Home Sellers NOW…

American Homeowners selling their homes can be broadly categorized as:

Hadley, MA: Single Family Home

A) Home Sellers who WANT to SELL.

B) Home Sellers who NEED to SELL.

The difference has a strong influence on real estate transactions in “normal” times, but right now, that difference is massive.


The Sellers’ situation is critical to decide if a home should be put on the market now.

The biggest variable today is uncertainty and the fear that comes with it.
That’s why Sellers who were on the market and decide to withdraw, and Sellers who are not marketing their property right now and decide to not start altogether, can’t be blamed. In fact many are deciding to stay put and wait for better times to get the most out of their home sale. As long as they can afford to do so for a while, it’s a reasonable choice, impossible to say whether it’s right or wrong for them, but very understandable in these circumstances.

That’s unfortunate for agents, brokers and all other real estate professionals who depend on real estate transactions and there can’t be home sales without home sellers.
Of course real estate is local, but the impact of the outbreak has hit all markets to at least some degree, directly or indirectly.

Rent to Own Home in Sterling, MA
For Rent-to-Own/Lease-Purchase or for Sale in Sterling, Massachusetts

With market activity based on inventory depending on Sellers’ strategies and decisions one thing is certain:

If YOU‘re a Seller who NEEDS to SELL, you need to do it now!

Market aggressively while we’re still high on the price curve. Any day that goes by, drop in values accelerates. Don’t waste time!
Get the best agent that you can trust, get the home as sale ready as possible, pre-inspect, pre-appraise, stage, make repairs, do what it takes, as long as you follow safety protocols.
If that doesn’t work, or if you don’t want to risk not finding an end Buyer despite all the effort, there’s always the possibility that an investor may be interested.

If it can be a good and ready rental, landlords, including foreign investors, could be the right buyers.

There are also general cash buyers who can always buy quickly without too much hassle, but be prepared to accept much less than hoped for because cash is being reserved for the stronger opportunities.

It’s crazy to use cash in this market as it can only be used once while loans are extremely hard to get.

If the home is family-friendly and in habitable shape, investors on terms like us @ Proxima Investors are ready to BUY and that could be a great option if you want it done and off your back. (top 5 reasons to sell to Proxima Investors)

If instead YOU just WANT to SELL, you can market it casually and on comfortable terms waiting for a satisfactory offer, you never know. However, the risk is a long time dealing with prospects and eventually ending up with a stale listing which always devalues a home and makes it harder even once everything goes back to normal.

Buyers NEVER like homes which have not found a buyer in a long time and tend to view them as market rejects. Unfortunately for these Sellers, information about the price history of homes is very easily accessible nowadays and almost all Buyers (or their agents) look at it making their own judgements.

In this case maybe waiting would be a good idea!

Man shaking hands with real estate agent fast and at asking!
Done deal! We get Homes SOLD fast and at asking to US despite the crisis because we have a different approach!


Home Ownership after the Pandemic

Home Ownership Dream

That’s also why many move away from home and come to America: Home Ownership

Many end up keeping their dreams tucked away in a drawer, to go to them when they need comfort and hope.
In the US, many actually pursue them and make them happen, that’s one of the main reasons to come to America.
To fulfill those dreams and convert them into reality!

In America

There are many dreams that you can chase in this country, but one that is a staple of the American Dream is the dream of home ownership.
Rest assured, that during these extremely challenging times, people are still dreaming. They may be forced to use that drawer, but dreams will come out of that drawer with a big bang!

After the CoronaVirus Outbreak

People are going to pursue that dream with the same or maybe more energy.
It’s true that it’s also going to be more challenging than ever, but that’s what America is also about: working hard through the challenges, finding solutions.
That’s very promising for the near future of the real estate market, as it was strong before and it will be strong after these crazy times.

The driving power

The drive that comes from people who dream about owning a home which is perfect for themselves and their families, is powerful and will make the market bounce back.
With low inventory and low mortgage rates, the market is springloaded. Only much tougher lending requirements will prevent the market from running as fast as it could, but in some cases, it could actually be a big thing.

The Lending Industry

The lending industry is separate from the housing market, but instrumental to the success of most real estate transactions, so that would probably be the biggest challenge that lies ahead and is already impacting the market.
Adjustments and creativity will be required to have the funding for real estate purchase & sales and that’s where we are so relevant.


