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It’s a sign of the times!

Most of us grew up thinking that if we planned well and played by the rules, we’d never have to stand by as our financial lives unraveled.

But upheaval on Wall Street, unacceptable rates of unemployment and plummeting real estate values have taken their toll.  Since 2007, 7.9 million homeowners have lost their homes to foreclosure. Current estimates are that one in four homeowners owe more on their mortgages than they could get from the sale of their home. Millions more homes will be lost to foreclosure before this real estate crisis runs its course.

The sad fact is that foreclosure is not an isolated event. For months leading up to the loss of a home, financially strapped homeowners live under a cloud of uncertainty.  And then for many years afterwards, the blow to credit gets in the way of buying another home or buying anything on credit. Foreclosure even complicates employment prospects.

The impact of foreclosure is huge and the sad fact is that it’s often avoidable.

As a real estate professional who has earned the Certified Distressed Property Expert (CDPE) designation, my mission is to provide financially strapped homeowners with options to foreclosure, ensure that they steer clear of scams, and help navigate them through the solution that best meets their needs.

Among the most important facts to keep in mind: the sooner help is sought, the better the options.

These are tough times, but more help is available than ever before. If you or someone you care about is ready to navigate away from the dark cloud of an unmanageable mortgage and realize that hope and blue skies are within reach, contact me today and let’s get started.

What are your 10 Options to Avoid Foreclosure?

WEST PALM BEACH, Fla. – March 8, 2013 – Lesley Deutch, senior vice president at John Burns Real Estate Consulting, said the “Florida market is on fire” in her latest update on the state’s housing market.

Deutch says she traveled the state recently and visited more than 20 communities. While recovery reports differ between Florida cities and urban areas, she reports five major trends:

1. Land prices. While the price of land continues to rise quickly statewide, Orlando feels the most pressure. Deutch says she saw some submarkets where “land and finished lot prices have now surpassed peak levels.” In Orlando, she sees developers buying raw land “just to gain a position and market share.”

2. Home prices. Some communities, such as Orlando and Naples, are seeing 1- to 2-percent new-home price increases monthly, Deutch says. The hallmarks of a seller’s market have also returned, such as lotteries. She expects a 2013 price increase of at least 10 percent in many Florida markets.

3. 55-plus market. Deutch reports a 20- to 25-percent jump in potential buyers interested in active adult living, according to builders in Southwest Florida. She also notes a boost in customer traffic in second- and third-tier markets.

4. Foreign buyers. It’s more than Miami, Deutch says. While in Orlando, she visited a sales office that had three active buyers: One from Brazil, one from Germany and one from China.

5. Foreclosures. While the state has a notoriously long foreclosure process, Deutch says banks are slowly releasing foreclosures. But investors continue to buy new foreclosures shortly after they hit the market.

We have not received our typical bulk of orders this month. I have emailed my coordinator but no response. Many of us discussed about a month ago the fact that NREIS was ceasing operations by the end of February but there was no solid information regarding SLS. We have received payment for all orders completed on February.

Why you should attend the Short Sale Symposium at Sea.

In the past couple days, I have gotten a few calls and emails from members wanting to know what my thoughts are on the Short Sale Symposium at Sea by the Short Sale Specialist Network so, let me make this easy for everyone and just write a blog about it.

1. It's a CRUISE! Ok....do I really need to say more? Surely not....but, I will....lol.

• Hassle Free: This is the best part for me. I pack and unpack once. I don't have to drive around, look for a hotel, wonder if the part of town I am in is safe or where I am going to eat.
• Get Away: I love being out of the country, truly away from the daily grind.....it's so refreshing. No alarm clocks, no PHONES, no emails, etc... (NOTE: If you really need it, you actually can get email on the boat, if you want to pay a little extra)
• It's First Class: The cruise staff treats you well. People are nice, they go out of their way to make your experience a first class experience.
• Do It All or Nothing At All: It's a cruise, you choose what you do, when you do it.
• A New Place Daily: I love being able to come back and tell my friends and family about all the places I have been, Jamaica, Grand Cayman....all on one trip.
• I Am Never Bored: These ships have all kinds of things to do. From shows, dining, events, activities, etc.... you can't get bored. Just between us, I am more a cocktail pool side kind of guy.
• Shopping!: Yes, we love shopping at all the local shops in port, getting to experience the locals and having a good time on land.
• Friends Everywhere: Cruises are designed to network....you're on a ship and everyone is there to have a good time so, meet some people and have a good time, make a friend or two.
• Romance: Ok...yes, cruises are very romantic, something about taking your spouse with you, having a day full of classes and learning, then a nice romantic dinner on your cabin balcony, watching the sun set......uummm, well, that is enough of that, you get the point.

