Mother & Daughter Blog

Buyers are asking ... should I pay more than the appraised value? and will appraisals be eliminated all together?

Sat, 21 Nov 2009 21:50:42 -0600

Is your buyer willing to pay the difference between the appraised value and what their offer is for?When it comes to cash and conventional financing, the sellers are finding another loop hole.

>>forcing higher bids, countering the appraisal contingency out, THUS: no price reduction = Banks gets more for the property, Buyer feel like they are getting screwed! Win-win for the banks - once again!

Is this a good method or is it adding to the False Market Value issues

You can look at this a couple of ways:

Did they list low on purpose?
Does the seller no have any trust in the appraisals they are getting?
Is this just a way to get more money, more money for the property?
Do they like getting multiple offers so they have buyers compete, then not have to reduce the price when the appraisal comes in at FMV
Is this an insult to the Fair Market Value process?

Just a while back this was a question that not many would ask. But nowadays… it is starting to become a habit. In the last couple of weeks I have had several listing agents ask me this. I am not sure if they even submitted the offer to the seller before they ask this question.

Here I am out there trying to education my buyer that the listing agents are listing properties low in order to get attention to the listing and to pull in more offers to submit multiple offers to the seller. This does a couple of things:

Makes the listing agent look good to the seller
And it gives more money for the property to the seller
Plus one more thing…. It is messing with the market – making it look like the market is going up when it is really being forced up with this and other tactics.

When you present this question to a buyer, they turn around and look back at you and ask..

why would I want to do that?What is the purpose?
Doesn’t that mean that I am purchasing a house that I will be in the hole for right off the bat?
How much over the appraised value am I expected to pay?

This type of buying is leaving the buyers scratching their heads wondering is it right, what should they do, what next and although these questions are being asked ---> there are no real answers that make sense for this approach. Is there?

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Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

EMAIL: info@motheranddaughterrealtyteam.net

WEBSITE: www.motheranddaughterrealtyteam.com

Nothing like a good "Quote of the Day" ... that is absolutely the truth!

Thu, 19 Nov 2009 22:48:44 -0600

Just a little something to make you THINK and smile...... and it has nothing at all to do with:

Foreclosures,
Short Sales,
REOs,
Bank Owned Properties,
Market Conditions,
Cash for Keys,
Evictions,
Trash outs
Lawn service
Code Enforcers
Tenants,
Rentals,
Listings,
Low ball offers,
Offers of any kind,
Bank Acceptances,
FHA,
203k Streamline Renovation Loans,
HomePath.com
Mortgage,
Loss Mitigation,
Real Estate
or does it?

....................................................................>>>

Quote of the day:

'Whatever you give a woman, she will make greater. If you give her sperm, she'll give you a baby. If you give her a house, she'll give you a home. If you give her groceries, she'll give you a meal... If you give her a smile, she'll give you her heart. She multiplies and enlarges what is given to her. So, if you give her any crap, be ready to receive a ton of __________!'

Call us at 866-543-0461

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DRE License # 01336351 CHECK OUR WEBSITE: http://www.motheranddaughterrealtyteam.com EMAIL: info@motheranddaughterrealtyteam.net

Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

EMAIL: info@motheranddaughterrealtyteam.net

WEBSITE: www.motheranddaughterrealtyteam.com

Buyers: At some point, you should be ready to accept an offer --right?!

Thu, 19 Nov 2009 21:11:29 -0600

Now that I am focusing on buyers more, I am finding out some interesting and yet confusing stuff about buyers out there.

When you first meet the buyer they tell you what they are looking for and they sound and seem to have a good idea and have it all listed out for you.

You put together a "information sheet" on your buyers and begin your search for the specs that they provided.
You set your MLS to send daily report of the new listings to your buyer and you get a copy too.

You work on that report on a daily basis to see what showed up on the report and how it can match what your buyer is looking for.

You have already covered your buyers on the differences between a REO and a short sale.
You have already covered the market condition with your buyers. ** may have to do this a few more times as you goout viewing house to house
You already know if they are going to occupy the property or if they are investors
You have either determined that your buyer is a good candidate for trying to get a short sale or that they should steer away from then and try for the REOs or traditional sales due to time restraints or they have already told you they don't have the patience for waiting on a short sale approval.