By picking from a broad range of legal and financial instruments, we, @ Proxima Investors, can create the opportunity for buyers to be in the position to buy and fulfill their dream of home ownership.
Since there are no sales without buyers, sellers also will have the opportunity to sell at conditions which are not punishing as they could be in such a market.

Investors on Terms

We are investors on terms and deals on terms will be one of the most viable solutions for sellers and buyers in the present real estate market and in the near future.
The ability to use many tools and methods to achieve the same result, sales for sellers and ownership for buyers.
Buyers will be further motivated by escalating rental fees and the appeal of the brick as a way to build and store wealth, while the stock market is so volatile and proves to be too difficult too read.

Deals on Terms

Dream of home ownership through a deal on terms is what we, at Proxima Investors, are about.

Proxima Investors: Buying homes from sellers who want to sell, turning around selling the same homes to buyers who have that big American dream of home ownership…

The future of the residential Real Estate Market

Many keep their dreams tucked away in a drawer, go to them when they need comfort & hope. In the US many pursue them and make them happen, that’s one of the main reasons to come to America.

The dream of home ownership: very promising for the near future of the real estate market!

And remember to practice SOCIAL DISTANCING! Like we do! 🙂

Mortgage Denied: The New Norm?

How CoronaVirus related Unemployment will impact Real Estate
and how are Proxima Investors going to offer solutions

Widespread unemployment applications are just the tip of the iceberg. Soon a large part of the workforce will not meet the requirements for a mortgage and it will get even worse as lenders tighten the rules. In this environment, we can help real estate transactions happen by using our everyday tools.

We’ve been helping homeowners sell, homebuyers buy and renters step on the property ladder and achieve the very american dream of home ownership for years. Agents and Brokers are going to be facing huge challenges getting listings that are going to sell and finding buyers who can secure the funds by obtaining a mortgage, to represent. Again, we have the tools to help brokers’ and agents’ clients sell their homes at great terms and assist buyers in becoming viable takers.

We don’t provide services, we cooperate with agents and brokers so they can help us get deals done. We guarantee the hard earned fees and establish a steady professional relationship that can bring more and more deals despite the challenging times.

We are Investors on Terms. We are not agents or brokers, we are not wholesalers or rehabbers, we are not landlords or buy & hold investors. We pay full fair market value and are transparent. We are A+ Better Business Bureau accredited and operating in real estate investments for decades.

Most are greatly surprised by the amount and type of options that we can present to overcome challenges that are not uncommon, like stale listings, quirky homes, failed inspections, high asking price, deferred maintenance and will soon be the new norm.

Buyers who won’t be able to buy because of the lending industry’s extremely tough requirements. They got tougher in 2008, and now, for a number of reasons including lack of capital and low interest rates, they will get tougher. Additionally, the job market is going to be impacted and revolutionized.

The bottomline is very few successful mortgage loan applications.

That’s why you should look into partnering with us to get real estate business done!

The first step is to contact us, schedule an introductory call or remote meeting. We can meet, get to know each other enough to then quickly find out if we can help.

If you’re in the minority who cannot be helped with our standard methods, we may still be able to help otherwise.

Our only limits are the prevailing laws of the moment at federal, state and local level, ethics, since we embrace the ethical purpose that we gave to our business model from the beginning, and of course, practical convenience, as all deals need to be put into the perspective of a business transaction.

Contact Us in a timely fashion to get on top of the real estate market of the near future.

Call or Text 617.921.9265 anytime to reach out.

We look forward to meeting new homeowners, renters, professionals and anybody involved in real estate and that we can assist to achieve their goals!

Job Losses and the CoronaVirus

How will job and income loss affect the Real Estate Market

Job losses and income reduction are already happening in most of the economy

Job losses and loss of income in general are scary, but they’re real and they’re happening all across the board. In the meantime, there are companies which are hiring, rather than firing.
E-commerce, delivery, shipping and trucking, healthcare of course, grocery stores and those involved in producing and supplying essential goods and others.

Aftermath

When the dust settles, jobs are going to be coming back, surely shuffling around with many career restarts and change of positions. Most jobs will likely be absorbed by a resurgent economy.

