Top Rated Real Estate Experts Oliver Graf and Sam Khorramian bring a wealth of knowledge to the market in this exclusive Real Estate Blog. Stay informed on the latest cutting edge Real Estate strategies, Important Real Estate News, and great Real Estate Information
Showing posts with label real estate help. Show all posts
Showing posts with label real estate help. Show all posts
Local San Diego Realtor's and National Real Estate Speaker's Oliver Graf and Sam Khorramian reveal the secrets on making sure you don't pay too much when you buy a house or condo.
When buying a home, town house, condo, high rise unit, or an investment property, making sure you don't over pay is key.
Some quick tips on how to make sure making sure you don't over pay when buying a house or condo.
- Be sure to throughly evaluate all the comps. Look at what is active, pending, and sold. Stay within half a mile of the subject property and only look at sold properties 3-6 months back at most.
- Drive the neighborhood and surrounding areas at different times of day so you get a feel for the "location". As they say real estate is all about "location, location, location".
-Find Out How Much the Seller Paid
-Determine the Seller's Mortgage Balance
-Look at how long (how many days) the home has been on the market.
If you have any questions feel free to contact me, Talk to you soon!
On Friday July 15th 2011, Gov. Jerry Brown signed Senate Bill 458 (Corbett) into law. The new law, which contained an urgency clause and became effective upon signing, protects homeowners pursuing short sales by barring first and secondary lien holders from going after sellers for money owed after the short sales close.
Making sense of the story
-- A short sale – a transaction in which the homeowner sells the property for less than is owed on the mortgage – must be approved by the lien holder or lien holders, if there is more than one.
-- Under previous law (SB 931 of 2010), a first mortgage holder could accept an agreed-upon short-sale payment as full payment for the outstanding balance of the loan, but the rule did not apply to junior lien holders. SB 458 extends the protections of SB 931 to junior liens.
-- The CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.) sponsored the bill and urged lawmakers to pass this much-needed legislation.
-- “The signing of this bill is a victory for California homeowners who have been forced to short sell their home, only to find that the lender will pursue them after the short sale closes and demand an additional payment to subsidize the difference,” said C.A.R. President Beth L. Peerce. “SB 458 brings closure and certainty to the short-sale process and ensures that once a lender has agreed to accept a short-sale payment on a property, all lienholders – those in first position and in junior positions – will consider the outstanding balance as paid in full, and the homeowner will not be held responsible for any additional payments on the property.”
From July 21, 2011. C.A.R's Market Matters 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
In this market, housing values are declining as unemployment is increasing. For a homeowner, that means that the value of the house will be “upside-down”, and the market value of the home is actually less than the loan amount. Due to high unemployment we have seen a rise of foreclosures, where the bank takes back the property.
Foreclosure is the proceeding in which a bank or other secured creditor sells or repossesses a real property after the Homeowner has failed to comply with an agreement between the lender and the borrower (a mortgage or a deed of trust).
This happens when a property owner stops making their mortgage payments. After consistently missing payments the lender will usually consider the loan in default and begin with the foreclosure proceedings. The Lender at this point has the right to sell the property or even call the loan due.
All short sale / foreclosures have 3 steps in the timeline towards the property being sold.
1. Notice of Default (NOD): A Notice of Default is a public notice given to the homeowner. In some states the notice is posted on the window or door. When a borrower is in default, or behind in mortgage payments, the lender will seize the home. In California lenders usually do not file an NOD until the homeowner is at least 90 days behind in payments.
2. Notice of Trustee Sale (NOTS): A Notice of Trustee Sale is a public notice, published in a newspaper communicating a date for auction. This is also generally posted on the door; it will be a minimum of 21 days before the sale takes place.
3. Auction: An auction is a public place where properties are auctioned to the highest bidder.
Currently over 25% of mortgages are over-leveraged, meaning these properties are worth LESS than the amount of the mortgage.