Once that second or third day comes around, your buyers are calling you to see when can they go out and see the properties that they have driven around the neighborhoods to find!! They may end up saying nothing about the available listings that was included in the report.

NO!... they want you to look up what they found - vacant homes through the neighborhood!
So you go on and look up the properties and give the buyer a full report on each. Then you get set to go out and view the available properties.

After going to three or four properties and realize that this is going to be much longer than you thought, you put on your smile and check your list to see what else might fit your buyers.... and this goes on for weeks.

Most of your buyers want to put offers in on almost every house they see... and with the market as it is these days -this is not necessarily a bad idea. You feel it is your obligation at this point to let the buyers know that usually the way it goes is you spend hours looking and putting offers and more .......you are almost ready to resolve that you are just not going to find a home that you can get the bank to accept your offer on... and then WHAM!

Then one day you finally get a call from the listing agent to say the seller is interested in your offer on a property. You literally jump for joy. Then you start you uphill climb all over again when you call your buyer and they just don't seem interested in that property at all. All you hear is disappointment, no concern or interest in the property after all! They actually turn down the seller's acceptance.

You scratch your head and get ready to start all over again. And you wonder how many times will it happen like this.

Yet you love being a Buyer's Agent..... you really do!

Call us at 866-543-0461

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Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

EMAIL: info@motheranddaughterrealtyteam.net

WEBSITE: www.motheranddaughterrealtyteam.com

What is a Short Sale? - FAQ's

Wed, 18 Nov 2009 20:37:31 -0600

Here are some good questions and answers about Short Sale and the process. All homeowners should read this.

Rosemary Brooks

Patrick Williams & Associates

Via Kenny Wagner (The Foreclosure Mitigation Company):

**This is part of a short sale packet that was given to me by my short sale trainers when I was getting trained on how to help others to successfully complete a short sale. I was told that I was free to use this to provide to my short sale clients**

What is a Short Sale?

WHAT IS A SHORT SALE? A “Short Sale” or “negotiated settlement” or “short pay” occurs when a Lender agrees to accept less than the amount owed to payoff a loan as an alternative to foreclosure. If the property is worth less than the amount owed on the loan, then even if the Lender forecloses and takes back the property, they know they are going to take a loss. We can often convince a Lender that they will “do better” if they take less than what is owed now rather than taking the property back by foreclosure and trying to sell it later.

HOW LONG WILL IT TAKE? The Short Sale negotiation process can be a lengthy one. It may take several weeks or sometimes several months to get an approval. Many Lenders have several layers of bureaucracy, insurers, and investors that we will have to maneuver through in order to get a Short Sale approved. So it is important to be patient during this long process.

BUT MY HOUSE IS GOING TO FORECLOSURE, WILL I HAVE ENOUGH TIME? Maybe, maybe not. Just starting a Short Sale will not automatically stop a foreclosure. However, many times we can convince a Lender to stop the foreclosure to let us attempt to negotiate the Short Sale. So, while there are no guarantees, it does not hurt to try.

CAN I STAY IN THE HOUSE? The key word in “Short Sale” is sale. The purpose of a Short Sale is to get the property sold. So you will be moving. This is not a program that can stop a foreclosure and allow you to keep the house indefinitely. It will be easier to sell the house if it is vacant, so you should make plans to move as soon as possible.

HOW DO I KNOW THIS WILL WORK? You don’t. We cannot, have not, and will not make any promises to you that this will work. Once you missed a payment, the Lender is in charge and can proceed to foreclosure if they want to. But we know they do not want to and we are very good at presenting alternatives to the Lender that they often want to accept rather than foreclose. We are very good at what we do, but NO PROMISES are being made as to whether or not the Lender will accept a Short Sale – they may or may not.

WILL I GET ANY MONEY FROM THE SALE? NO. A universal requirement of Lenders in granting a Short Sale is that the borrower will not get any proceeds from the sale of the property. The Lender is going to take a loss on your loan – they are not going let you get any money.

WHAT HAPPENS IF THIS DOESN’T WORK? Your house will likely go to foreclosure. A Short Sale is something we try after you have exhausted your other options.

WHAT IS A “RELEASE”? A Lender may offer to “release” its security interest against the property in exchange for less than the total amount of the note. A release will allow the property to be sold without paying off the obligations of the note. However, the note is not satisfied. Advantages: This successful Short Sale will allow the property to be sold and thus avoid a foreclosure.