The Residential Real Estate Market
Some businesses are hiring and may absorb some redundancies, in the short term and, in part, in the longer term

In Real Estate this means that many who want or need to buy a home, will have to figure out how to fund a purchase without qualifying for a traditional mortgage for insufficient employment history.
Additionally, if they had reserves and burned through them to get by during these tough times, mortgages requiring a significant downpayment may be out of reach.
Even the modest downpayment requirements of 3.5% of an FHA loan may be tough to meet, especially when it’s on top of all the other criteria of eligibility.

Impact on HomeBuyer Activity

Will this impact the ability to sell? Will the pool of buyers who not only want to buy, but also are able to buy, dry up significantly?
It’s always a matter of price, if the price is appealing enough, then there will always be a buyer.
There may be many more cash investors who are already setting cash aside and quickly liquidating assets, including on the stock market, but soon also bonds, to take advantage of a difficult situation for sellers.

Cash Buyers
Businesses are forced to layoff or furlough

They buy at a discount and never at a premium, so sellers who need to sell may have to take a hit. Not ideal. It may work in extreme circumstances where the property is in physical distress and/or the seller is under intense pressure to dispose of the home and the selling price is not the main priority.

Rental

However, there are other options that sellers can entertain, including renting. It could mean income that could cover carrying costs until the market restores to better values, but they would have to be landlords. For good reason, many don’t want to be involved in rentals, nor do we.
Alternatively, they can sell in one of the many more ways that the law and the market allow.
That’s when we come into play, as investors on terms.

Proxima Investors are Residential Real Estate Investors on Terms
Investors on Terms

We use any method which federal, state and local laws and regulations allow to achieve the sellers’ goals by buying the property at full or close to market value.
At the same time we sell the same property primarily on a lease-option or owner financing deal. We therefore allow time for the buyer to get in position to obtain a traditional mortgage or any other way of financing the formal purchase; or we may finance them.

Opportunity for Sellers


Sellers relinquish all responsibilities and headaches from carrying the property to us, they don’t have to sell at a discount and get it done with professionals like us involved. They can move on without any burdensome debt which hits hard month after month. They will have no more worries or miss out on market opportunities.

If sellers want a head start in this fluid market they should get in touch and find out about the details.

Real Estate Agents & Brokers

Agents are also encouraged to reach out and get accustomed to our model; our options would allow agents a powerful marketing tool for all sellers. We have homeselling solutions where there isn’t an easy one, as in a home in preforeclosure.

Listings hard to Sell
Get listings and get them sold no matter how hard the sale is

We can buy many of the homes that are hard to move. Agents would earn a commission, get credit for a sale, and with little or no work as we can handle the whole transaction.

Guaranteed Brokering Fee

If there’s any doubt that sellers may have issues paying the facilitating agent, we GUARANTEE any shortcoming or the full payment at the closing table. We understand that agents should get paid fairly and timely so we can get generate business and establish a steady relationship.

Sellers, Listing Agents, Buyers’ Agents
Any Real Estate Agent can assist us in completing deals on terms, buying and selling residential real estate

So sellers and sellers’ agents, CONTACT US to find out if and what solution we may have for you and your client; buyers’ agents also, if you have a buyers with any lending challenges, especially if they already failed to qualify upon application, ask us how we can make them successful home buyers.

All Over the USA

We team up with other investors on terms like us or agents and brokers when making deals outside of New England. We are therefore not restricted geographically and buy and sell all over the US.
We look forward to getting the ball rolling with anyone who needs to get a deal done!

Based in New England, we create deals in all states, albeit partnering with local investors and/or agents.

Home Buyers and the CoronaVirusOutBreak

Home buyers in the coronavirus outbreak
If you’re on the brink of making your dream come true, don’t hesitate any further!

Should #HomeBuyers wait it out?

First, let’s remember that:
There HomeBuyers who want to buy and HomeBuyers who need to buy.
There are HomeBuyers who want a new home to move into and live there, then there are Investors who want an investment property rather than their home.


Now, assuming homebuyers have not made a definite and enforceable commitment, because that would have to be completed or there could be negative consequences regardless of the outbreak;
assuming also that they’re buying a home that would work perfectly for them and their families,

then absolutely go ahead and don’t lose the deal!