That about sums up the first reason I give people why I love the Short Sale Symposium at Sea now for reason # 2.

2. The Short Sale Symposium at Sea is the most unique and fun-filled conference our industry has. Who said a conference can't be a freaking blast? It doesn't have to be filled with suits and ties, stuffy lecture halls and crazy schedules. Instead, why can't we learn and network in shorts, t-shirts and flip flops? Oh...wait, we can, it's called Short Sale Symposium at Sea. It's a relaxed environment and offers incredible opportunities to learn, network and get to know other professionals and how they are working in their home markets. It really is a conference but, much more fun.

After those two reasons, do you need anymore? Well, you don't have to take my word for it, go to www.ShortSaleCruise.com and listen to the testimonials of the other attendees yourself, then you decide.

I really hope to see you there.

Jesse G.

WASHINGTON – March 6, 2013 – Tax season is underway, and homeowners gearing up to meet the April 15 filing deadline can find the tax tips and insights they need at HouseLogic.com, a consumer website created by the National Association of Realtors® (NAR).

An overview of the tax benefits of homeownership, HouseLogic’s Homeowner’s Guide to Taxes helps filers get a general understanding and avoid common home-related tax mistakes.

“From the mortgage interest deduction to energy tax credits, many homeowners can take advantage of a variety of tax strategies that can lower their tax bill,” says Pamela Kabati, NAR senior vice president of communications and HouseLogic spokesperson. “For example, a family who bought a home last year with a $200,000, 30-year, fixed-rate mortgage, assuming an interest rate of 4.5 percent, could save nearly $3,500 in federal taxes when they file this year.”

HouseLogic also offers tips to avoid unnecessary tax mistakes in 9 Easy Mistakes Home Owners Make on Their Taxes, which identifies common errors, such as deducting the wrong year for property taxes, confusing the escrow amount for actual property taxes paid and neglecting to take the private mortgage insurance (PMI) deduction.

Other possible deductions: Homeowners who make certain energy-efficient home improvements may be eligible for tax credits. Also, owners who had a portion of their mortgage forgiven as part of a workout plan, short sale or foreclosure don’t have to pay income tax on the forgiven debt, provided the mortgage was secured by a principal residence and the total amount of the outstanding debt is not more than the original purchase price plus improvements.

Other HouseLogic articles:

• How to Deduct PMI
• How to Deduct Mortgage Interest and Equity Loan Costs
• How to Amend Your Tax Return
• How to Claim Your 2012 Energy Tax Credits

Homeowners should consult a tax professional for specific advice about their own transactions or circumstances. Information on HouseLogic should not be relied on as tax or legal advice.

By Michael Humphries – Compass Roads Realty, Inc

We are seeing a new wave of REOs hitting the market, and the numbers don’t lie. According to the association of Realtors, distressed sales were up 36% in December 2012 compared to the year before.

If you’re looking to get into the foreclosure investment game, this may be the best time ever. But, to be a player you have to be well-informed, quick-on-your-feet and thick-skinned to make it in this fast paced, highly competitive arena.

RealtyTrac, which tracks nationwide foreclosure activity, released a report that REOs will rise in 2013 for a variety of reasons.  Foreclosure starts were up 20% in some major metros including areas in Florida reporting the highest annual percentage change in foreclosure activity to date!  This is a clear sign that more REOs are coming down the pipeline in the coming months.