Disadvantages: The remaining debt on the property (sometimes called a “deficiency”) still exists. You are still liable for the note – in other words – you still owe the money. Reality: It is not likely that the Lender will pursue the deficiency unless you have other significant assets, and if you don’t try a Short Sale and the property goes to foreclosure, you are going to have a deficiency anyway.

WHAT IS A “SATISFACTION”? A Lender may agree to accept less than it is owed as complete and total satisfaction of the note and release its lien against the property. Advantages: Your note and obligation to the Lender are satisfied for less than you owe. When the property is sold, the debt is paid off completely. Disadvantages: You may have some tax consequences that you should discuss with your tax advisor due to the fact that the Lender is making money you owe disappear. Sometimes our negotiations are successful in obtaining a satisfaction. Sometimes all we can get is a release.

WILL THERE BE TAX CONSEQUENCES? If we are successful in obtaining a full satisfaction, then there will be tax consequences just like winning the lottery, getting a raise, or finding a bag full of money. Essentially a satisfaction of a debt is like finding a bag full of money and you should consult with your tax advisor as to whether or not a successful Short Sale will result in taxes owed. However, we know of very few people who do not want to win the lottery because there may be tax consequences.

HOW CAN I HELP? The Lender will require a review of a financial package that usually includes: two months’ bank statements, two months’ pay stubs, two years’ IRS tax returns and other information. The leading cause of delay and even denial of our offer to the Lender is caused by the Seller failing to deliver these items in a timely manner. To help us succeed, please find as much of this information as you can right now and complete the a “Financial Worksheet” – this will help us work faster and increase our success.

Acknowledged this _______day of ___________, 20__.

SELLER(S):

Sign Name: ________________________________________

Sign Name: ________________________________________

BUYER(S):

Sign Name: ________________________________________

Sign Name: ________________________________________

Kenny Wagner

The Foreclosure Mitigation Company

Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

EMAIL: info@motheranddaughterrealtyteam.net

WEBSITE: www.motheranddaughterrealtyteam.com

Change is good!

Tue, 17 Nov 2009 22:46:21 -0600

Announcing a change... Change is good!

We are proud to announce that The Mother and Daughter Realty Team is now working under a new broker: Patrick Williams & Associates. Our service will continue and improve with our new move.

Patrick Williams & Associates is proud to announce its association with Rosemary Brooks & D'Adrea Davie - the Mother and Daughter Realty Team. An integral part of Patrick Williams & Associates' dedication to excellence is the collaboration of high caliber, capable professionals. Serving the real estate industry for 7 years, the Mother and Daughter Realty Team certainly fits that profile..

This Team brings a wealth of professional experience to their clients. The Mother and Daughter Team's trustworthiness, dependability and dedication to their clients are unparalleled. Their client needs are always put first. With their experience for over 7 years in the real estate industry and has successfully helped individuals and families just like you realize their real estate dreams.

When you work with the Mother and Daughter Realty Team you know your needs will be handled in the most professional manner. Their acute listening skills and attention to detail make Rosemary and D'Adrea a tremendous asset for any home seller or buyer. Rosemary & D'Adrea are always looking for the most cutting-edge technology to market their client's homes and looks for opportunities to continue their education and grow professionally. Being ahead of the curve is what both Rosemary and D'Adrea strive to accomplish.

When you work with this Team once, you'll want to call them again when your real estate needs change. They make a lasting impression on their clients.

Rosemary & D'Adrea clients describe them as very professional, diligent, straightforward and committed to their clients. They always put forth a tremendous effort and is very attentive. Both Rosemary & D'Adrea are forthright professionals with a heart of gold.

Then next time you're in the market to buy or sell a home be sure to call the Mother and Daughter Realty Team, you won't be disappointed.

Rosemary Brooks & D'Adrea Davie joins a group of distinguished real estate professionals who are all part of the most sophisticated and technologically advanced market firm, specializing in distinctive properties and estate. Patrick Williams & Associates is dedicated to excellence and our most recent association with Rosemary Brooks is a bright example.

Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

EMAIL: info@motheranddaughterrealtyteam.net

WEBSITE: www.motheranddaughterrealtyteam.com

Homeowners: BEWARE! ...The bank wants to know what's in your wallet - and how they can get it from you!... be careful about signing deficiency notes!

