Buying a New Home or Condo has been gaining momentum amongst First Time Home Buyers, Rehab Property Flippers, and Buy and Hold Cash Flow Investors.
When Buying a Home or Condo, you will want to get your loan pre-qualified first. Part of getting your home loan pre-approved is showing your income and how much house you can afford.
Watch this quick video where I interview a top loan consultant to explain the process of how to show income when getting a home loan. http://www.youtube.com/watch?v=8O0PNruU4kU
To determine your maximum San Diego mortgage amount, lenders use guidelines called debt-to-income ratios. This is simply the percentage of your monthly income (before taxes) that is used to pay your monthly debts. Because there are two calculations, there is a "front" ratio and a "back" ratio and they are generally written in the following format: 33/38.
The front ratio is the percentage of your monthly income (before taxes) that is used to pay your housing costs, including principal, interest, taxes, insurance, mortgage insurance, and homeowners association fees (when applicable). The back ratio is the same thing, only it also includes your monthly consumer debt. Consumer debt can be car payments, credit card debt, installment loans, and similar related expenses. Auto or life insurance is not considered a debt.
These are just guidelines and they are flexible. If you make a larger down payment or have sterling credit, the guidelines are less rigid. The guidelines also vary according to loan program. FHA guidelines, VA guidelines, and Conventional Loan Guidelines all vary.
Whether you want to buy a high end home or a nice comfortable starter home, Oliver will be more than happy to assist you regardless of your budget.
Oliver Graf
Premium Service, Proven Results!
Showing posts with label home for sale. Show all posts
Showing posts with label home for sale. Show all posts
Thursday
Short Sale News for Homeowners: Treasury expands HAFA short sales program for vacant properties
The Treasury department recently announced several changes to the Home Affordable Foreclosure Alternatives (HAFA) program to make the program accessible to more borrowers and properties. With the lackluster numbers on permanent HAMP modifications and other widely reported problems, HAFA and short sales may become a bigger focus for policy makers, loan servicers, and REALTORS® in 2011.
One particularly notable change announced relates to HAFA eligibility of vacant properties. Previously, only properties which were vacant for 90 days due to employment-related moves of more than 100 miles were typically eligible. Under the new HAFA guidelines, previously owner-occupied properties which have been vacant or rented for up to 12 months are eligible as long as, among other things, the seller has not purchased another property in the interim.
The new guidelines are effective Feb. 1, 2011, and are not applicable for, among others, loans owned or guaranteed by government owned or sponsored entities including Fannie Mae, Freddie Mac, FHA and VA.
From January 26th, 2011. Market Matters Weekly Advisory
Reprinted with permission of the CALIFORNIA ASSOCIATION OF REALTORS®
Contact me if you have any questions or need any help,
Oliver Graf
Real Estate Expert
Follow me on Twitter: Twitter.com/OliverGraf360
One particularly notable change announced relates to HAFA eligibility of vacant properties. Previously, only properties which were vacant for 90 days due to employment-related moves of more than 100 miles were typically eligible. Under the new HAFA guidelines, previously owner-occupied properties which have been vacant or rented for up to 12 months are eligible as long as, among other things, the seller has not purchased another property in the interim.
The new guidelines are effective Feb. 1, 2011, and are not applicable for, among others, loans owned or guaranteed by government owned or sponsored entities including Fannie Mae, Freddie Mac, FHA and VA.
From January 26th, 2011. Market Matters Weekly Advisory
Reprinted with permission of the CALIFORNIA ASSOCIATION OF REALTORS®
Contact me if you have any questions or need any help,
Oliver Graf
Real Estate Expert
Follow me on Twitter: Twitter.com/OliverGraf360
Exactly what is a Short Sale?
A short sale describes a Real Estate transaction in which a sellers
lender or lenders (depending on how many mortgages there are) agree
to allow the homeowner to sell the property for an amount less
than what is owed on the loan(s).
The consent of the seller’s lender(s) is needed because without
it there wouldn't be enough money from the sale to pay off the
lenders in full in addition to the other costs of the sale (like
commissions and other closing costs.)
As a result, the lender’s lien(s) would remain on title, and
the homoeonwer selling the property would be unable to
transfer title to the buyer free of monitary liens.
Simply put, a short sale is where the lender agrees to allow
the homeowner to sell the property for less than what is owed
on the mortgage (s).
Peroperties that are worth less than the amount owed to the
secured lender(s) are often referred to as being “under water”
or distressed properties.
lender or lenders (depending on how many mortgages there are) agree
to allow the homeowner to sell the property for an amount less
than what is owed on the loan(s).
The consent of the seller’s lender(s) is needed because without
it there wouldn't be enough money from the sale to pay off the
lenders in full in addition to the other costs of the sale (like
commissions and other closing costs.)
As a result, the lender’s lien(s) would remain on title, and
the homoeonwer selling the property would be unable to
transfer title to the buyer free of monitary liens.
Simply put, a short sale is where the lender agrees to allow
the homeowner to sell the property for less than what is owed
on the mortgage (s).
Peroperties that are worth less than the amount owed to the
secured lender(s) are often referred to as being “under water”
or distressed properties.
Wednesday
Big Industry News affecting Short Sales in California...
Big Industry News affecting Short Sales in California...
Senate Bill 931 was recently passed giving much relief
to sellers who are in a short sale position.
The bill expands existing anti-deficiency laws for first lien
holders regarding loans secured by properties of 1-4
units to short sales and took effect on January 1, 2011.
This is BIG for Sellers, Investors, and Agents!
In part, the new law provides that: "No judgment shall be
rendered for any deficiency under a note secured by a first
deed of trust or first mortgage for a dwelling of not more than
four units, in any case in which the trustor or mortgagor sells
the dwelling for less than the remaining amount of the indebtedness
due at the time of sale with the written consent of the holder
of the first deed of trust or first mortgage."