REO stands for “real estate owned”, it is the term used to describe a property that is in the possession of a lender by virtue of foreclosure.

    1.   Understand the Foreclosure Process

Foreclosure is a process that allows a lender to recover the amount owed on a defaulted loan by selling or taking ownership (repossession) of the property securing the loan. It begins when a borrower/owner defaults on loan payments and the lender files a public default notice or a lis pendens (Latin for "lawsuit pending"), depending on the state.

    2.    Finding Foreclosure Properties

The easiest way to find foreclosures is to subscribe to online listing services or work with a real estate agent or lender. Some agents will agree to include you in their distribution list and notify you immediately when new listings come on the market. You can also look for notices of defaults and auctions in public records and local newspapers.

    3.   Contact a Real Estate Agent

If you're a first-time homebuyer and you've never purchased a home, let alone a foreclosure property, a good real estate agent can be a helpful resource and guide you through the process of buying a foreclosure and drawing up a purchase agreement. Make sure they know your priorities; a good agent can help you design a comprehensive business plan that’s tailored just for you.

    4.   Do the Math

Calculate how much you'll need to sink into the property, outside of mortgage and tax payments. Necessary renovations, upgrades and other expenses can pile up and eat into your profit margin. Being well-informed on property values will be a key fundamental to your success. Determining market value is an art and a science, so you’ll need to do your homework or find a highly experienced realtor that will help you analyze the market.

    5.   Secure Financing

Whether you use cash, a home equity line of credit, resources from other investors or mortgage products, secure the money for your purchase in advance. Banks only want to work with serious buyers who are ready to buy quickly. You could miss an opportunity if you don't have your financing in place.

    6.   Check the Property for Liens

Alien is a legal claim on a property by a lender or other entity that is owed money by the owner of the property. In addition to the outstanding mortgage balance, buyers need to be aware of other liens, which can drive up the purchase price. Examples include outstanding property taxes and unpaid repairs or remodeling done by a contractor.

    7.   Make an Offer

Usually the offer amount is somewhere below the market value but above the total outstanding liens and estimated repair costs. Seasoned investors suggest the offer price should be “at or above list price” to be competitive in today’s market.

Be quick-on-your-feet – speed is of the essence. When a new REO listing hits the market you’ll need to be ready to perform your due diligence, make a decision, and get your offer submitted immediately. How immediate is immediately? 24-48 hours is the optimum window.

Be prepared, you may have to make several offers before you are successful putting a deal together. Remember, this is a business, don’t get emotionally attached to any one particular property, you will lose some deals to the competition; thick-skin is a prerequisite in this business.

In the end, while foreclosure properties can be a great investment, it’s not for everyone. Beware of the possible pitfalls and high risks that come with the territory. Investors need to find their comfort level and build their business plan and expectations accordingly. The old adage applies: “the higher the risk, the greater the reward”. If you spend the time getting acquainted with how the system works, work your plan relentlessly and never give up, you could tap into some of the millions of dollars of profits circulating throughout one of the oldest and most tangible long-term investment mediums.

For a FREE list of foreclosures in Miami-Dade or Broward County;

Email “FREE FORECLOSURE LIST” to: compassroads@compassroads.com. Include a list of Zip Codes or City Names of interest.

Visit our Website: http://compassroadsrealty.com/

I read an old forum thread from a REOPro member from back on 1/8/2012 titled, "What is the best REO Certification to have?" and based on what I know about REO Training, I stopped to read. She goes on to ask more specifically, which "training" actually gets people business or a return on the investment.

As expected, many people stood up, and answered her question and for the most part, the respondents were either looking for an answer themselves or just simply said they got their first REO and didn't have a lick of training to boot.

This plays right in line with everything I have been saying about REO training for years now and that is, REO training doesn't equal ROI (Return on Investment).....at least directly, that is. Well, this maybe a bit confusing since, everyone out there offers training. Conferences have their training, banks have their training, outsourcers have their training and in fact, independent 3rd party real estate trainers have even come up with their own training. Everyone has training so, it has to have some value, right? Maybe not.