Wed, 18 Nov 2009 13:18:43 -0600

Homeowners do you really want your bank account(s) frozen? Do you need another hardship after short sale? Or will you have to hide your money under your mattress to keep it warm?

This is what can happen after the short sale and after you have signed a deficiency note that the bank used forceful words to get you to sign it or else. Take a deep breathe and think before you sign this note. It stands to reason that if you are in hardship now, it could happen again!

So what make the banks ask you to sign a deficiency note? Some banks have no reason, it seems. While some homeowners signed a note on the property and one being a personal note (this is usually what they will attack). But asking for the homeowner to sign a deficiency does not have to be associated with a personal note, it can just be the bank trying to get the homeowner to pay something back to them for their “loss”.

Usually this occurs with the second lien because they end up getting very little from the Short Sale and will not approve unless they force the homeowner to sign a deficiency note, BUT it is not limited to the second lien, first will do it too.

Again, if you are already in a hardship and you have experienced it once don’t do anything to bring it on again. Banks can freeze your accounts (especially when it is the same bank that you did the short sale with), but it is not limited to just that bank the way these bank end up buying out other banks and deficiency notes.

This can impact can affect more than the homeowner --> if the bank account has others on the account (ie. Co-signer).

If your bank request that you sign a deficiency note, make sure you put in writing that you cannot afford to sign this type of note (if you are in hardship this would be more than the truth) and if you do not want to find yourself in another bad situation…. Think it out and put it in writing to that bank.

Be careful what you sign, get advice on it before you sign it. Go to a professional to get that advice.

Call us at 866-543-0461

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Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

EMAIL: info@motheranddaughterrealtyteam.net

WEBSITE: www.motheranddaughterrealtyteam.com

REO Trans for Short Sales?

Tue, 17 Nov 2009 23:26:08 -0600

I am re-posting this because it is the up and coming new process. In order for the word to get out, the process, the rules and guidelines -- we must inform other agents, homeowners and buyers.

Well worth re-blog.

Need a short sale agent in the Central Valley: San Joaquin/Sacramento/Stanislaus/Merced/Alameda/Contra Costa Counties -- give us a call at 866-543-0461.

Rosemary Brooks

Patrick Williams & Associates

The Mother and Daughter Realty Team

www.motheranddaughterrealtyteam.com

Via Melissa Polce (Keller Williams):

Need direction...have a Bank of America Short Sale in process and they called me...Good Right? Well...they gave me the website REOTrans.com to sign in as an agent...all well and good but it does not link me with my current offer...mind you I am the listing agent on the Short Sale...it did however give me access and let me list it on the site, I have offers in on the property and want to get this baby off my books....anyone have any calls on BofA properties, specifically Short Sales?

Thanks-Melissa

www.TheShortSaleAgents.com

Melissa Polce, 704-450-4335 mjpolce@kw.com

Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

EMAIL: info@motheranddaughterrealtyteam.net

WEBSITE: www.motheranddaughterrealtyteam.com

The Media is Finally Talking About Short Sales!!

Tue, 17 Nov 2009 23:05:28 -0600

This is a real good short sale source. The media should focus on short sales to help get the banks to moving on approving them at a faster pace. Short sale deserve to get media attention at this point. This is a great post and well worth re-blog.

If you need a short sale specialist for the San Joaquin Central Valley (Sacramento to Merced) or the Alameda, Contra Costa Counties give us a call!

Rosemary Brooks

Patrick Williams & Associates

the Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

EMAIL: info@motheranddaughterrealtyteam.net

WEBSITE: www.motheranddaughterrealtyteam.com

Via Boca Raton Florida Homes for Sale David Serle (RE/MAX Services):

Everyone is talking about it.

Everyone knows someone who has done one.

Everyone has thought of doing one themselves

Everyone thinks they know everything about it.

So why are Short Sales not talked about in the media? I am not sure, but recently I found an article that many in the real estate industry have been jumping up and down about. Why does a short sale take so long?

Short Sales, why Sellers are Frustrated by them

Foreclosures, Foreclosures, Foreclosures. That is what the media talks about. Why? Foreclosures are usually not great deals, and have many repairs that may be required. Foreclosures are prevalent in the Boca Raton market, but Short Sales are probably 2 to 1. Many economists and so called experts have been saying in order for the real estate market to recover we must stop the amount of Foreclosures.

