MS Coast Real Estate

If you are not familiar with the SRAP (Small Rental Assistance Program) offer on the Mississippi Coast, it would be a good time to read more about it. The Small Rental Assistance Program is designed to help address the affordable housing issue on the Mississippi Gulf Coast and awards up to $40,000 per door to investors who want to rent to moderate and low income families for at least 5 years.

The SRAP program is one of the single best programs for investors because it allows them to easily obtain properties that can cash flow considerably from day one. The problem that many investors have seen with this program is that real estate brokerage companies and builders have teamed up to push new construction products as the only means of getting it when this is not true.

Utilizing existing inventory is generally a much quicker way of getting approval - and getting your money, not to mention it offers some tremendous opportunities for cash flow potential.

LowestRealEstate is a website managed by us where we have put together some of the best deals available for cash flow. We have pulled properties that would cash flow very well with only minimal down (albeit we generally recommend 20% down due to lending guidelines and better positioning). Many of these properties have CAP rates in the 9% - 11% range before applying SRAP and some have 20%+ CAP rates when utilizing the Small Rental Assistance Program funds. These CAP rates are unheard of! We do have limited inventory so jump on them as quickly as possible. We have put together options on these to protect our interest but if you do not see anything you like we will be more than happy to help you find other properties that the numbers will still work out beautifully on.

The properties listed on LowestRealEstate.com are put together as good investments with or without SRAP. As with any government program, you never can be certain you will receive it, albeit the likelihood is great so long as you are within the guidelines. If you do not get it for whatever reason, the properties will STILL make good investments - unlike those new construction duplexes you have been pitched time and again.

Take a look at LowestRealEstate and contact us for more information - before time runs out. The deadline to apply is December 15th - and you should have the deed in hand when applying…

The city of Gulfport, MS was awarded $9 Million in funds that is to be used for long term workforce housing. The program is a two-year project that will give people that want to buy a home up to $50,000 in the form of a forgivable loan, or deed restriction. Unlike other similar programs for investors, the Gulfport HomeLine Grant is for owner occupied properties only and reduces itself each year by 20%. The beauty of this is that if you need to move (relocation, etc), you do not have to pay the full amount back. If you were to move in the 3rd year, you would only have to pay back 60% of the award. Of course, if you own, and occupy the property for 5 years, you do not have to pay any of it back.

The Gulfport Homeline Grant does have maximum annual household income requirements as part of the program as the program is designed to help the low to middle income people which typically comprises the workforce - the income requirements are shown in the table below based on the number of people in the household.

The Gulfport Homeline Grant also has some other basic guidelines as well and include:

• Maximum House price of $180,000
• Maximum Assistance is $50,000
• 5 year deed restriction to insure affordability and primary residence
• Obligation reduces 20% each year
• Home must be built since 1980
• Home must be within the Gulfport city limits

If you have been approved for the Gulfport Homeline Grant and need assistance finding a great property for you and your family - please give us a call.

If you need assistance or need more information on the Homeline Grant - please call and we will help point you in the right direction.

Savanna Trails, in Ocean Springs, MS is a planned community currently being developed into one of the most unique subdivisions in the area. Offering amenities ranging from community daycare at a reduced rate to residents, miles of walking paths, community pavilions, parks, playgrounds, pools, and outside grilling areas. Cat 5 cable and wireless Internet and much more are offered in this community.

A short walk to St. Martin elementary school and within minutes to the Interstate (I-10), casinos, and downtown Ocean Springs.

Mason Trendsetters, a master home builder with over 30 years experience, offers a brilliant approach to creating unique homes for customers. Their mission is to build a beautiful and easy to maintain home for you and your family to enjoy for many years to come.

Savanna Trails has numerous amenities but probably the most unique is the 7,000 square feet daycare facility which residents will be able to utilize at a reduced rate. This makes it much more convenient to residents than trying to drive across town to pick up their children and then go home. The daycare facility is being donated by the builders and developer of Savanna Trails for the benefit of the residents.

We are blessed to live in an area where outdoor entertainment is available almost the entire year. Savanna Trails developers have taken this into consideration and are building an outdoor pavilion/picnic area which will be located on the same parcel of land as the Olympic Size Swimming Pool!

In addition to everything else provided, Savanna Trails will also have Orleans place, a managed community. Orleans Place is a New Orleans styled townhouse community within Savanna Trails. The benefit of Orleans Place is that they have all the benefits of Savanna Trails and also a separate swimming pool and pocket park available only to Orleans Place.

For more information, please call Damion Flynn at 228.365.1883 or use the contact form here at MSCoastRealty.com.

Please also feel free to view the video we have put together with some of the homes available at Savanna Trails (Right Sidebar under New Homes) or View the Sales Literature (pdf file).

The Mississippi Development Authority’s Small Rental Assistance Program (SRAP for short) round 2 is here and applications are being processed. For anyone wanting to take advantage of this program, you need to do it BEFORE December 15th 2008.

SRAP round 2 started on October 15th 2008 and offers some of the nicest incentives to put rental property into the market and create affordable housing. A typical, three bedroom home can receive $36,500 in the form of a forgivable loan provided the guidelines are met with the program for a period of 5 years.

The Small Rental Assistance Program is very unique and round 2 has many of the same guidelines as round 1 of SRAP but there are some minor differences. The forgivable loan amounts are as follows, and come directly from the SRAP Guidelines:

Then, you can get an additional “completion bonus” if it is in use within 9 months of the approval:

As you can see, the benefits can quickly add up and that is the nature of the program - to get as many lower rate rentals as possible to attract more people back to the coastal counties most effected by Katrina.