First thing to know about REO training is, everyone has a training program and they are a dime a dozen. Or at least $399.00 your first year and $199.00 every year after that....lol. Seriously, it seems like you can go down the street to the local bakery, pick yourself up a dozen donuts, get your taxes done and oh...why not go ahead and pick up that REO designation you always wanted. With the hodgepodge of REO training out there, it seems everyone has one. It's more than an assumption, it's a fact, everyone has one so, how do you choose?

Now choosing a REO training program seems more the appropriate question here and I think, this is really at the heart of what Bonita wanted to know. This can be a bit tricky, so much REO training out there, the general agent who isn't in the know isn't going to know which ones to stay far away from. My point is, the question it's self tells me exactly what I need to know about your REO experience...not much? An experienced agent isn't going to ask about training because he will be so involved in the community, he is going to know which ones to steer clear from. If you have been paying attention to that last sentence, you will have noticed a key word, "involved". Involvement in this community of professionals is more than a couple forum threads and a blog or two. It's about knowing how this community works and who we have black balled. A lack of involvement is going to leave many people without any ROI and that is to be deserved. Trust me, some of us have paved the path before you where we have attended so and so's training just to write about it later to tell the world...DON'T GO! Staying involved in this network, know about how to query a search, becoming a regular reader......all of these things keep you in the know, keep you involved and as such, you can also steer clear from unscrupulous business solicitations.

Ok....so, I guess I will jump off the soap box here and give you a bit more of a technical answer to the question, which certification gets you business.....direct business.

Well, the short of the answer is, none of them do. You see, business in this business is obtained by developing relationships and getting to know people. In my time as a REO agent, I have worked for at least 4 different outsources and not a single time did I get my business by simply putting in an application and waiting to hear back. Yes, I put in an application, yes, I uploaded my E&O and all that stuff but, by doing that I wasn't granted a REO. In fact, I had to work harder and smarter. I got involved. I went to conferences, I shook a lot of hands, I had a few drinks, I told some dirty tasteless jokes (yes...I really did) I bought a few dinners.....I did the "conference" thing, I got involved. From there, people learned my story, the got an idea of who I was, how I worked, what type of dedication I had and that is exactly where education came into play.

Before I got my first REO, I had no REO experience so, the only thing I knew to do was to get an education. Like Bonita, I got on a local network and asked, "What is the best REO certification out there" and someone who would later become a colleague of mine wrote back, something to the effect that no "best" certification exist however, I have these 4 certifications myself. I thought to myself, 4 certifications....DAMN, that's a lot of money, money I didn't have at the time. So, sacrificing I did, coming up with the money, getting the certifications and boom, I had them. Oh, I felt so proud of myself, I was on top of the world, I just knew I was going to get some REO business now. Back at the conference, I was at a bar with some vendor managers for a major outsourcer who was surrounded by desperate agents like myself. The question, what training do we need to have came up and the answer was surprising to me. This gentleman stood up and said, "we don't care, just as long as you either have training or experience."

Training or experience....well, I had 4 certifications while most everyone else I was around had none or one. I pushed myself up to the front, told the man about the INVESTMENT, I had made in my education and impressed he was. I remember him saying to me, "are you sure you haven't worked for Fannie before".  I said no, I really don't have any experience and he said something like, I couldn't tell from talking to you. The point here is, yes....REO training is a dime a dozen and yes, REO isn't going to be booming forever but, it will always be here. No specific training is going to lead directly to a specific asset....well, it's highly unlikely however, it shows people one thing and that is, you are invested.

So, if I had to leave you with one thing to remember about training. It shows you are invested. If you remember nothing else, if you take training that sucks, if you pay too much, if you feel you got nothing in return, just remember, it shows the world, you are invested and that is worth something.....maybe much more than you will ever know.

What actually happens during a home inspection? It depends who you ask. Home inspectors are called upon every day to look at properties, but what do their moms, clients and the rest of the world think they do? “What is a Home Inspector?” is a funny video that answers that question from a variety of perspectives.