The governments answer is for the banks to modify there loans so there payment is more affordable. Doesn't that just prolong the inevitable for most? Why not figure out a way to shorten the process for short sales. If we streamline the process and make it more efficient, Guess what we will have:

stopped the amount of foreclosures.

Put prideful homeowners in the homes that will maintain their home.

Bring a boost to the real estate industry including more transaction sides and volume which will trickle down to everyone involved in the real estate from the painter to the general contractor.

Increase consumer confidence and increase consumer spending. Statistics show that when homeowners feel safe and well in their home they spend more on durable goods.

Just by streamlining the process of a Short Sale we have solved most of the domestic problems. Just as there is no logic when it comes to banks there is no logic when it comes to our government. Everything becomes a filibuster. Moving towards the future we have to become more proactive rather then reactive. When you are reactive history repeats its self.

David Serle

Vice President/Managing Broker

RE/MAX Services

561-912-3500 Office

561-912-3502 Direct

561-756-3104 Mobile

Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

EMAIL: info@motheranddaughterrealtyteam.net

WEBSITE: www.motheranddaughterrealtyteam.com

The trials of a short sale!

Tue, 17 Nov 2009 22:52:26 -0600

The woes of short sales... continues.

Via Joni McClintock, CRS (Sundance Realty):

I have recently been working with a client in a short sale for her home. She has not been behind in payments up to this point, but she has not been able to get any offers on her home at a price that would cover her debt. We listed it for 4 months at a price that was fairly reasonable, but as the market started to decline it was above the short sales and foreclosures we were competing against. We had the house staged by a kind realtor toward the end of that time frame and it was neat as a pin. No offers! So we relisted it and dropped the price to compete with the "market". This meant a short sale for my client. She was prepared to do this as she has had a hardship of caring for her elderly parents and shouldering much of their debt. She also lost her co financial supported with the house bills. After a short time we received an offer for the house. I submitted it to the bank and after quite a bit of confusion I heard back from them. By this time 2-3 weeks had past and the buyers was growing restless. The bank turned down the short sale request and said the only option for my client was a deed in lieu. Why was this I wonder? Is it because she is not behind in payments or was the hardship not good enough? I am not sure, but my client is now at a place that she cannot make the payments! She was only short a few thousand with her first and short completely with her second with the offer. They could have countered to cover the first, but they turned her down completely. We had hoped that the offer would cover the first and she would deal with the second. I wonder if it is because it is better for the bank to let a house go into foreclosure even though this is much worse for the seller. The bank stands to have more tax advantages I hear if the house is foreclosed on rather than a short sale. Even though there are lawyer fees and it is long a drawn out.

My client has opted to keep the house on the market and hope for an offer that covers her first completely and only shorts the second. She really doesn't want to deal with bankruptcy or foreclosure. Short sales are a lot of work for all involved, but I believe they are a good option for a seller in financial trouble. So we will persevere and try to get her house sold soon! If you would like to take a look at the house it is at 4594 Koln Lane, Salem, OR and listed for $159,900.

Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

EMAIL: info@motheranddaughterrealtyteam.net

WEBSITE: www.motheranddaughterrealtyteam.com

Buyers: Wondering just how many pre-approvals you will need before getting an offer accepted?

Tue, 17 Nov 2009 21:19:32 -0600

So how many pre-approvals does one buyer really need?

One of the frustrations that agents and buyers experience is that while searching listings, you run into properties that require that the buyer get an additional pre-approval from that seller's preferred lender.

Now this does not sound like a big deal if you only had to do that with one other lender, HOWEVER.... This is not the case! With the market condition (one of the highest hit foreclosurethe way it is - in the San Joaquin Central Valley and in the Alameda/Contra Costa counties of Northern California it is a lot of extra work, paperwork and time to get all of the pre-approvals before you can submit an offer on these bank owned properties.

Out of 10 new listings 5 had pre-approval requirements that included going to the seller's (Bank Owned Property's preferred lender for yet another pre-approval). So which banks are asking for this? Even if your buyer has a pre-approval from a direct lender - they still want this extra pre-approval! These banks I have found to be more demanding of this extra pre-approval:

Wells Fargo
Bank of America
Prime
Prospect Mortgage
OneWest Bank
IndyMac
Chase

**HomePath but they do not require - yet!

It does work out better when your buyer's lender is willing to submit and request these pre-approvals for the buyer. Now that is a good lender when they know that they can run the risk of loosing the buyer! Terrie Nevis from Platinum Mortgage is direct lender that will work with the buyer to help them get these extra pre-approvals and I would like to add that Terrie and his team over at Platinum make sure their pre-approvals are solid.