SRAP round 2 does have a few minor changes including the fact that you have to OWN the property. Round 1 allowed you to have them under contract or have options to purchase and be able to apply. Because of significant issues, they have changed this. Directly from the SRAP round 2 guidelines:

MDA is now requiring that an Applicant OWN the property prior to application processing. A lease, contract for purchase, option to purchase, or a reservation will not meet this requirement.
For the purposes of this program, property ownership is defined as “fee ownership”. In other
words, the applicant must be able to provide MDA with a recorded warranty deed, quitclaim
deed or other documented proof of ownership.

In round 1, people were trying to make sure they would get the loan as a means to buy the property and this created a LOT of headaches. What this does mean is that less people will be taking the chance on getting this on new purchases which leaves a better chance for you to be able to take advantage of it!

If you are considering buying investment rental property, give us a call (or email) and we will go over some properties that will KNOCK your SOCKS off.

My partner and I spend a lot of time putting properties together for our investors - come see what all your investor friends have been keeping from you

See the Official SRAP page on the MDA website HERE.

I get numerous calls every week from new real estate investors, most of which just read a book or watched a DVD that they bought off a late night infomercial and the first thing they say is that they want me to help them find investment properties.

Me: Great - so what are you looking for?
Them: Investment properties.
Me: Yes, but what type of investment properties?
Them: The kind that make money…

While the conversations usually are a bit more drawn out and have all the niceties of a professional real estate broker added in there, this would be the basic gist of it. A recent case happened to me today where the investor was looking for properties to buy in the Go-Zone that qualified for SRAP. He had been talking with another agent who put on investment seminars which were basically a disguise to get people to buy properties through her, mostly in the condo market, most of which are outrageously overpriced. He had no idea that he really could not make any use of the Go-Zone credits nor did he realize the $400,000 condo she was trying to get him to purchase would have had a negative cash flow more than he made in a month because SRAP has to conform to HUD rental rates.

Know what you are looking for.

When you are going to start investing in real estate, as a new real estate investor, you should start planning your goals. Are you looking to make passive income from rentals or are you looking to just get in and out for quick money? Do you want to buy low and then hold for a few years to maximize profits or are you comfortable with a quick $10k for your efforts?

Many new investors do not have a plan of action when they start investing in real estate and they usually end up with some idiot part-time Realtor® who “does” real estate on the side once they get out of their job as someone else’s secretary. Keep in mind - NEVER take advice on investing your money from someone who is a part-timer in this business. There are too many variables that change daily and you need someone that monitors these changes and knows the market from handling hundreds of transactions.

Most people investing in real estate that fail do so because they had a bad plan of action or were working with an agent who did not know what they were doing. If you fail to plan - you plan to fail.

Know what your goals are and then come to talk to me to get started making the right decisions. Right now we are in a buyers market and the best time to buy for maximum appreciation for those wanting to sell in a few years.

Swan Lake Estates is located in Gulfport, MS a few miles north of I-10 off Hwy 49.  Swan Lake Estates is nestled just outside of the city limits saving owners money on property taxes, yet still close enough to have all the amenities of city living with public water and sewage, cable television and broadband Internet.

Swan Lake Estates features a members clubhouse with swimming pool, private tennis court, and a nice playground for the young ones.

Overlooking a gorgeous lake with benches throughout the clubhouse area, this community has a great, tranquil feel to it and the prices of the homes are very reasonable for what you get.

Swan Lake Estates is one of Gulfport, Mississippi’s finer subdivisions and offers many of the amenities you would find in a high end development for a fraction of the price.

Make sure you check out the Swan Lake Estates video on the right and give us a call for all your real estate needs on this or any other real estate transaction on the Mississippi Gulf Coast.

Rivers Edge Town Homes are located in Biloxi, MS near the D’Iberville shopping center and only minutes away from the intersection of I-10 and I-110.

Located right on the Tchoutacabouffa River, these town homes offer gorgeous views and yet are high enough that you should not  ever have to worry about flooding.

Only minutes from downtown Biloxi by way of I-110, these town home are located in a quiet location yet still close enough to casinos including the Hard Rock Casino and the Beau Rivage. If the casinos aren’t your style, maybe you would like to swing by one of Biloxi’s fine eating establishments - after all, no one makes better food than you can find on the Mississippi Coast - of course, I may be a bit biased

Whatever your needs, if you are looking for a spacious town home close to everything in an affordable price range - look no more. These homes offer great pricing and an abundance of upgrades.

Because of the location and beautiful new homes surrounding these, we expect these properties to see great appreciation in the coming years making them a great new home or investment.

Also, be sure to check out the Video on these! (just look under our Videos in the New Homes section)

Audubon Lake is a quiet, nestled community just outside of the city limits of Gulfport, MS on Hwy 53. This subdivision is in the process of being developed now and is currently plotted for roughly 90 home sites.

The subdivision is located in close proximity to Canal Rd., Harrison County Fairgrounds, and is only a few minutes to Hwy 49.

The growth area for Gulfport is north of I-10 and this is close enough to be in town in a few minutes but just far enough out to be peaceful (and save some money on city taxes)

With several models to choose from starting in the low $140k range, this is an excellent choice to start your search and a great place to finish it and call home.

For the investors out there, the developer has set aside a handful of lots just for you! With the Go-Zone tax incentives and the second round of the SRAP (small rental assistance program, it would be possible to create a pretty nice investment out of some of these homes as well.