There is an estimated 7 MILLION foreclosures coming down the pipe over the next few years, and right now luxury homes are going into foreclosure twice as fast as the medium-priced homes.
THIS IS A PERFECT STORM FOR YOUR REAL ESTATE BUSINESS!!
Once you locate a potential short sale deal and you set the appointment with the homeowner, there are three major factors to understand...
1) Homeowners can be skeptical. Many of these homeowners are in a short sale situation because of a loan officer that put them into a bad loan, they were tricked into terms they did not understand, or they got in over their heads.
2) They are most likely in some sort of hardship. It could be anything from Job loss, to death of a spouse, medical issues.
3) They have a lot going on in their heads, particularly fear of making a bad decision.
Learn to be there for them and come from a place of service.
Be real with them and educate them on what their options are. When you put their interests first and show a strong knowledge you will get the deal every time!
Now more than ever Residential real estate ownership is gaining ever-increasing interest from retail investors for many of the following reasons:
--The current market can provide incredible deals and even in a "bad market" Real estate provides more predictable returns than stocks and bonds.
--Real estate provides an inflation hedge because rental rates and investment cash flows usually rise by at least as much as the inflation rate.
--Real estate provides an excellent place for capital in times when investors are unsure of prospects in the stock and bond markets or when investors expect long-term returns in stocks and bonds to be inadequate.
-- Cash Flow, Cash Flow, Cash Flow
--The equity created in a real estate investment provides an excellent base for financing other investment opportunities. Instead of borrowing from a 401(k) or family member to get the capital, investors can borrow against their equity to finance other projects. The relative ease in borrowing against a real estate investment combined with the deductibility of the mortgage interest makes this option a less-expensive method for financing other opportunities for investors who are comfortable taking on the additional financial risk.
Feel free to contact me if you have any questions.
To your success,
Oliver Graf
Real Estate Expert Follow me on Twitter: Twitter.com/OliverGraf360
Owners of distressed or “up-side-down” properties are face with many choices on both a financial and emotional level. For the struggling homeowner it is important to understand that when they are in a “distressed” position any of the following could have negative credit / tax consequences.
1) Loan Modification: This is where the homeowner and the lender come to an agreement. A modification can involve reducing the interest rate, deferring payments on the loan, an extension of time to pay back the mortgage, reduction in balance, or a combination of all of these possibilities. Note: According to the Treasury Department, only 9% of home owners eligible for mortgage modifications have actually had their payments reduced, Only 1 in 50 have had any debt reduced, 78% see their debt increase as a result of late charges / attorney fees / missed payments, 63% of modified loans end up back in default within 1year. So while this option can sound really great, most banks and lenders are not actually helping the majority of people who apply for a loan modification.
2) Foreclosure: Foreclosure is a legal process through which the mortgage holder gains title to the property form a homeowner show has stopped paying their mortgage. After certain time periods, the lenders can foreclosure with or without the consent of the property owner.
3) A deed in lieu: Also known as cash for keys. A deed in lieu can happen when the homeowner offers to “give back” the property to the lender before the foreclosure date. The lender gets the property back without having to go through the entire foreclosure process and agrees to accept title to the property from the homeowner. In exchange they forgive the loan, and can give the homeowner a small amount of money to walk away. The deed in lieu must be agreed to by the lender and the homeowner.
4) Bankruptcy: A legal action generally filed by a homeowner to have debt (s) discharged. An “automatic stay” happens once someone files bankruptcy, “staying” all actions against the person. While petitioning for bankruptcy can cause delays in the foreclosure process. It does not necessarily prevent a foreclosure from eventually occurring.
5) Short Sale: Many people consider this the best option because the lender agrees to let a homeowner sell the property at today’s market values as opposed to what is owed on the mortgage.
What options have you tried / seen work best?
To your success,
Oliver Graf
Real Estate Expert Follow me on Twitter: Twitter.com/OliverGraf360
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.