Simply put, California sellers who are granted a short sale
by a lender holding a first mortgage will now be exempt from
a deficiency judgment.
This is great news for any of your deals your currently working on
and great news for the business over the next year!
One of the most discouraging aspects for a homeowner facing
a short sale is the threat of deficiency they will experience for
selling their property short.
Fortunately, with Senate Bill 931 homeowners will no longer
be responsible for a deficiency on first mortgages in California.
Full text available here:
http://www.leginfo.ca.gov/pub/09-10/bill/sen/sb_0901-0950/sb_931_bill_20100930_chaptered.html
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Senate Bill 931 was recently passed giving much relief
to sellers who are in a short sale position.
The bill expands existing anti-deficiency laws for first lien
holders regarding loans secured by properties of 1-4
units to short sales and took effect on January 1, 2011.
This is BIG for Sellers, Investors, and Agents!
In part, the new law provides that: "No judgment shall be
rendered for any deficiency under a note secured by a first
deed of trust or first mortgage for a dwelling of not more than
four units, in any case in which the trustor or mortgagor sells
the dwelling for less than the remaining amount of the indebtedness
due at the time of sale with the written consent of the holder
of the first deed of trust or first mortgage."
Simply put, California sellers who are granted a short sale
by a lender holding a first mortgage will now be exempt from
a deficiency judgment.
This is great news for any of your deals your currently working on
and great news for the business over the next year!
One of the most discouraging aspects for a homeowner facing
a short sale is the threat of deficiency they will experience for
selling their property short.
Fortunately, with Senate Bill 931 homeowners will no longer
be responsible for a deficiency on first mortgages in California.
Full text available here:
http://www.leginfo.ca.gov/pub/
What impact do you think this will have on the market and sellers in general?
To your success,
Oliver Graf
Real Estate Expert
*** Make sure you sign up for our FREE mailing list today! ***
Friday
How to Price a Property correctly - Sell Real Estate FAST
How to Price a Property correctly so you can sell it quick and get the most amount of money - Sell Real Estate FAST
When you put a property up for sale, the price you set is the most critical factor in terms of the return you’ll receive on your investment. That’s why you should always get a professional evaluation before deciding the price (You can contact me anytime if you would like a FREE help pricing property). Look at the facts and do an honest assessment of the property, based on several factors, including but not limited to:
• Market conditions
• Condition of your home
• Repairs or improvements
• Selling timeframe
In real estate terms, “market value” is the price at which a particular house, in its current condition, should sell within 30 to 90 days.
If the price of your property is too high, this could cause several things:
• Limits buyers visiting the property. Potential buyers may not view the home because it appears to be out of their buying range or “over priced”.
• Limits the number showings. Other salespeople may be more reluctant to view your home and show it to their prospective buyers.
• Used as leverage against you. Other Realtors® may use the price of the subject property to drive the sale of other homes that are more competitively priced.
• Longer time on the market. When a home is on the market too long, it may be perceived as “stale” or defective. Buyers wonder, “what’s wrong with the property,” or “why hasn’t this sold yet?”
• Lower price. An home that is priced too high, still on the market beyond the average selling time, could lead to a lower selling price in the end. To sell it, you will have to reduce the price – sometimes more than once. In the end, you run the risk of getting less than if it had been properly priced in the first place.
• Wasted time and energy. A bank appraisal is most often required to finance a home, so if it is overpriced it will not appraise and they buyers lender will force a reduced price.
Real Estate Professionals have known it for years – well-kept homes that are priced right from the start get you the fastest sale for the best price! And that’s why you need a highly trained professional to assist you in the selling of your home.
Often, in a seller’s market, homes that are priced slightly below market value initially will sell for more, simply because of the extra interest they incite. This can be a risk, however, and when it comes to such a decision you can contact me for help any time.
If you have any other questions please contact me anytime
Oliver Graf
Real Estate Expert
****** Make sure you sign up for our FREE mailing list today! *****
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Real Estate Sales
Real Estate Buying
Real Estate Purchase
San Diego Based Real Estate Blog
When you put a property up for sale, the price you set is the most critical factor in terms of the return you’ll receive on your investment. That’s why you should always get a professional evaluation before deciding the price (You can contact me anytime if you would like a FREE help pricing property). Look at the facts and do an honest assessment of the property, based on several factors, including but not limited to:
• Market conditions
• Condition of your home
• Repairs or improvements
• Selling timeframe
In real estate terms, “market value” is the price at which a particular house, in its current condition, should sell within 30 to 90 days.
If the price of your property is too high, this could cause several things:
• Limits buyers visiting the property. Potential buyers may not view the home because it appears to be out of their buying range or “over priced”.
• Limits the number showings. Other salespeople may be more reluctant to view your home and show it to their prospective buyers.
• Used as leverage against you. Other Realtors® may use the price of the subject property to drive the sale of other homes that are more competitively priced.
• Longer time on the market. When a home is on the market too long, it may be perceived as “stale” or defective. Buyers wonder, “what’s wrong with the property,” or “why hasn’t this sold yet?”
• Lower price. An home that is priced too high, still on the market beyond the average selling time, could lead to a lower selling price in the end. To sell it, you will have to reduce the price – sometimes more than once. In the end, you run the risk of getting less than if it had been properly priced in the first place.
• Wasted time and energy. A bank appraisal is most often required to finance a home, so if it is overpriced it will not appraise and they buyers lender will force a reduced price.
Real Estate Professionals have known it for years – well-kept homes that are priced right from the start get you the fastest sale for the best price! And that’s why you need a highly trained professional to assist you in the selling of your home.
