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How does the Foreclosure Crisis       can affect you? A look at the effects of the 2007 collapse of     the banking and ho...
Housing or Real Estate Bubble –              Definition• Real property which rapidly  increases to the point that  unsusta...
Housing Bubbles – How They Form• Housing bubbles are created when fast  paced growth in the housing market goes  unchecked...
Reasons For The 2007 Burst and           Recession• Adjustable interest rates  reset to higher levels• In 2007, 1.3 millio...
The Domino Effect• High adjustable interest rates• Millions of foreclosed homes• Decline in home demand and home value• Ho...
The Domino Effect• Prime mortgage holders defaulted• Banks accumulated more foreclosures  than they could move, compoundin...
Government Response• The Housing and  Economic  Recovery Act of  2008
Government Response• The Homeowners  Affordability and  Stability Plan
Foreclosure Help• Talk directly with  the lending  institution
Foreclosure Help• Talk to a HUD  approved foreclosure  avoidance counselor
Foreclosure Help• Seek out state and  local foreclosure  assistance  resources
Foreclosure Help• Contact HOPE  NOW which is an  alliance of HUD  affiliated  Intermediaries
Foreclosure Help• Contact The  Homeownership  Preservation  Foundation which is  also affiliated with  HUD and provides  f...
Foreclosures As An Investment• Low-cost real estate  foreclosures abound• Millions of foreclosed  properties sit with a  f...
Foreclosures As An Investment• Every day, tens of  thousands of homes are  being repossessed• Foreclosure properties  are ...
Foreclosure Investment Opportunities• Short Sales• Negotiate with  banks on  behalf of  distressed  homeowners
Foreclosure Investment Opportunities• Public Auctions• Bid against other  competitors for  foreclosed  properties
Foreclosure Investment Opportunities• Foreclosure  Listing Services• Normally found  online• Get the jump on  other invest...
Foreclosure Investment Opportunities• Browse listings,  photos and info• Resources so you  can invest with  confidence
For more Information:           http://twitter.com/fcdeals           http://www.foreclosuredeals.com/wp/feed/           ht...
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How does the Foreclosure Crisis can affect you?

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Transcript of "How does the Foreclosure Crisis can affect you?"

  1. 1. How does the Foreclosure Crisis can affect you? A look at the effects of the 2007 collapse of the banking and housing industries.
  2. 2. Housing or Real Estate Bubble – Definition• Real property which rapidly increases to the point that unsustainable debt levels are reached relative to expendable income as well as other affordability indicators within the economy
  3. 3. Housing Bubbles – How They Form• Housing bubbles are created when fast paced growth in the housing market goes unchecked and spirals out of control• Factors include lenient and predatory lending, extremely low adjustable interest rates and a blinding speculative fever• Housing bubbles are generally undetectable until after the burst
  4. 4. Reasons For The 2007 Burst and Recession• Adjustable interest rates reset to higher levels• In 2007, 1.3 million subprime borrowers defaulted on mortgages and were submitted through the foreclosure process
  5. 5. The Domino Effect• High adjustable interest rates• Millions of foreclosed homes• Decline in home demand and home value• Housing industry jobs were lost• Jobs connected to housing industry jobs were lost, etc
  6. 6. The Domino Effect• Prime mortgage holders defaulted• Banks accumulated more foreclosures than they could move, compounding the mortgage crisis• Shareholders and investors panicked• Lending was basically brought to a standstill, etc
  7. 7. Government Response• The Housing and Economic Recovery Act of 2008
  8. 8. Government Response• The Homeowners Affordability and Stability Plan
  9. 9. Foreclosure Help• Talk directly with the lending institution
  10. 10. Foreclosure Help• Talk to a HUD approved foreclosure avoidance counselor
  11. 11. Foreclosure Help• Seek out state and local foreclosure assistance resources
  12. 12. Foreclosure Help• Contact HOPE NOW which is an alliance of HUD affiliated Intermediaries
  13. 13. Foreclosure Help• Contact The Homeownership Preservation Foundation which is also affiliated with HUD and provides foreclosure counseling and help
  14. 14. Foreclosures As An Investment• Low-cost real estate foreclosures abound• Millions of foreclosed properties sit with a flooded banking industry
  15. 15. Foreclosures As An Investment• Every day, tens of thousands of homes are being repossessed• Foreclosure properties are being sold for 50% or less of their actual value
  16. 16. Foreclosure Investment Opportunities• Short Sales• Negotiate with banks on behalf of distressed homeowners
  17. 17. Foreclosure Investment Opportunities• Public Auctions• Bid against other competitors for foreclosed properties
  18. 18. Foreclosure Investment Opportunities• Foreclosure Listing Services• Normally found online• Get the jump on other investors
  19. 19. Foreclosure Investment Opportunities• Browse listings, photos and info• Resources so you can invest with confidence
  20. 20. For more Information: http://twitter.com/fcdeals http://www.foreclosuredeals.com/wp/feed/ http://www.linkedin.com/company/foreclosure-deals http://www.facebook.com/ForeclosureDeals http://www.foreclosuredeals.com/
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