BOA Tests Rental Program as Alernative to Foreclosure

Bank of America said Thursday that it would offer a small number of customers facing foreclosure the option to remain in their homes and rent the property instead. The program highlights how investors are increasingly interested in becoming landlords on troubled properties.

Thinking of renting your property?  Contact the appraisers at www.scappraisals.com and have them do a rent comparable and income report for you;  know the numbers before renting.

Under the terms of the pilot program, which will be offered initially to about 1,000 consumers only in New York, Nevada and Arizona, homeowners will give up the title to their property in exchange for bank forgiveness of their mortgage debt. They would then be able to rent the property for up to three years.

The rent payments would be less than the monthly mortgage payment and be set at or below market rates, according to bank officials.

At first, Bank of America would retain ownership of the properties before selling them to outside investors. If the pilot program, known as Mortgage to Lease, is successful, the bank could expand it.

A wide variety of institutional investors, including some large private equity firms, are weighing potential deals in the beaten-down housing market. Bank of America’s move could offer up potential properties for investors who are looking for opportunities.

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Buying a Home is Cheaper than Renting in Most Places

Purchasing a home is cheaper than renting in 98 out of the 100 largest U.S. metropolitan areas, a survey by real estate site Trulia showed.

Contact the appraisers at www.scappraisals.com to help you determine the value of your property.

That’s up from 97 regions last year, after New York, which encompasses the suburbs as well as the city’s five boroughs, flipped positions in favor of buyers. Renting is the better deal in San Francisco and Honolulu, where a tight supply of homes pushed values higher, Trulia said.

“Buying is cheaper than renting almost everywhere because prices have fallen so much since the housing bubble peaked,” said Jed Kolko, chief economist with the San Francisco company.

As home values have fallen more than 30 percent from their 2006 peak, the monthly cost to lease is roughly the same or more expensive than it is to buy in many U.S. markets. Monthly apartment rents averaged $1,263 in the fourth quarter, the highest since 2008, according to brokerage CBRE Group Inc.

Read more: http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2012/03/21/BUJH1NO5RB.DTL#ixzz1prrtOvCv

 
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Not Too Soon to Prep for Wildfires

PALA — We’re coming off a big rain, the hills are green, and the weather is pleasant, but the firefighting community wants everyone to remember what could be waiting around the seasonal corner.

And to be prepared.

At the Pala Casino Spa Resort this week, more than 100 fire professionals are meeting at the 2012 Interagency Wildland Fire Prevention, Education and Mitigation Conference.

Simply put, the conference is to teach professionals how to teach the community how to prepare for a major wildland fire.

The message: prepare now when the fire danger is low so that come summer and fall, when flames are scorching the earth, measures to minimize or prevent damage will already be in place.

“People come and go in San Diego,” said Hylton Haynes, an associate project manager for Firewise Communities, a national nonprofit organization.

“It’s a military town. Not everyone is aware of where they are living. Continuing to do this public outreach is critical.”

“A lot of people are aware of the danger, but they don’t understand that they can reduce the danger to themselves by just doing some landscaping and moving a wood pile,” added Pat Durland, founder of Stone Creek Fire, which has the same basic goals of fire safety as Firewise.

“We’re trying to move from the conceptual danger to removing the risk … and that doesn’t happen until they move the wood pile,” Durland said.

The Bureau of Indian Affairs organized the conference, and it’s being attended by tribal, state and federal fire officials, as well as others such as insurance company representatives.

For information about how to prepare, go to firewise.org, firesafecouncil.org, or stonecreekfire.com.

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