Often, in a seller’s market, homes that are priced slightly below market value initially will sell for more, simply because of the extra interest they incite. This can be a risk, however, and when it comes to such a decision you can contact me for help any time.
If you have any other questions please contact me anytime
Oliver Graf
Real Estate Expert
****** Make sure you sign up for our FREE mailing list today! *****
--
Real Estate Sales
Real Estate Buying
Real Estate Purchase
San Diego Based Real Estate Blog
Wednesday
How to STOP a Foreclosure Sale: Tips on getting a Foreclosure Sale Date (Notice of Trusee Sale) Postponed
How to STOP a Foreclosure Sale: Tips on getting a Foreclosure Sale Date (Notice of Trusee Sale) Postponed
Submit everything on the list below and more important is the actions taken after you submit it. Call and note the account multiple times until you get someone who is ready and willing to help you. Leave messages, send emails, and fax them, hit them on every front possible until you receive the postponement. DO NOT “wait for them to get back to you”, keep calling until you confirm
1) URGENT cover letter – Outlining the entire situation
2) Authorization form – All loans
3) Hardship Letter – Highlighted and Emphasizing “Permanent Nature”
4) Listing Agreement and Short Sale Addendum
5) NODPA – Notice of Default Purchase Agreement (Price Filled in)
6) COMPS – Underlined, Circled and Broken down with cover letter
7) HUD – Make sure all names, numbers, and payoffs are correct and settlement agent states “buyers choice”
Complete Every Step in this order… Get all rep names and numbers and save/note them. Start this process a minimum of 3-7 days before the projected sale date.
1. Send a FORMAL STOP SALE request with “Urgent” cover letter to every fax number and email that you have on the file. Resend Entire package above if necessary.
2. Call Negotiator and Supervisor to Note in the account that you are trying to postpone the sale. Also have rep review the account and make sure that all the required postponement items are showing up and ready for review. Stay on the phone with them until they confirm both.
3. Call Foreclosure AND Customer Service department to confirm that the request to post pone was made. If they say they cannot help you, keep calling back until you find someone that will help you.
4. Get the Trustee Sale Number and Trustee contact info one of three ways: 1) Check the NOTS letter, 2) Request Trustee Company Name and Contact Number from Customer Service, or 3) Get it off title.
5. Also, check if the Trustee Sale company is co-owned by the servicer / lender, if so any postponements can be made directly in house via email or phone by the negotiator (stay on the phone with them while they do it).
6. Call and confirm with Trustee Company that the request to postpone was received. If the request was never made, call lender back and escalate the postponement. Keep checking back until confirmed.
7. Go higher up with all parties if necessary. Repeat by phone until all parties confirm the postponement.
Obviously nothing is guaranteed, but using these techniques will help you get a Foreclosure date postponed.
Let us know about your success with these tips
To your success,
Oliver Graf
Real Estate Expert
Follow me on Twitter: Twitter.com/OliverGraf360
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Real Estate Apps
Real Estate Tips
Thursday
Tips on loans and financing for Mobile and Manufactured Homes
What are mobile home loans?
Mobile homes are actually manufactured homes which are normally found in campsites or mobile home parks. They are transported by tractor-trailers over public roads to sites. Sometimes they are used as temporary accommodation on campsites. These houses can be placed in one location permanently as well as can be moved to other areas. If you want to buy this kind of homes, then you can take the help of mobile home loans from FHA (Federal Housing Administration) approved lenders. FHA approved lenders generally give loans from their own funds to eligible borrowers to finance the purchase of mobile home. FHA insures the lender against loss if the borrower can't make the payments.
Objective of the loan
The mobile home loan is used to purchase a manufactured home, a lot on which a manufactured home is to be placed.
How to qualify for mobile home loans?
The eligibility criteria for the mobile home loans are as follows:
• Borrower should have sufficient income to make the minimum required down payment.
• Borrower must be able to prove that they can make the payments on the loan and cover their other expenses.
• Borrower primarily intends to occupy the manufactured home as his principal residence.
• Borrower must have a suitable site to place the manufactured home. It can be a rental site in Manufactured Home Park or can be a home site. The site should have adequate water supply and garbage disposal facilities.
• The borrower should have an average credit score.
Loan term
The maximum term for a manufactured home or a single-section manufactured home is twenty years. However, for a multi-section manufactured home and lot, the term is for 25 years. For a manufactured home and lot, the term is for 15 years.
How can you find the dealer who gives mobile home loans?
You can get the contact details of the lenders in your area who give mobile home loans from the local retailers. Contact us if you need help of have any questions.
However, it should be noted that one of the basic criteria for getting mobile home loans is that manufactured homes must be according to the Model manufactured home installation standards.
Investing
Mobile home parks can be a great investment for the short and long term. If your interested in comercial real estate, especially mobile home parks, I recommend you take a look at this system, they give you everything you need to succeed. Click Here to find out how to make money with mobile homes!
Guest Post by:
Sabrina Gomez
http://www.mortgagefit.com/mobile-homeloan.html
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Real Estate Purchase
Real Estate Mobile homes
Real Estate Buying
San Diego Based Real Estate Blog
Mobile homes are actually manufactured homes which are normally found in campsites or mobile home parks. They are transported by tractor-trailers over public roads to sites. Sometimes they are used as temporary accommodation on campsites. These houses can be placed in one location permanently as well as can be moved to other areas. If you want to buy this kind of homes, then you can take the help of mobile home loans from FHA (Federal Housing Administration) approved lenders. FHA approved lenders generally give loans from their own funds to eligible borrowers to finance the purchase of mobile home. FHA insures the lender against loss if the borrower can't make the payments.