Call us at 866-543-0461

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CHECK OUR WEBSITE: http://www.motheranddaughterrealtyteam.com EMAIL: info@motheranddaughterrealtyteam.net

Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

EMAIL: info@motheranddaughterrealtyteam.net

WEBSITE: www.motheranddaughterrealtyteam.com

Nine Options When Facing Foreclosure

Sun, 15 Nov 2009 22:52:18 -0600

This is pretty handy list of options for someone facing foreclosure. I always advise to check with your lender to see if there are these or other options that you may qualify for - since things are changing so quickly in this crisis times.

Also, if you have a Fannie Mae property - you may qualify for Fannie Mae Deed in lieu of foreclosure -- LEASE BACK PROGRAM. Please read about it at: Deed for Lease Program - helping you avoid foreclosure - Fannie Mae adds another avenue/option for homeowners.

And check out these 9 points / options.

Good luck homeowners.

Need an agent: Call me at 866-543-0461 (San Joaquin Central Valley / Alameda Counties). Rosemary Brooks

Via Kenny Wagner (The Foreclosure Mitigation Company):

You may be facing foreclosure… so what are your options?!? Try to look at the situation more from a financial standpoint rather than an emotional standpoint. This way you can more successfully analyze which option might best suit your needs and desires to move you towards resolving your financial difficulty. One very important thing to remember: Time is of the essence. Take time to think through your situation and make a decision. Then, take action right away so you have enough time to complete the solution you choose.

Nine options when facing Foreclosure

1. Do Nothing – If a homeowner does nothing, they most likely will lose their home at foreclosure auction. Loan applications generally ask if the applicant has ever been foreclosed upon. Credit reports also disclose this damaging information. Not the best option.

2. Payoff/Refinance – Completely paying off the entire loan amount plus any default amount and fees. Usually this is accomplished through a refinance of the debt. New debt is at a normally higher interest rate and there may be a prepayment penalty because of the recent default. With this option, there should be equity in the home.

3. Reinstatement – Paying the entire default amount plus interest, attorney fees, late fees, taxes, missed payments and fees.

4. Loan Modification – Utilizing the existing mortgage company to refinance the debt or extend the terms of the loan. This may allow the homeowner to catch up at a more affordable level. To qualify, you must prove to the lender you have fixed the problem that caused the late payment.

5. Forbearance – Lender may be able to arrange a repayment plan based on the homeowner’s financial situation. The lender may even be able to provide a temporary payment reduction or suspension of payments. Information will be required from the lender to show that you are able to meet the new payment plan requirements.

6. Partial Claim – A loan from the lender for a 2^nd loan to include back payments, costs and fees.

7. Deed in Lieu of Foreclosure – Give the property back to the bank instead of the bank foreclosing. Banks generally require the home be well maintained, all mortgage payment and taxes must be current. Most loan applications ask if this has ever happened.

8. Bankruptcy – This option can liquidate debt and/or allow more time. I can refer you to a qualified bankruptcy attorney.

--Chapter 7 (Liquidation) To completely settle personal debt.

--Chapter 13 (Wage Earner Plan) Payments are made toward a plan to pay off debts in 3-5 years.

--Chapter 11 (Business Reorganization) A business debt solution.

9. Sale – If the property has equity (money left over after all loans and monetary encumbrances are paid). The homeowner may sell the home without lender approval through a conventional home sale. In this case, the homeowner will get cash from the sale. On the other hand, a Short Sale, also known as a pre-foreclosure sale, can be negotiated with your lender by your Real Estate Professional if what is owed is MORE than the property’s value.

I affirm that I have read this and understand that I have several options available to me and that there may be more than those listed above. I affirm that I have been advised that I should consult an Attorney and CPA. Understanding this I know that I have the option to choose to use The Foreclosure Mitigation Company to assist me in negotiating the short sale of my home.