If they wait, it’s going to be difficult to get back in. The discounted price they’re hoping for isn’t guaranteed to be available with low inventory and low rates, which now, can’t go much lower for them anyway.
Some other buyers may be able to get in more quickly and secure that house that worked so well.
Sure, many homebuyers are going to lose their jobs and spend their cash reserves, but there are so few homes available for purchase and not that many more after the virus outbreak and possible disruptions in the supply chains. Low inventory is going to outlast the virus!
Even if there are going to be fewer buyers, there’s going to be more cash because of the lower rates and possibly what was taken out of the stock market. Bonds are safe, but when things settle, they are going to be too dull and boring for investors. They are going to eye the traditional solidity of the real estate market.
Other investors are setting cash aside to jump in later and actively look for rehabs, upgrades, rentables and so on.
That would mean competition, and if it’s strong enough (it will be for good homes), there could be bidding wars that will soon drive prices back up to where they were, with the added hassle of going through a much more stressful process, especially for non professional homebuyers. Avoid getting caught in the middle of a war when things normalize and all buyers jump in. Non pros are at a disadvantage anyway.
Conclusion: “Buyer! If you’re on the fence, about to jump, but have one last moment to think and stop, don’t.

Home buying opportunities after the corona virus pandemic
Don’t put your dream at risk, go ahead and make the decision you really already made.
Don’t get distracted and regret it.

Buy!

If it’s NOT an investment and instead you’re moving in, BUY!

In a few years you’ll understand why it was a good idea.
If you’re hesitating because it may not work for you, then yes, it makes sense to wait, but don’t be cheap, don’t be greedy, don’t be opportunistic because it could come back to bite you and you could regret it. It could be a home that you will never be able to buy again…

PS: Given the circumstances, there may be delays in the process, as professionals, authorities, institutions deal with the outbreak, so don’t be impatient either.

What are Real Estate Investors doing?

Real Estate Transactions during the Corona Virus Pandemic

Investors and the CoronaVirus Outbreak

In GENERAL

Unlike other categories of professionals involved in real estate transactions as acting parties, investors have many different focuses. With focuses strategies can vary greatly and therefore they don’t face the same challenges as, for instance, real estate agents.

REAL ESTATE AGENTS

Agents and brokers tend to focus on traditional sales and rentals, a few specializing in smaller niches like short sales, but most get hired for straight sales or rentals.

REAL ESTATE INVESTORS
Selling and Buying Homes during the Virus Outbreak in the US

Investors may wholesale, rehab, buy and hold. They may be small private landlords or companies with large portfolios. There are also investors on terms and there are pure speculators, builders and developers and many more types of investors involved in real estate transactions.

ADAPTABILITY

Most investors are naturally able to pivot and switch strategies to adapt to a different environment with different challenges and opportunities, depending on the investors‘ specific expertise and inclination.

Business Discussion Talking Deal Concept

Every situation offers different challenges and different opportunities which require different approaches and solutions, especially in real estate.

For sure there are going to be different opportunities as the markets react to the situation created by the coronavirus pandemic. In Real Estate, investors are probably going to be very active, selling to liquidate and raise cash and buying as some homeowners may need to liquidate themselves.

PROXIMA INVESTORS

We’re investors on terms, we will gladly work with sellers who need to sell faster, cash out more of their equity and be able to move on swiftly.


We will also proudly help buyers who need time to secure funds for a purchase, to move into their permanent home right away, which is s important for families nowadays.


There could be issues for many employees whose employers have been hit by the outbreak and even if they would hopefully hit only a small part of the economy, some may have to decide to sell, while others may not qualify for a mortgage due to job loss, downgrade or change.

MERS-CoV Novel Corona virus and the Real Estate Market: Investors


Or maybe they are forced to use savings as emergency funds and not towards a purchase or receive a hit on their credit. We could proudly help all of those sellers and buyers by buying and selling on our specific terms, which are non-traditional, but get the job done.


Home Sellers would efficiently achieve their goals of selling and/or cashing out equity. Home Buyers have the time to secure the funds for a purchase.


Hopefully the impact will be minimal, but if it is, we are going to be here to help like always.
Sellers would have many more and better options enhancing their chances of a successful sale, buyers would have a way to buy and become homeowners or acquire a property that works better very quickly, even without all the funds and/or a dented credit.

IN SHORT

Real Estate Investors are going to be busy!

