PHOENIX - Housing Angels is a program in Arizona that was designed to help people avoid foreclosure and stay in their homes.
A lot of homeowners are facing foreclosure and are in a short sale situation looking at losing money and having to move.
With Housing Angels someone in a short sale situation is matched up with an investor, referred to as an angel, who will buy their home and then rent the home back to the homeowner.
Eventually the homeowner is able to buy back the home at a reduced cost.
An example of the process given by Housing Angels, is a home owner bought a home for $419,811 paying $2700 per month for the mortgage.
The investor purchased the home for $175,000 and then rented the home back for $1750 per month. This was a significant savings to the homeowner who was experiencing difficult economic times.
Then in two to four years, the homeowner is able to buy back their house and in the above situation did so for $232,925.
In a short sale situation the bank pays the realtor fees, so the cost to the homeowner is at a minimum.
Housing Angels says it is a win-win situation for both the investor and the homeowner. The homeowner can stay in their home avoiding having to move and, for investors, it is one of the best buy and holds out there according to Housing Angels.
Investors have an immediate tenant, who is more likely going to take good care of the home when they are the renter because they hope to buy back the property.
The homeowner likes the situation because they don't have a hardship with moving and get to buy back their home at fair market value in the future.
For more information on Housing Angels and how they can help you avoid losing you home visit their website.