Objective of the loan
The mobile home loan is used to purchase a manufactured home, a lot on which a manufactured home is to be placed.
How to qualify for mobile home loans?
The eligibility criteria for the mobile home loans are as follows:
• Borrower should have sufficient income to make the minimum required down payment.
• Borrower must be able to prove that they can make the payments on the loan and cover their other expenses.
• Borrower primarily intends to occupy the manufactured home as his principal residence.
• Borrower must have a suitable site to place the manufactured home. It can be a rental site in Manufactured Home Park or can be a home site. The site should have adequate water supply and garbage disposal facilities.
• The borrower should have an average credit score.
Loan term
The maximum term for a manufactured home or a single-section manufactured home is twenty years. However, for a multi-section manufactured home and lot, the term is for 25 years. For a manufactured home and lot, the term is for 15 years.
How can you find the dealer who gives mobile home loans?
You can get the contact details of the lenders in your area who give mobile home loans from the local retailers. Contact us if you need help of have any questions.
However, it should be noted that one of the basic criteria for getting mobile home loans is that manufactured homes must be according to the Model manufactured home installation standards.
Investing
Mobile home parks can be a great investment for the short and long term. If your interested in comercial real estate, especially mobile home parks, I recommend you take a look at this system, they give you everything you need to succeed. Click Here to find out how to make money with mobile homes!
Guest Post by:
Sabrina Gomez
http://www.mortgagefit.com/
****** Make sure you sign up for our FREE mailing list today! *****
--
Real Estate Purchase
Real Estate Mobile homes
Real Estate Buying
San Diego Based Real Estate Blog
Wednesday
5 Reasons to Avoid Foreclosure at all costs! - How bad is a Foreclosure?
5 Reasons to Avoid Foreclosure at all costs!
1) Unlike most negative credit items, having a foreclosure on your credit report is virtually impossible to “repair”
2) A homeowner will always have to disclose that they went through foreclosure on all future mortgage loan applications affecting future financing rates and program availability.
3) Major decrease on your credit report affecting a persons ability to get to get a car, personal loans, or credit cards.
4) When filling out rental applications you must disclose that you have went through foreclosure, greatly reducing the number of apartments available for rent.
5) Many Employers run credit checks when applying for a job, foreclosure is one of the main items putting potential new hires in jeopardy of not getting a job.
To your success,
Preston Matix
Real Estate Investor
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Real Estate Purchase
Real Estate Sales
Real Estate Buying
San Diego Based Real Estate Blog
Monday
10 Reasons Professional Investors and Real Estate Agents might want to consider outsourcing their Short Sales
With statistics now showing that 1 in 4 mortgages in the United States are upside down, there is no shortage of short sale business to be found. The question is what are you doing with them? Here are some thoughts to consider on whether to outsource the negotiations or try and negotiate yourself....
1) You have to have a Buyer to start the Short Sale process with the Lender. They will not even look at your package without an offer.
2) Short Sales can take a very long time to negotiate. You risk losing buyers because people want to buy NOW!
3) Short Sales can take a lot of time and effort. As a successful Real Estate Agent, you have better things to do than negotiating with the banks, you should be focused on listing and market properties, finding sellers, and finding buyers.
4) There are some states states where attempting to work a short sale for a homeowner can be looked at as breaking the law because you are “acting as a lawyer.”
5) The Lender will battle you on all aspects of your offer, including the commission. You must be prepared to fight the lender for what you are worth
6) You’re a professional Real Estate Agent, not a professional loss mitigator. Good negotiators have years of experience in the loss mitigation departments and understand how the loss mitigation process works.
7) Working with a negotiation company can benefit you because they have developed relationships with the Lenders that can expedite the Short Sale negotiation process.
8) A Short Sale requires stacks and stacks of extra paperwork that is outside of the normal forms you may be used to. Partnering with a loss mitigation team can help you because they already know the items each Lender requires and can provide them to the lender ahead of time to shorten the Short Sale process.
9) Meeting the BPO agent. Most good short sale negotiation companies will send someone out to meet the BPO agent so you can spend your time on more important things.
10) Short Sales will take your focus from the things you know you need to do in order to be a successful Real Estate Agent and have you working on tedious time consuming tasks. In my opinion its better to hand it over to someone else who has the experience doing the negotiations and focus on getting more business!!!
What has been you biggest challenge with short sales?
Contact me if you would like help finding a company to outsource your short sale negotiations too.
To your success,
Oliver Graf
Real Estate Expert
*** Make sure you sign up for our FREE mailing list today! ***
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Real Estate Submit Short Sale
Real Estate Short Sale
Real Estate Short Sale Tips
San Diego Based Real Estate Blog
Tuesday
Sentate Bill 94 - Does it hurt the chances for getting Loan Modificaion Help?
Sentate Bill 94 - Does it hurt the chances for getting Loan Modificaion Help?
The California Assembly recently passed Senate Bill 94, a bill that aims to protect homeowners from loan modification scammers. However, does it end up having the unintended consequence of eliminating a homeowner’s ability to retain an attorney to help them save their home from foreclosure.
The bill, which included an “urgency clause” and was set to start immediately. SB 94 prevents companies, individuals, and even attorneys… from getting up front fees or any other form of compensation until after the Loan Modification has been completed.
Supporters of the bill say that the state is currently over run with scam artists who take advantage of homeowners desperate to save their homes from foreclosure by charging exorbitant up front fees and then failing to deliver anything of value in return. In their opinion, by making it illegal to charge up front fees, they will be protecting consumers from being scammed.
While there’s no doubt that there have been unscrupulous companies that have taken advantage of homeowners in distress, the number of these “con artists” is unclear. It was time for something to be done, but does SB94 fix or worsen the problem?