How to Get More Business Today With These Simple Easy-to-follow Lead Generation Tips
Many people make the mistake of thinking that prospecting is about making the sale or closing the deal. You will rarely “make the sale” on the first call… It's about getting the chance to make the sale. The ultimate purpose of a prospecting call is to set an appointment to make your “pitch”. You should be focused on simply setting an appointment before you hang up the call.
Find out as much as you possibly can about the individual you are prospecting in advance. This gives you the huge advantage of being able to talk about their needs when you call them.
Always use your script on your prospecting calls (If you don’t have a script, make one! If you need help, feel free to contact me). This should be non-negotiable. Without a script, it's too easy to leave something out or get off track. Remember, after you practice and internalize the scripts this will become second nature to you.
The 5 Critical Points of Prospecting:
1) Selling is asking questions. Questions will help you find out everything you need to go for the sell. This is called question-based selling. When you ask questions, you come off more sincere, and it gives you the ability to find out more about your prospect. Listen to what they are saying and then present all the ways your product or service will benefit them.
2) Prospecting is a numbers game. We have all heard that every no gets you closer to a yes. We have to understand that hearing NO is going to be a big part of our business. The more NO’s you hear in a day the better you did, just keep on going for the YES! If you want more sales… you need to talk to more people.
3) You should set a goal for yourself to keep you on track. An example of this would be: 10-12 contacts an hour for 2-4 hours every day. This alone will get you better results than you ever imagined.
4) You can never lose a deal from too much follow-up. Remember, most sales will happen after several contacts. Don’t leave money on the table with the lack of follow-up. Set a follow up schedule for yourself and try to automate as much of the process as possible.
5) An objection is simply a question in the mind of the prospect that needs to be answered. So script out the answers to your 5 most common objections. Then you will be equipped to handle them as soon as they come up. Since objections never change, simply figure out the answers.
The best place to start is on the PHONE. The sooner you develop and learn your script and objection handlers the sooner we will be able to jump on the phone and get business. If you are persistent every day in making your minimum # of calls you can’t help but to succeed. Do it consistently EVERY DAY and you will receive a flood of business!
What creative ideas are you using to land more prospects?
Sincerely,
Preston Mattix Real Estate Expert
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-- Real Estate Purchase Real Estate Sales Real Estate Buying San Diego Based Real Estate Blog
How to STOP a Foreclosure Sale: Tips on getting a Foreclosure Sale Date (Notice of Trusee Sale) Postponed
If you are a Realtor, Investor, or Homeowner who has a property that has an upcoming foreclosure sale date soon, use the following....
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.
How to Pre-qualify Prospects and Referring Partners so you get more Real Estate Business
For Real Estate Agents, Brokers, and Investors...
Generating new clients is a key to success in any business. So you want to make sure you are focusing on clients that are ready to move forward and not wasting time others. When you are talking a lead or potential prospect, ask yourself these questions as a way to qualify them. If they meet all five, you have yourself a solid prospect and you will be on your way to doing business with them. If someone doesn’t meet all FIVE requirements, they are probably not a good match and your time would be best spent speaking to other potential clients.
One thing to keep in mind, especially when speaking with prospects, is that some of them will be very well off and others have been through a very difficult time and are going to be defensive. Always be as pleasant as possible and don’t take things personally.
1) Cooperate: When speaking with them, are they amiable and willing to cooperate? Although they may be facing challenges because of today’s market or because of credit issues, that is fine, but if they get belligerent or angry with you, you do not have to work with them.
2) Plea for Help: Do they want to be helped? Find out their “hurt” and show them how your product or service is the “cure”
3) Realistic: Do they have realistic expectations? Does the prospect realize that the currentor may not be the same as it was few years ago? If financing is involved, do buyer prospects realize that loan programs are not the same today as they were 2 years ago. market may
4) Conversation: Are they willing to have a conversation with you? Do they even answer the phone or have they been avoiding you for weeks? Are they short with you and give clipped, one word answers or do they at least provide a little dialogue? Follow the rule of three, once you have left them 3 messages if they do not respond throw them away and move on.
