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.