Supporters, state that homeowners will still be able to hire attorneys, but that the attorneys will now have to wait until after services have been rendered before being paid for their services. They say that attorneys, just like real estate agents and mortgage brokers, will now only be able to receive compensation after services have been rendered.
People who oppose the bill on the other hand say, “Getting a lender or servicer to agree to a loan modification takes months, sometimes six or nine months. If I worked on behalf of homeowners for six or nine months and then didn’t get paid by a number of them, it wouldn’t be very long before I’d have to close my doors. No lawyer is going to do that kind of work without any security and anyone who thinks they will, simply isn’t familiar with what’s involved. Real estate agents get paid through escrow, where is our security”
Take a look in the future…
California’s ALT-A and Option ARM mortgages are just beginning to re-set, one third of these types of mortgages are still set to adjust in the next 24 months! This will cause homeowners payments to rise, and with almost half of the mortgages in California already underwater, these homeowners will be unable to refinance and foreclosures will increase as a result.
For more information take a look at SB94: http://info.sen.ca.gov/pub/09-10/bill/sen/sb_0051-0100/sb_94_cfa_20090327_152419_sen_comm.html
Does SB 94 end up reducing the number of legitimate firms available for homeowners to turn to? Will SB 94 actually stop con artists from taking advantage of homeowners in distress? Or will it end up only stopping reputable lawyers from helping homeowners?
To your success,
Oliver Graf
Real Estate Expert
Follow me on Twitter: Twitter.com/OliverGraf360
*** Make sure you sign up for our FREE mailing list today! ***
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Real Estate Pre-Foreclosure
Real Estate Short Sale
Real Estate Loan Modification
San Diego Based Real Estate Blog
Friday
Short Sale Success! Wachovia short sale with 3 loans!!
The short sale of real estate is not a questionable practice in today's softening real estate market, it may be a necessity. The short sale transaction is a legal and much more beneficial alternative to foreclosure or even bankruptcy. Lenders are motivated to accept short sale offers to for a number of good reasons. The short sale of your home can result in a win-win-win situation for all parties involved
Our latest short sale success was on a property that had 3 mortgages and over 5k in back HOA payments!
1st Lender: Wachovia
2nd Lender: Wachovia
3rd Lender: Dyckoneal
Our team was able to negotiate with all lenders to agree to the short sale terms and pay off ALL the HOA arrears!
Please contact me for NO COST help with short sales!
To your success,
Oliver Graf
Real Estate Expert
Follow me on Twitter: Twitter.com/OliverGraf360
*** Make sure you sign up for our FREE mailing list today! ***
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Real Estate Submit Short Sale
Real Estate Short Sale
Real Estate Avoid Foreclosure
San Diego Based Real Estate Blog
Our latest short sale success was on a property that had 3 mortgages and over 5k in back HOA payments!
1st Lender: Wachovia
2nd Lender: Wachovia
3rd Lender: Dyckoneal
Our team was able to negotiate with all lenders to agree to the short sale terms and pay off ALL the HOA arrears!
Please contact me for NO COST help with short sales!
To your success,
Oliver Graf
Real Estate Expert
Follow me on Twitter: Twitter.com/OliverGraf360
*** Make sure you sign up for our FREE mailing list today! ***
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Real Estate Submit Short Sale
Real Estate Short Sale
Real Estate Avoid Foreclosure
San Diego Based Real Estate Blog
Wednesday
How to Submit a Real Estate Short sale: What you need to know
How to Submit a Real Estate Short sale: What you need to know...
Submitting the Short Sale
So you have met with(or are) the homeowner and have the property on the market getting the proper exposure. Now it’s time to prepare the documents and submit for a short sale. This is the most time consuming part of the Short Sale process especially if you do not stay organized and take notes on all your conversations with the lenders.
What the real estate agent will need:
CMA: With the current Active, Pending, and Sold properties going 90 days back(close of escrow)
Listing Contract: The Listing Contract, Short Sale Addendum, and MLS printout.
Offer to Purchase: Retail offer to purchase on the subject property
What needs to be provided to the lender(Including everything listed above):
Financial Worksheet: Shows your assets, liabilities, and expenses. Great tool for presenting the borrowers current “hardship” to the lender.
Proof of income: You will need the last 2 pay stubs and last 2 years W2's. If you are self-employed, you will need last 2 years tax returns and a Profit and Loss statement for the past 3-6 months.
Bank Statements for the past 2 months: Showing balances and spending history.
Hardship Letter: This is where the borrower has the opportunity to “state their case” to the lender. Why did the situation occur? Why do you need to sell? What is going on with your hardship now?
Last 2 years of tax returns: All pages are needed and if you filed an extension, submit the extension paperwork.
Once you have all of the paperwork together, send it all at once and as soon as possible. Make sure it's complete and legible. Also, make sure you are constantly following up because the lenders a overwhelmed with requests and sometime lose track of progress. There is a long line of borrowers ahead of you so if the file is missing anything, you will get notice but the file will go to the bottom of the pile again.
Oliver Graf
Real Estate Expert
Follow me on Twitter: Twitter.com/OliverGraf360
*** Make sure you sign up for our FREE mailing list today! ***
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Real Estate Submit Short Sale
Real Estate Short Sale
Real Estate Avoid Foreclosure
San Diego Based Real Estate Blog
How to get more Short Sale Business Tip #1 of 8 (For Investors, Realtors, and Brokers)
How to get more Short Sale Business Tip #2 of 8 (For Investors, Realtors, and Brokers)
Tip #1 of 8 on how to get more Short Sale Business
I am committed to growing your business by providing
marketing tips and structuring the short sale so you keep your full
commission and do minimal work.