Kenny Wagner

The Foreclosure Mitigation Company

Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

EMAIL: info@motheranddaughterrealtyteam.net

WEBSITE: www.motheranddaughterrealtyteam.com

Homeowners: I cannot/will not tell you to..... go default (or STOP Paying YOUR MORTGAGE)! I would be out of line...

Sat, 14 Nov 2009 13:50:31 -0600

Dear Homeowners

This letter is let to you know that I appreciate your calls because it is sign that you are searching and finding my name on the web, blogs and I know you can find me on ActiveRain. But because some of my callers are putting me in a bad place with trying to get me to tell you to stop paying your mortgage, go default and make other personal, professional and life altering decision for you and family ---> I have to draw the line.

I am just a real estate agent, not an attorney, tax consultant, IRS expert or adviser - therefore - I am not the best to ask. If you find that you are any of the listed below but not limited to:

under water
late payers
still paying your mortgage but foresee trouble down the road
borrowing from your credit cards
just plain don't want your property anymore because it is not worth anything to you - because you owe more than it is worth (way more)
Sick and tried of seeing houses in your neighborhood that are being sold for pennies on the dollar and here you are stuck with the home that you owe more than 2 or 3 of the houses in neighborhood all added together
just plain sick and tired
have renters that are not paying you on time or are fearful that you are in or about to be in foreclosure
in default
about to be in default or whatever the case may be - other than listing, CMAs, selling and other real estate agent duties -- I cannot step out of my boundaries or break the rules and step into the other professional place

The Department of Real Estate

Does not allow me the authority to tell you to go .... default, stop paying on your mortgage, put yourself in foreclosure (harms way)! I can't even tell you WHAT your hardship is or when it started or if you are still in it. Some decisions are better left unsaid by me.

This is your choice and it should be in accordance to your situation. Or you should call the right professional to match the situation.

Got a tax question... call the tax professionals (tax man, attorney, IRS, others)
Can't make your mortgage payments and want to know your loan modification options (call your lender)
Want to file for bankruptcy? (call bankruptcy professional, attorney)
Worried about the xx,xxx amount of money you have in the bank that shows that you have solid finances (call CPA, attorney, tax professional, or your lender - not sure calling IRS is cool on this one)
Worried if your lender will just let you short sale because you are not feeling keeping your property (your lender would have to decide)
especially when you do not have a hardship... do not expect me to give you one!
Have a rental... renters are paying you but you are not paying the bank??? (Gosh I don't know who you should call on this one!) not me

Want to short sale your property and you are clean, upfront and in hardship? THERE.... you can call me for this!

The banks are going to get mad if they sense that you deliberately did not pay your mortgage -- believe me this will not be the last of that. So if someone tell you to go default... you should not listen in my opinion.

Now if situation puts you in a hardship that you cannot pay your mortgage... join the rest of the world. There are rules to giving short sale approvals and one that is still holding fast is that you need to show a hardship (and this has to be the truth), and yes there is one other that I know has not changed and that is you stand a better chance if this is your primary residence if you expect to be "forgiven". But don't ask me how it works because that is between you and your tax adviser or the IRS. I am not a professional in those areas.

I know my place and do not intend on getting out of line! I am a real estate agent: I do have the authority to advise you regarding anything but real estate matters. No tax, no tax, no bankruptcy, no taxes... or did I say no taxes and sure I can not tell you to JUST DO IT and go default!

But please do not call me to hear me tell you to go default. I can't. Its not my business or place to give you that kind of advise.

Thank you!

Call us at 866-543-0461

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CHECK OUR WEBSITE: http://www.motheranddaughterrealtyteam.com

Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

EMAIL: info@motheranddaughterrealtyteam.net

WEBSITE: www.motheranddaughterrealtyteam.com

Buyers: FHA Appraisal and Home Inspection - why do I need both???

Sat, 14 Nov 2009 15:08:08 -0600

Every agent that represents a buyer should be able to explain to their buyer why they need a home inspection and that FHA appraisals are not a substitute for a home inspection.

While home inspections are for the buyers information and not of much interest to a seller... they should never be waived. Let me just say... the FHA Appraiser will not be seen climbing on top of the roof and sitting there inspecting that roof!

Here is some information on FHA appraisals:

1. FHA appraisal is for the benefit of the lender

2. It is not a home inspection, it does not take the place of a home inspection

3. FHA appraisers are checking to be sure the property is:

Save

Sound

in Sanitary condition

4. FHA appraisals are not even required for 203K streamline refinances

5. FHA apprisal does not guarantee that a home is without flaw, huge money drawing problems

6. FHA appraisal may find repair or replacements items that may affect the safe, sound and sanitary habitation of the house.