5) Action: Do they want to move forward anytime within the next 0-14 days? Are they motivated and ready to move forward now?
You have to take a look at the following list of the top 7 free real estate-related iPhone apps to help take your real estate game to the next level.
Now more than ever homeowners, agents, and investors are doing more business remote, this list of apps will help you navigate the real estate market and take your super charge your real estate business. Try them out and let us know what you think?
1) Real Estate Resource Directory - This is a great app that provides real estate agents and investors resources like comparable sales data, easy to use calculators, property valuation functions, demographics for a particular area, and a nice list of contractors and real estate related professionals.
2)Realtor.com: With this app you can search homes that are for-sale in given areas, view property details, store searches and listings, find open house information, send listings to friends and family, and save ratings and notes.
3) Real Estate Hunter: Real Estate Hunter lets you store and maintain all of your search information of for-sale or for-rent listings by inputting the property information such as what type of property, prices, property address, square footage, property tax information and other fees. It also allows users to automatically calculate mortgage and monthly costs. You can compare asking and offer prices for various properties and add your own photos and contacts. Within the application, the user can rate each property; save additional information in custom fields; and e-mail a CSV file of your data to open in Excel and other programs. The free version lets you store information for up to three properties; you can add additional properties for a small fee.
4) Google Maps: This is one of my favorite apps because it is so easy to use and has a solid list of features. With Google Maps you can search Driving directions, Transit and walking directions, Biking directions, Latitude, Layers, Street View, Satellite view, Real Time Traffic Reporting, Location Business listings, and Business reviews.
5) Zillow Real Estate: With Zillow’s app you can find property valuations by address, filter properties by monthly payment, price, number of bed and baths, publish listings by email, Facebook or Twitter. You can receive updates when properties pop up that match your criteria.
6) Better Homes and Gardens Real Estate Home Selection Assistant: This one is a lot of fun, you can track and organize photos by location; see comparable home values, local school information, area demographics and amenities; store photo albums of favorite properties and different rooms; easily share photos on Facebook or through e-mail; and access the vault of read real estate-related articles directly through bhgrealestate.com.
7) AgentFirst Real Estate: This is a top notch tool while out in the field. With this app you can Search First American Title's property information database, find parcel/tract information and property sale data. You can directly order tax information, recorded documents, sales comparables and property profiles. To use this app you have to first have an active AgentFirst account.
Bonus Tip: Another great tip for Real Estate Agents and Investors who have an iPhone or iPod is TubeTilla. With Tubetilla it is easy to store and watch videos of properties you are working on your iPhone or iPod. Being able to store and play videos with your phone can be an incredibly powerful sales tool because anywhere you meet prospects, agents, and clients you can show them videos of all your properties without even having an internet connection. As they say a picture is worth a thousand word and a video is priceless! You can store and watch YouTube videos right on on your iPhone, iPod or Zune!
To your success,
Preston Matix
Real Estate Investor
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Because we want you to be as successful as you possibly can in the world of Real Estate, we are doing something a little bit different with this blog. This blog looks at buying and selling Real Estate with both a telescope and a microscope - at times speaking broadly, at others going into the trenches with specific tactics you can use on a daily basis, or focusing step-by-step on specific niches that you can make big money in. Whether you’re a seasoned veteran or a new to the game of Real Estate, a Realtor/Broker, or a Property Owner this blog aims to expose you to the absolute best information in the industry.
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Oliver Graf - Bringing you the most valuable market information available
This Blog (RealEstateBlog360) is intended to be a general discussion only, and must not be considered legal advice. Your use of it does not create an attorney-client relationship. Any liability that might arise from your use or reliance on these blog posts, or any of its links, is expressly disclaimed. This blog is not legal, loan, accounting, or tax advice, and is not to be acted on as such, it was outdated the moment it was written, and is subject to change without notice. If you are dealing with a potential real estate investment, foreclosure, short-sale or any other type of transaction, you are advised to consult the appropriate licensed professionals.
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