This tip is all about:
CALLING EXPIRED SHORT SALE LISTINGS.
A MLS search can provide another piece of useful information that most
agents don’t utilize.
An expired short sale listing can sometimes be up for the taking. Approach
the seller by explaining that their property most likely didn’t sell because it was not priced correctly. This can be quite common with the constant fluctuation in the market.
Setup a search in the MLS to deliver updates
to you every day with the following criteria:
1. Expired listings
2. Short sale
3. Price range and location you want to work
By offering them a no-cost solution to their problem by using YOUR listing
experience and Short Sale Pros negotiation expertise, they have the best chance at
selling their home, saving their credit, and insuring their ability to purchase again.
What other methods are you using to take advantage of the short sale market? Look out of tip 2 coming out soon!
Keep in mind, you can contact me anytime to help get your short sales closed, with our model you keep all your commission and do none of the work!
To your success,
Oliver Graf
Real Estate Expert
Follow me on Twitter: Twitter.com/OliverGraf360
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Real Estate Foreclosure
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San Diego Based Real Estate Blog
Tip #1 of 8 on how to get more Short Sale BusinessI am committed to growing your business by providing
marketing tips and structuring the short sale so you keep your full
commission and do minimal work.
This tip is all about:
CALLING EXPIRED SHORT SALE LISTINGS.
A MLS search can provide another piece of useful information that most
agents don’t utilize.
An expired short sale listing can sometimes be up for the taking. Approach
the seller by explaining that their property most likely didn’t sell because it was not priced correctly. This can be quite common with the constant fluctuation in the market.
Setup a search in the MLS to deliver updates
to you every day with the following criteria:
1. Expired listings
2. Short sale
3. Price range and location you want to work
By offering them a no-cost solution to their problem by using YOUR listing
experience and Short Sale Pros negotiation expertise, they have the best chance at
selling their home, saving their credit, and insuring their ability to purchase again.
What other methods are you using to take advantage of the short sale market? Look out of tip 2 coming out soon!
Keep in mind, you can contact me anytime to help get your short sales closed, with our model you keep all your commission and do none of the work!
To your success,
Oliver Graf
Real Estate Expert
Follow me on Twitter: Twitter.com/OliverGraf360
*** Make sure you sign up for our FREE mailing list today! ***
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Real Estate Foreclosure
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San Diego Based Real Estate Blog
Tuesday
Obama Announces Big $$ Incentives on Short Sales for Lenders and Homeowners
With around 43,000 notices of default last month in California alone, now more that ever the industry is in need of a Foreclosure Alternative Program.I am so happy to see that the Obama administration has recognized the need to streamline the short sale and deeds-in-lieu process, and has provided viable options to homeowners who have fallen behind on their mortgages or owe more than their homes would sell for in today’s market.
The Obama administration announced the new details under its Foreclosure Alternatives Program (FAP) enabling lenders and borrowers to pursue Short Sales and Deeds-in-lieu of foreclosure in cases where the does not qualify for a Loan Modification. The program requires that before proceeding with a foreclosure, lenders must determine if a short sale is appropriate, if that is not successful, a deed-in-lieu of foreclosure.
They are even providing incentives for homeowners and lenders!
Borrowers (Homeowners). Borrowers/homeowners qualify under the FAP if they meet minimum eligibility requirements for the Home Affordable Modification program but don’t qualify for a modification or do not successfully complete the three month trial period. Before proceeding with a foreclosure, servicers must determine if a short sale is appropriate.
Incentives. Incentives include: (1) $1,000 for servicers for successful completion of a short sale or deed-in-lieu of foreclosure; (2) $1,500 for borrowers/homeowners to help with relocation expenses; and (3) up to $1,000 toward the cost of paying junior lien holders to release their liens (one dollar from the government for every $2 paid by the investors to the second lien holders).
Standardized Documents. The program will include streamlined and standardized documents, including a Short Sale Agreement and an Offer Acceptance Letter. The goal is to minimize complexity and increase use of the short sale option.
Property Valuation by Appraisal or BPO. Servicers will independently establish both property value and minimum net return to the bank, in accordance with investor requirements. The price may be determined based on an appraisal or one or more broker price opinions (BPOs)
Timeline. In the Short Sale Agreement, servicers must give borrowers/homeowners at least 90 days to market and sell the property, or up to one year, depending on market conditions. Property must be listed with a licensed real estate professional and no foreclosure may take place during the marketing period (at least 90 days) specified in the Short Sale Agreement.
Commissions. The Short Sale Agreement must specify the reasonable and customary real estate commissions and costs that may be deducted from the sales price. The servicer must agree not to negotiate a lower commission after an offer has been received.
No Borrower Fees. Servicers may not charge fees to borrowers/homeowners for participating in the FAP. Contact Short Sale Pros for 100% Free Short Sale Help
Program Expiration. Starts May 14th 2009 and is in effect through 2012.
For the full report take a look at
http://www.treas.gov/press/releases/docs/05142009FactSheet-MakingHomesAffordable.pdf
How do you think the Foreclosure Alternatives Program will help the thousands of struggling homeowners? Do you think this is the best way to fix the problem?
Contact me anytime,
Oliver Graf
Real Estate Expert
Follow me on Twitter: Twitter.com/OliverGraf360
*** Make sure you sign up for our FREE mailing list today! ***
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Real Estate Foreclosure
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Real Estate Avoid Foreclosure
San Diego Based Real Estate Blog
Thursday
California cracks down on "Foreclosure Consultant" Scam Artists
Beware of so called "Foreclosure Consultants"!
With the current state of the economy and the down turn of the Real Estate market its times like these where we see all the opportunistic Sharks coming out of the water! They are preying on desperate homeowners during moments of weakness… charging up front fees… and then NOT Performing the Service they said they said they would perform.