CoronaVirus in Real Estate: Buy or Wait?

COVID19 & Real Estate

Should I buy or should I wait?

I wish there was a straightforward YES or NO answer for all buyers. It’s not so much about the property or the market, it’s about the homebuyer.

Questions:


Why purchase? What are the goals and what numbers would work? Would the buyer want seek and close a complicated deal just because it’s the best? How motivated are they to exit their current situation?
These are the questions that prospective buyers need to ask themselves to find, not so much the possibility of a better deal. And if they are moving in, it’s very different than investors.
There are some pretty clear factors to consider; low inventory and low interest rates, paired with low unemployment and rising wages. They all require to be proactive facing motivate buyers as competition.

Virus Outbreak

The choice would’ve been pretty clear. A massive dose of uncertainty jumped into the Real Estate Market at the worst time.
Then the Corona Virus Outbreak struck, now Pandemic.
And right at the worst time; the Spring season was about to kick in with all its frenzy of activity, more listings, more buyers, agents superactive and so on.
It now becomes a matter of guessing what can happen. There’s just too little info, and not relevant to the specifics of the USA.
We know that, as of now, it’s going to get worse, with travel and gatherings greatly reduced, which could directly impact open houses and that would be pretty evident; however, there are a few thousand open houses scheduled around our area, in New England, and I don’t see many cancellations.
Agents seem to want to push through, hopefully with reasonable precautions (maybe they bought sanitizer ahead of time!).

Active Buyers

Surely some buyers are going to put it off, but there is a lot of motivation thanks to the low rates of mortgages and a lot of eagerness to get a deal due to high competition in a market with such few homes available to purchase.
Unless extreme scenarios materialize, there should be great activity over the weekend, barely limited by the coronavirus pandemic. After all, it could be sensed as an opportunity to beat the competition.

Bottomline


If you’re in it to win it, there’s competition and I wouldn’t wait to make a move; whether the pandemic is going to be short or long, inventory is not going to increase, while rates are probably not going to change much.
Jobs are going to be back on the rise again, with a only few dents here in there like in the hospitality and travel industry (airlines may never be the same).
It’s true that some may suffer the situation more than others and more could end up having to sell and at great conditions for a buyer.
However, it’s going to take some effort and prowess to find them because there’s going to be competition and I don’t believe that it will be a widespread situation and the government will probably step up and assist in some way.
Buyers should stay on top of the news and look for signals, but don’t hesitate to purchase the property you like and the numbers you like. Don’t overpay, but don’t worry about not making the most of the opportunity, the market will grow and you will have the home you wanted.
Keep in mind that many other real estate activities may be hindered and delayed, especially if they involve government institutions like courts and registrars and anything involving travel and meetings in person.

Conclusion

So, very generally speaking: BUY, leave the non-buyers, non-action takers, procrastinators, greedy for a slightly better opportunity later, leave them all behind!

Caveats

And never forget that real estate is local, and most news and numbers that are in the public, are national or regional at best. When you’re deciding, that matters.


That’s just our opinion at Proxima Investors. Good luck!

Investors on Terms: Definition

This entry is part 3 of 3 in the series Investors on Terms

PROXIMA INVESTORS are Investors on Terms!

Mansions in Sterling, Massachusetts. Right on golf courses, satisfying saltwater pools, luxurious wine cellars, comfortably large saunas, professionally equipped exercise rooms, multiple car garages, pristine level grounds, numerous and ubiquitous fireplaces, huge rooms and spaces, areas for all needs and purposes

Our primary objective in the course of our real estate investing business is to leverage deal terms to achieve a solution for Sellers, Buyers and all parties involved in our deals, getting them DONE!

Meaning of Investors on Terms

There doesn’t appear to be ANY official definition of Investors on Terms or Deals on Terms (which are made by Investors on Terms) in general or in detail, nor are they specifically mentioned in public documents or recognized by public authorities or entities, as Purchase & Sales and Rental transactions are (“Subject To” deals are marginally acknowledged). The only deals that the general public may be aware of and can be included in Deals on Terms made by Investors on Terms, are Owner Financing and Rent to Own deals. However, these alone do not explain the concept that characterizes Investors on Terms.