People often have different ideas about how a home inspector’s job gets done. Whether helping keep people safe from electrical fires, pointing out signs of water damage or confirming that a certain home is a wise investment, this profession is full of hard-working professionals. This entertaining, meme-inspired video takes a comedic look at what they do and don’t do!   

McKissock, the creator of the video series, is a trusted resource for state-specific, state-approved, engineering, land surveying and home inspection courses, regulation information and compliance. This video is aimed at home inspection professionals who can laugh at the different perceptions of their career; check it out at http://youtu.be/JTS4X-k94Ds.

“Home inspectors deserve a lot of respect for the hard work they do every day to help us stay safe and warm. But they also deserve a good laugh,” says Annie Creek, Business Development Manager for McKissock. “We love this series of videos because, no matter the career, we all have inside jokes about what we do – and won’t ever do!”

In many states, home inspectors are required to hold a state license and keep up their continuing education. Because rules and regulations vary across the country, it can be confusing to know what the home inspector requirements are for license renewal, including how long it will take, what forms are needed and the related fees. McKissock serves as a comprehensive resource about continuing education requirements and more. For license- and education-related questions, contact 1-800-328-2008.

For busy home inspectors who need a reminder for license renewal (because they are too busy saving cats and babies or inspecting cellars as you will see in the video), McKissock offers a free reminder service that will notify you when your license renewal date is approaching. Visit http://reminder.mckedu.com to sign up.

“Professionals have enough on their plate, so we provide reminders, coursework and compliance information and serve as an ally,” adds Creek. “We have a deep understanding of the lives of people who spend a lot of time in the field and don’t want to be concerned about license deadlines and paperwork.”

McKissock has affiliations directly with many associations to better assist professionals in receiving their continuing education credits. For those with a home inspector job, McKissock has met the standards and requirements of the American Society of Home Inspectors (ASHI), the National Association of Home Inspectors (NAHI) and the California Real Estate Inspection Association (CREIA).

From the McKissock website, state-licensed professionals have access to all they need to fulfill state requirements. We offer governing agency information and mandatory topics needed for license renewal; visit today and you can begin taking required coursework immediately. McKissock offers customizable packages or individual professional engineer, land surveying and home inspector courses. For more information, visit www.mckissock.com and search for your specific profession and location.

Hedge funds and investment firms are buying up Florida foreclosures, beating out homebuyers and local flippers, while steering the state into what some fear is another real estate bubble.

The companies, including New York-based Blackstone Group and Lake Success Rentals, a partner of Toronto-based Tricon Capital Group, purchased an estimated 5,300 Florida homes last year that were in some stage of foreclosure, according to a report from RealtyTrac.

In Palm Beach County, RealtyTrac measured 425 purchases by firms buying multiple properties out of foreclosure and usually with the intent to rent them out until increasing property values can offer a substantial return on investment.

RealtyTrac Vice President Daren Blomquist said the buying trend accelerated around the second quarter of 2012 after billionaire business magnate Warren Buffett said he would buy up “a couple hundred thousand” single-family homes if he had a way to manage them.

But Blomquist warned that prices jacked up by the increased competition could lead to an artificial inflation.

“There is some potential for locally based housing price bubbles because of this almost frenzy on the part of these big-money folks to purchase as many properties as they can,” he said. “They’re paying cash, so it shouldn’t result in a lot of foreclosures, but it may be that down the road, they decide the gamble isn’t paying off and flood the market with properties.”

Florida’s biggest buyer last year was Malibu, Calif.-based American Homes for Rent, with more than 260 purchases, according to RealtyTrac. The Blackstone Group-related company THR Florida, LLC, had more than 160 purchases.

But both of those companies focused their efforts mostly in areas outside of South Florida.

Heavy hitters locally include Lake Success Rentals, based in Fort Lauderdale, and Southeast Florida Rental Housing (Sfrh SF Rental), which shares the same Fort Lauderdale address as Lake Success.

In July, Tricon Capital Group announced its partnership with Lake Success in an aggressive push to buy more distressed real estate. Tricon, which says it has $1.2 billion of assets under management, provides financing to local companies to buy the homes.