California Foreclosure Consultant Act aims to protect Families from these scam artists
The California Foreclosure Consultant Act Summary.
If a Notice of Default has been recorded against your home, this law will prevent a “foreclosure consultant” (even a real estate licensee) from charging fees in advance(in any form) to help you work out a loan modification or in some other fashion avoid foreclosure.
If a Notice of Default has not been recorded on your home it may be permissible for a real estate broker to assist you in obtaining a loan modification. Although in this narrow circumstance the broker can ask for advance payment they must provide you with a written contract which satisfies certain specific statutory requirements(and is compliant with the local real estate board).
Along with that, the contract must have been previously submitted to the California Department of Real Estate for review and received a “no objection letter” regarding its use. Real estate brokers who do not charge an advance fee for loan modifications or similar services are not required by the DRE to obtain a "no objection letter." However, their work must be completed before they’re paid.
You should know that there are agencies, attorneys, and real estate licensees who will assist you with your loan workout for a fee payable after the work is completed.
Attorneys licensed in California rendering services in the course of their legal practice are exempt from this law.
Definitions for Foreclosure Consultants
This Act defines a "Foreclosure Consultant” as anyone who offers for compensation to perform any service which "the person will in any manner do any of the following."
• Postpone or stop the foreclosure sale
• Obtain any forbearance
• Assist in the reinstatement of the loan
• Obtain extensions to reinstate the loan
• Obtain any waiver of an acceleration clause
• Save the residence from foreclosure
• Avoid or repair adverse credit reports resulting from a foreclosure sale
• To assist in recovering residual proceeds from the foreclosure sale of the owner’s residence.
Right to Cancel must be specified-
Under this section the owner is given 3 business days to cancel the contract and specifies the method of notice of cancellation.
Once operative the new law will require a Foreclosure Consultant to register with the Department of Justice and maintain a surety bond of $100,000.00. The Department of Justice will have the power to refuse to issue, or to revoke a Foreclosure Consultant’s registration. A violation of these provisions will be a crime. These changes will effectively give the Department of Justice oversight over California Foreclosure Consultants.
If you or someone you know is, or is about to be, in default on their home mortgage, and are approached by an individual or company that is offering to, in some fashion, “save the home from foreclosure” be sure they are reputable and only get paid when they perform!
What programs have you seen out there that this will affect?
When we are performing out Short Sale service for homeowners we make sure that we NEVER charge any fees! The goal is to help as many families as possible, NOT take advantage of them.
For any additional questions contact or visit:
http://www.realtytrac.com/interior/ccsection2945.htm
To your success,
Oliver Graf
Real Estate Expert
*** Make sure you sign up for our FREE mailing list today! ***
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Real Estate Foreclosure
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Monday
Mortgage Forgiveness Debt Relief Act - Provides Tax Releif for Homeowner in Short Sale
Mortgage Forgiveness Debt Relief Act - Provides Tax Releif for Homeowner in Short Sale
Big Help for Struggling Homeowners:What is the Mortgage Forgiveness Debt Relief Act of 2007?
The Mortgage Forgiveness Debt Relief Act of 2007 was enacted on December 20, 2007. It applies to qualified debt forgiven in 2007, 2008 or 2009. Generally, the Act allows exclusion of income realized as a result of a loan modification, short sale, or foreclosure on your primary home.
What does that mean?
Generally, debt that is canceled by a lender must be added as income on your tax return and is taxable. The Mortgage Forgiveness Debt Relief Act of 2007 allows you to exclude certain canceled debt from income(Short Sales and Loan Modifications).
Does the Mortgage Forgiveness Debt Relief Act of 2007 apply to all forgiven or canceled debts?
No, the Act applies only to forgiven or canceled debt used to buy, build or substantially improve your principal residence, or to refinance debt incurred for those purposes.
If the forgiven debt is excluded from income, do I have to report it on my tax return?
Yes. The amount of debt forgiven must be reported on Form 982 and the Form 982 must be attached to your tax return.
How do I know or find out how much was forgiven?
Your lender should send a Form 1099-C, Cancellation of Debt, by January 31, 2008. The amount of debt forgiven or canceled will be shown in box 2. If this debt is all qualified principal residence indebtedness, the amount shown in box 2 will generally be the amount that you enter on lines 2 and 10b, if applicable, on Form 982. Contact and Accountant for Additional info, Tax and Accounting group: Lou DelVechio 760 439 2433.
Can I exclude debt forgiven on my second home, credit card or car loans?
Not under this provision. Only cancelled debt used to buy, build or improve your principal residence or refinance debt incurred for those purposes qualifies for this exclusion.
If part of the forgiven debt doesn't qualify for exclusion from income under this provision, is it possible that it may qualify for exclusion under a different provision?
Yes. The forgiven debt may qualify under the "insolvency" exclusion. Normally, a taxpayer is not required to include forgiven debts in income to the extent that the taxpayer is insolvent. A taxpayer is insolvent when his or her total liabilities exceed his or her total assets. Contact an Accountant for additional info, Tax and Accounting group: Lou DelVechio 760 439 2433.
Is there a limit on the amount of forgiven qualified principal residence indebtedness that can be excluded from income?
There is no dollar limit if the principal balance of the loan was less than $2 million ($1 million if married filing separately for the tax year) at the time the loan was forgiven.
How beneficial do you think this new Act will be?
See the IRS update here: http://www.irs.gov/irs/article/0,,id=179073,00.html
For any additional questions contact:
Oliver Graf
Real Estate Expert
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San Diego Based Real Estate Blog
Friday
How to write up the Perfect Real Estate Offer
How to write a perfect Purchase Offer
Top 10 Tips for Writing Purchase Offers
Top 10 Tips for Writing Purchase Offers
So you’re ready to buy a house? First off congratulations!
