Real Estate Brokers who Claim Federal Loan Programs as Unsuccessful should NOT be working in Real Estate!

First off: I do NOT work in the Residential side of Real Estate.

Second: RE Brokers who do NOT understand the benefits of said Federal Loan Programs should NOT be in Real Estate!

There, I said it.

Lately, I have been annoyed by local Brokers/Agents who claim the 2008 economic collapse was from the unsuccessful Federal Loan Programs such as: Fannie Mae, Freddie Mac, FHA and VA Loans.

I am amazed at how uninformed said RE Brokers/Agents are of these programs that have and still do benefit their industry successfully over the years.

Fannie Mae was established in 1938 because there was no national standard for banks to lend. Each bank had their own loan guidelines; and they portfolio-ed ALL their loans from initial payment to the last. FDR realized that there was a need to free up this financial restriction on the banks so that they would have more money to make more loans to more borrowers, thus enabling the banks to make more money for their depositors and the bank itself.

So, IF the bank wrote a loan up to the Fannie Mas guidelines and once funded, the bank could then sell the loan to Fannie Mae. This would pay the bank off for the loan at a profit and the bank could make more loans.

AND, Fannie Mae would earn the interest from the loan by holding it over time so that allowed Fannie Mae to be (one of) the most profitable agencies of the Federal Government through the years. And, because banks were re-leaved of the portfolio part, IF the borrower did defaulted, it was then Fannie Mae's responsibility to foreclose. This aspect helped the Banks PR-wise because during the depression, it was the banks that were the bad guys! If a borrower defaulted, the local bank had the unfortunate duty to take property away from those borrowers - who were most likely depositors, too.

So, once the loan was Fannie Mae's responsibility, the bank was off the hook.

Freddie Mac, which was started in 1968, works with mortgage lenders to help people get lower housing costs and better access to home financing. Hmm! This sounds as if this benefits the bank or financial institution that funds the loan, and it helps the residential real estate industry, too, doesn't it? So, if there is a default, the Federal Government takes the risk. (Pst! Through the years, during 'normal' real estate times, Freddie Mac also made the Federal Government a profit! But, Pst! Don't tell anyone this. Especially a real estate agent broker! It's a secret.)

As for FHA, this loan is a mortgage loan that is insured by the Federal Housing Administration (FHA). Essentially, the federal government insures loans for FHA-approved lenders in order to reduce their risk of loss if a borrower defaults on their mortgage payments that are part of their portfolio. It also provided easier guidelines so that the bank or financial institution could make money funding the loan and IF there was a default, HUD guaranteed the loan for the lender. (Pst! This program also made the Federal Government and the lenders a profit! And, it helped RE agents/brokers make more money because the borrower could save money by putting a smaller amount of money down. But, please don't tell anyone this. It's a secret, too!)

Lastly, VA Loans are just as they sound. When WWII soldiers came home, there was a great appetite from these veteran soldiers to start a family and buy real estate. Since they had spent the previous years fighting tyranny in Europe, the Federal Government passed this loan program as part of the VA Benefits that allowed veterans to buy houses at "0" Down and their closing costs were limited. Hmm? This loan program was so successful, it was the primary reason for the successful boom that continued well into the late 1970's.

And, as you can see, these Federal Loan Programs essentially helped create the real estate industry.

So, IF you hear a RE Broker or Agent complaining about Federal Loan programs as unsuccessful; OR, that these loan programs caused the economic collapse in 2008, my suggestion to you is: find another, more informed broker or agent to help you buy or sell your real estate property. I strongly suggest this because a broker or agent who doesn't understand these programs that have not only benefited home buyers and sellers, but have helped brokers and agents alike make money through the years, they really and truly should NOT be working in real estate.

Well, that's my two cents! I am glad to help you understand loan programs that help all in the real estate industry. Now, let's put the blame for the 2008 economic collapse where it belongs: Wall Street!

For more Information about any Las Vegas Commercial Investment Real Estate Property, contact David Howes at: davidATdavidhowesDOTnet OR 702-501-9388!

Adult Club For Sale in Las Vegas! Has Full Alcohol, Topless Dancing and Gaming!

The Owner of this well located Adult Cabaret Licensed property in Las Vegas has asked me to find a Buyer for his Club.

The Real Estate and Business is available for the Reduced Price of $10 Million. And, this price is the price. Not negotiable! No financials are required to verify or argue that the property is worth less than the asking price. OR, that the appraisal MAY or MAY NOT justify the selling price. If you want an "Adult Cabaret" Licensed Club with "Full Alcohol" AND "Restricted Gaming," this is the location.  The local authorities are NOT giving out any more licenses.

The purchase price includes 2.04 acres surrounding a 17,000 SF Free Standing building, a billboard sign, and a small .6 acre+/- lease able car sales lot (which this building could be demolished to create additional parking for the club!)

The Topless Club was remodeled a few years ago and has been well maintained. Per code, the Owner updated the club with fire sprinklers, a new sound system and Slot Gaming!

So, as you all know, this is NOT for everyone.

As a specialty use in the Commercial Real Estate (CRE) world, only a few will be able to own and operate a club where women dance in scantily outfits (G-String bottoms only) and men can drink and gamble. Oh! And you can smoke cigars while the Ladies entertain you!

This is the perfect setting for a young man visiting Sin City!

This Adult Topless Club is located right next door to a major Resort Hotel Casino. It is the very best located Adult Club in Las Vegas and one of the best for Topless Adult Entertainment.

IF Interested but the Real Estate Acquisition Price is a little high for your budget, the Owner would sell the  Business at $1.5 Million and Lease the Real Estate for $25,000 per month on a Five Year Lease.

For more information, Email me your contact information, your financial capability for full disclosure of the property.

For more Information about any Las Vegas Commercial Investment Resort Real Estate Property, contact David Howes at: davidATdavidhowesDOTnet OR 702-501-9388!

Attention Potential Las Vegas Investors!

Sellers in Las Vegas are now starting to feel their Mo-Jo!

This is bad news for potential Las Vegas Commercial Real Estate Investors because this means that the Sellers are going to hang in there tougher and more focus on obtaining the maximum value they can get for their properties than before.

Recently, one of my long time clients called and asked me what I thought his property was worth?  I asked him what he was trying to net out. After he told me, I said he could net double what he wanted to net.  He had me list and market his property so he will net out $2 million!  (Just so you know, I Sold the Hotel property right next door to his.)

So, as we are signing the paperwork, he then tells me is that another RE Broker had approached him and wrote an offer at less than what he had previously wanted to net. It was obvious to me, the other RE Broker was trying to get him to sell to his Buyer client at half of the value of the property that I sold the property next door for.

Now, my client is a private investigator. So, being a PI, he had already done his own investigation into his property's value. (He told me he simply walked over to the property I had Sold next door and asked the former owner (my Selling Client) what he sold his hotel for.  And, that owner told him.)  Fortunately, it matched exactly what I had said.

So, it is apparent, the other RE Broker either knows very little to nothing about the economic incline in this Las Vegas sub-market; OR, maybe he does and enjoys trying to screw owners out of their equity!

The unfortunate part of this is that this is currently happening in reality in this area.

Unfortunately, most potential investors do NOT realize the actual value added properties are outside of this Las Vegas sub-market. Most people think of Las Vegas as the Resort lined street known world wide as: “The Strip.” But, if you potential investors would approach Las Vegas with open minds, you will find -- to your surprise -- some good deals!

So, Are you interested in where those good deals are?  Well,...

For more Information about Las Vegas Commercial Investment Real Estate Property, contact David Howes at: davidATdavidhowesDOTnet OR 702-501-9388!