Description as “Investors on Terms”

Hadley, MA: Home for sale on terms, lease-option or seller finance
Hadley, MA: Single Family Home for Sale on Lease-Option

“Investors on Terms” is a popular way of describing a certain type of real estate investors, albeit it’s mostly used in the industry and almost lingo of the defined community of professionals, investors and operators active in real estate. It’s a very broad and diverse category which includes many different investors with different, often unique, business models, practices, standards and so on.

Individual real estate investors

Sterling, MA: Home for sale on terms in lease-purchase, owner finance, or straight conventional sale
Sterling, MA: Single Family Home for Lease-Option

Each and every investor may attach a slightly different meaning to “Investors on Terms“. When dealing with investors, the claim should be taken with a grain of salt and the investors’ model examined to determine the exact type of approach to real estate investment.

Unlike other professionals, investors operate more on a smaller, individual scale and with different business models.

Proxima Investors

Real Estate is a solid investment with many ways to monetize and always on demand

For us, Proxima Investors, investing on terms means that we partner with sellers and buyers to find an effective solution to the challenges that they otherwise expect to overcome with a regular sale, with representation from an agent or by handling the deal by themselves.

That’s the core meaning of the term for most investors and their goal, no matter how they distinguish themselves from all the others in the details.

Achieving the goals

In Real Estate Buying and Selling is a challenge and it's different for everyone. That's why a customized solution is to be considered.
Every Home Seller and Buyer has a different situation and challenge; we address it with a custom deal that provides the best solution

Deals on Terms represent an alternative to the mainstream method of buying and selling, especially when they allow to achieve and often overachieve the goals set by sellers and buyers.

In these deals, we don’t focus on the property and its price and/or market value as the only or primary deal point. When we look at a deal, the property is important, but we also dive deep into the whole situation; we dissect all the possible aspects and details of the situation. We look at the big picture and include the sellers or buyers, their personalities and their needs, desires and expectations. We can overdeliver in satisfying the priorities as they are set and expressed by sellers and buyers, if we can leverage effectively all the items of the deal. We create, design and provide a custom agreement which addresses and resolves all the issues of our partners specifically.

In these deals, we don’t focus on the property and its price and/or market value as the only or primary deal point. When we look at a deal, the property is important, but we also dive deep into the whole situation; we dissect all the possible aspects and details of the situation. We look at the big picture and include the sellers or buyers, their personalities and their needs, desires and expectations. We can overdeliver in satisfying the priorities as they are set and expressed by sellers and buyers, if we can leverage effectively all the items of the deal. We create, design and provide a custom agreement which addresses and resolves all the issues of our partners specifically.

Goals and Tools

An “Investor on Terms” looks at the goals of sellers and buyers, proceeds to find the most effective method of achieving such goals by using all the tools that the law, federal, state and local, allow and support in real estate.’

“Investors on Terms” DEFINED:

DEFINITION: In residential Real Estate, “INVESTORS ON TERMS” study and analyze the homeowners’ goals situation, looking deep into the details of the property, and/or of buyers’. Then, they design a deal that leverages as much and as many deal points as possible to achieve the ultimate goal of the sellers and/or buyers.
REMEMBER investors on Terms do business by making Deals on Terms, but each investor has a different interpretation and implementation, style and approach, so no 2 deals are all different!

Conclusion

Hand people are paying the dollar with other hand holds the keys.
Many Buyers are caught out in these days of challenging lending conditions, making Deals on Terms an appealing alternative to get on the property ladder.

That’s the essential traits of “Investors on Terms” and most certainly of Proxima Investors.

Thanks to the tools that the law makes available today, we have much greater flexibility than other professionals in real estate; we can find solutions that work for all parties when a satisfactory solution wasn’t available by mainstream methods.

The downside is that these deals can be intricate and complex. They can prove to be a challenge too hard to face for many who are better off with a simpler, yet risky and/or expensive mainstream alternative.

For all the rest, these deals are not always simple, but indeed always WORTHWHILE!

For this reason, by far most of our deals, are on terms. Therefore, Proxima Investors are “Investors on Terms” indeed!

NEXT: Examples of Investors on Terms

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Investors on terms
Proxima Investors Buy and Sell Homes on Terms throughout New England and Beyond
Creative deals that effectively address challenges that make the sale of a home difficult or the process purchasing a home longer than the market changes and never happens…