The first step in buying property is writing up an offer. Many people do not realize how important the offer contract can be when buying real estate. If you have a poorly constructed offer it can cost you getting the property you want, while a well written offer can get you the property you want at the price you want!
Meanwhile use the following tips as a guide to creating a great offer:
1. Get the right Contract
This might seem basic, but there are a lot of purchase contracts out there. Each state has its own rules and regulations. Realtor associations publish purchase contracts. If you are looking to buy in California, please contact me and I will help you with the correct forms.
Some example purchase contracts would be:
- · New Construction Residential Purchase Agreement
- Notice of Default Purchase Agreement
- Residential Purchase Agreement
- Residential Income Property Purchase Agreement
- And many more
2. Determine what price you want to offer
Evaluate market conditions and come up with what you think is a fair offer price. TIP: Initially offer a bit less than you expect to pay, this will give you some room to negotiate and possibly get an even better deal. Be prepared to move quickly, in today’s market the good properties are being sold very quickly.
3. Put down a deposit
You will need to make a “good faith” deposit. The most common deposits can be cash, personal check, or cashier's check. On average the deposit amount should be at least 1% of the sales price. This money(a copy of the check) will be submitted with your offer.
4) List your Financing Terms
Disclose the type of financing you hope to obtain: The amount of money down and the type of loan (conventional, FHA, VA, contract of sale, assumption or other).
Please remember that your deposit, when added to your down payment and financing should equal the total consideration paid.
6. Include Contingencies
Contingencies are: Conditions --or "safety valves" written into Real Estate offers and contracts that protect they buyer from buying a house that is unsatisfactory--either structurally or financially
Contracts carry provisions for contingencies as:
- Appraisal (California gives 17 days to complete all inspections)
- Loan Funding
- Physical/Home Inspections.
7. When do you take possession of the property?
- Spell out the possession date. Is it on closing? A day after closing?
- If possession will be prior to closing, enter into a rental agreement to protect all parties.
- If possession is more than two or three days after closing, execute a rental agreement to protect the buyer.
8. Negotiate Who Pays the Fees
Even though most contracts call for fees to be negotiable, some fees, depending on your state, are customarily paid by one party. You can spell out who pays fees for title, escrow, and county or city transfer taxes. In most cases the Seller will pay the fees.
9. Request Special Reports
If you are concerned with anything with the property ask for a Special Report Upfront. Example Reports: Termite Report, Lead based paint report, and Mold inspections.
10. Clearly State Expiration of Offer
Clarify when the offer will expire. You will want to give the seller enough time to come to a decision, but not allow them to take their sweet time.For any help or questions on creating a great offer contact:
Oliver Graf
Real Estate Expert
Follow me on Twitter: Twitter.com/OliverGraf360
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Wednesday
Lenders pay 6% commission on Short Sales - Great news for Realtors!
Lenders pay six percent commission on Short Sales!
6% Commision guaranteed by Fannie Mae on Short Sales!
Great news for Real Estate Agents who are working short sales…. Now companies servicing any Fannie Mae loan products can no longer force real estate agents to reduce their commissions as a condition to a short sale getting approved.
Fannie Mae stated, “Effective March 1, 2009, closing of pre-foreclosure sales may not be conditioned upon a reduction of the total commission to be paid to real estate agents to a level below what was negotiated by the listing agent with the borrower, unless the fee exceeds 6 percent of the sales price of the property in aggregate.”
So now any agents will no longer be forced to take commission reductions to service short sales. When you submit the short sale package be sure to check in advance to see if the loan is a Fannie Mae Product.
How do you think this will affect the Short Sale process for agents?
For any help with Property Foreclosure or Short Sale questions contact:
To your success,
Oliver Graf
Real Estate Expert
Follow me on Twitter: Twitter.com/OliverGraf360
*** Make sure you sign up for our FREE mailing list today! ***
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Real Estate Short Sale
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San Diego Based Real Estate Blog
To your success,
Oliver Graf
Real Estate Expert
Follow me on Twitter: Twitter.com/OliverGraf360
*** Make sure you sign up for our FREE mailing list today! ***
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San Diego Based Real Estate Blog
Sunday
New law extending the foreclosure process by 90 days!
BIG HELP FOR STRUGGLING HOMEOWNERS!
90-DAY EXTENSION TO FORECLOSURE PROCESS
California Foreclosure Prevention Act: Mortgage Lenders foreclosing on certain loans are prohibited from giving a notice of sale until the lapse of at least 3 months plus 90 days after the filing of the notice of default A loan servicer can obtain an exemption from this requirement by demonstrating that it has comprehensive loan modification options.
The goal of the California Foreclosure Prevention Act is to release the pressure on foreclosures and their severely negative consequences. Aiming to provide additional time for lenders to work out a short sale or loan modification with borrowers while also providing incentive for lenders to establish better short sale and loan modification programs.
This bill, which was enacted into law on February 20, 2009 will stay in effect only until January 1, 2011
With the current time-line, a lender who files a notice of default has to wait at least 3 months before giving a notice of sale. The new law extends that 3-month period by an additional 90 days.
Along with that in the preexisting law, foreclosure process would take a minimum of 4 months from the filing of a notice of default until the final trustee’s sale.
Under the new law, that period extended by 90 more days for a total of about 7 months.
Is this positive or negative? How do you think that this will affect the market?
For any help with Property Foreclosure questions contact:
Oliver Graf
Real Estate Expert
Follow me on Twitter: Twitter.com/OliverGraf360
*** Make sure you sign up for our FREE mailing list today! ***
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