor’s best friend.  There are many reasons for this, but the most important can be summed up with the word protection.  Escrow is really nothing more than an impartial third party bank account.  The purpose is to provide protection to both parties in a real estate transaction.  The escrow holder, in most instances a title company, controls and disperses monies and documents associated with a transaction.  The escrow holder clears payments and performs the duties necessary to settle the accounts between the two interested parties.  They also handle the issuing of title insurance, the recording of the county documents and closing of the property between the buyer and lender.

Once escrow has been opened, a preliminary report is always issued.  This report shows the ownership details of the property, as well as title liens and defects.  If there are restrictions or conditions on a prior deed, those will also be listed.  The purpose of the report is ultimately to allow the buyer to seek adjustments and or removals to the contract prior to purchase. 

Escrow is particularly important in rent to buy real estate transactions and when rent prorations are necessary, such as the selling of a rental property.  Because rental income and security deposits are normally prorated as of the date of the close of escrow, the seller is responsible for making payments on the property and can collect rents until the title transfer takes place.  After closing escrow, the payments and income are turned over to the buyer.  Escrow in this case, provides protection to the buyer by keeping an account of all monies paid to the seller in the form of rent and security deposits so that when escrow closes the income can be credited properly. 

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Though the real estate market in the United States is favorable for investors, it might be a good idea to look to our neighbors in the north for your next real estate investment…that’s right—Canada.
Housing market experts in Canada predict that national house prices will continue drop—another 10 percent during the course of 2009. The biggest drop should occur in Western Canada which is seeing a slowdown from their ten year long housing boom.
In Canada, real estate prices have fallen close to 20 percent nationally and in some cities, housing prices have dropped nearly 40 percent.
According to an article in Yahoo News Canada, “The Bank of Canada warned recently that, in a worse-case scenario, mortgage and consumer debt defaults could rise “significantly” if the global financial crisis deteriorates. It said the number of “vulnerable households” - the three per cent with a debt-to-income ratio above 40 per cent - could double by the end of next year.”
This is good news for investors of real estate in Canada and the United States.
More good news can be found in a Bank of Canada study that shows that mortgage default rates (foreclosures) would rise about 2.25 percent along with a 23 percent drop in housing prices throughout the country.
Canada has avoided a lot of the risky lending practices that have spelled trouble for the United States housing market. Only four percent of the mortgages sold in Canada have been subprime compared to a 40 percent subprime market in the United States.
Though housing prices are dropping in Canada and the real estate boom is slowing down, many Canadian banks are becoming more cautious in lending to new buyers, so if you’re a United States real estate investor, it would help if you can show a strong portfolio of homes and a good credit rating when you’re applying for a mortgage in Canada.
2009 looks to be a good year for real estate investors especially those who are willing to look to Canada for their next real estate purchase.

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