7. If FHA appraiser finds repairs or replacement during his evaluation, he will add an conditions addendum to the appraisal and buyers will get the appraisal conditions from the lender. Seller is usually responsible for the repairs and replacement that the Appraiser find at the property that are conditions to the property's appraisal value.

8. FHA appraiser will go out even if the utilities are not on, they will usually charge an additional fee if they have to make a revisit when the utilities get turned on.

Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

EMAIL: info@motheranddaughterrealtyteam.net

WEBSITE: www.motheranddaughterrealtyteam.com

Are you under water? Check out Fannie Mae's new Deed for Lease program

Sat, 14 Nov 2009 14:18:26 -0600

I am re-blogging this one, good information for homeowners that are not ready to just up and move out and don't mind renting from their own property ----> well, it won't be their property anymore once they sign over their deed! But you will have roof over your head that you are paying rent on. This is another band-aide but it may help some homeowners, so its worth educating the consumers of this option. see my post Click here to read: Deed for Lease Program: Helping you avoid foreclosure. Fannie Mae adds another avenue/option forhomeowners.

Will this BAND-AIDE work for Homeowners that can't afford to pay their mortgage?

If it helps at least a few.... its working!

Thanks, Dave.

**************************************************************************************

Via Dave Sutton (Windermere Walnut Creek):

As an alternative to outright foreclosure, last week Fannie Mae announced a "Deed-for-Lease Proram (D4L). Here's the description from their announcement press release:

"D4L allows qualifying borrowers of properties transferred through deed-in-lieu of foreclosure (DIL) to remain in their home and community by executing a lease of up to 12 months in conjunction with a DIL. Investment properties that are tenant-occupied may also be considered as long as the borrower is cooperative in providing information from the tenant to facilitate the D4L."

Deed-in-lieu of foreclosure (DIL) in short means that the owner gives the title to the home to the lender without going through either a short sale or foreclosure process. It also has a smaller impact on the borrower's credit rating than a foreclosure.

The press release has more details, at
http://www.efanniemae.com./sf/guides/ssg/annltrs/pdf/2009/0933.pdf

There is more information, including a link to an FAQ pdf at
http://www.efanniemae.com./sf/servicing/d4l/

Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

EMAIL: info@motheranddaughterrealtyteam.net

WEBSITE: www.motheranddaughterrealtyteam.com

Deed for Lease Program: Helping you Avoid Foreclosure: Fannie Mae adds another Avenue/Option for homeowners

Fri, 06 Nov 2009 16:43:12 -0600

Fannie Mae offers - Deed for Lease Program instead of immediate foreclosure. this is another option rather than foreclosure or Short Sale.

If you do not qualify for a loan modification or have failed a loan modification plan you may be in luck to get in this Fannie Mae Deed for Lease Program. If your property is a Fannie Mae property you may qualify for the Deed for Lease Program that Fannie Mae just announced. This program can prove to be very useful and a stress reliever for homeowners that need more time to get their finances in order before completely moving out of their home. It beats a foreclosure no matter how you look at it.

Borrower must be willing to transfer their property to the lender by completing a deed in lieu of foreclosure and then lease back the house at a market rate.

There are some guidelines that you must meet - here they are in a nutshell: In order to qualify you must meet these basic requirements: If you answer yes to the questions below, contact your Fannie Mae representative to see if you can get started with this program to avoid foreclosure and evictions.

1. Is this a Fannie Mae property - Don't know? Go to: http://loanlookup.fanniemae.com/loanlookup/

2. Are you living in your property and is it your primary resident? ** TENANTS may qualify for this program as well

3. Can you afford to pay a monthly rental that is no more than 31% of your gross income. Also, that you are willing to take the commitment to pay the rental - on time.

4. Do you have a second lien and are you able to get them to release you from any obligation of that loan?

Need more information on this program? Go to www.efanniemae.com. This is another avenue/option of options to avoid foreclosure?

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CHECK OUR WEBSITE: http://www.motheranddaughterrealty.com

Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

EMAIL: info@motheranddaughterrealtyteam.net

WEBSITE: www.motheranddaughterrealtyteam.com