“I expect Miami to be one of the fastest-growing cities in the next decade, and the opportunity to purchase homes for rental housing in the surrounding areas at a fraction of peak prices and replacement cost was very attractive to me,” said Lake Success co-founder Barry Bergman in a news release announcing the partnership.

Last month, Tricon announced the purchase of 550 homes in Charlotte, N.C., for $26 million.

Blomquist said RealtyTrac’s study compared active foreclosures against sales deed data and may not include all bulk buyers in an area.

Don Cameron, a real estate investor who owns a South Florida franchise of We Buy Ugly Houses, said he bought more than 100 homes last year, many of which were at foreclosure auction, but he is not included in RealtyTrac’s report.

Also not included is a Greenwich, Conn.-based company called SRP SUB, LLC, which has bought about 40 Palm Beach County homes at foreclosure auction since November.

Cameron said he noticed an increase in competition from the big-time investment firms and hedge funds about eight months ago. His company buys homes, renovates them and then sells them. He said he’s lost out on homes because the larger firms pay asking price, or higher.

“They just have loads of money and are paying maximum dollars for the properties then renting them out,” Cameron said. “Some people are really inflating the market right now.”

Copyright © 2013 The Palm Beach Post (West Palm Beach, Fla.), Kimberly Miller. Distributed by MCT Information Services.

Rock Realty is proud to announce: Michael Collins has received his Certified Distressed Property Expert designation (CDPE).

This is Michael's second such designation in the distressed property and pre-foreclosure field. He also holds the Short Sales & Foreclosure Resource (SFR) certification. If you are looking for a short sale specialist in the greater Madison & Janesville Wisconsin areas, Michael Collins is the Realtor® for you!

In fact, in 2012 Michael was involved in more short sale single family home & condo closings than any other real estate agent in the South Central Wisconsin MLS! He has represented both buyers and seller clients in Dane, Rock & Green Counties. In 2012 alone, he closed 8 Short Sale homes where he was the listing agent. Click the link below to see those sold listings!

Michael's 2012 Short Sale Closings

January brought us another new low in inventory in Bend and Redmond since starting this project in late 2009. We of course expect lower inventory in winter and higher in summer which the first two Bend charts show very well.  What is worth noting is all categories show a long-term trend of inventory decline for over 3 years.

Reminder: the charts and tables do not include bare land, multi-family homes, time shares or mobile homes without land.

The summer inventory peaks and the winter valleys continue to be lower than the year before. In short, we should expect inventory to increase in spring but the $64,000 question remains, will it be another summer peak below the previous summer??? From today’s vantage point, inventory increase would have to be extremely steep to exceed last year’s summer peak. If I were a gambler, my bet would be inventory this summer will be lower than last creating strong support for price appreciation.

The other big question is that darn shadow inventory. Just ran across December article in the Bend Bulletin that sheds a little light on the subject:

http://www.oregonlive.com/front-porch/index.ssf/2012/12/legislature_supreme_court_face.html

We’ve noticed too the distressed seller is less willing or inclined to sell, holding on tight in hopes of some kind of resolution. At the same time, lenders have been slower to initiate the foreclosure process due to government actions (see link) and partly through the realization that allowing the homeowner to stay in the home is a cheaper way to manage their inventory while metering it out over a longer period of time, reducing distressed inventory counts which in turn lends price support to the market.

In summary it appears we are headed toward another solid year for Real Estate prices however, many big questions remain unanswered, local, nationally and internationally adding just enough uncertainty to keep us all in suspense. One recent development is the FHA’s decision to make mortgage insurance payments stick for the life of the loan. There are of course plenty of other influences that will directly or indirectly affect our market. I’ll continue to view all predictions as just wild guesses, bets, speculation, or educated guesses including my own, until some semblance of consistency and predictability materialize.  

To see a graphic illustration of this trend view the charts and tables:  http://www.centralorproperty.com/Central,ORTrends.html

PDF Version of this article - 10 Underwater Homeowner Options

Slipping toward foreclosure can lead to feelings of anxiety, depression, and loss of self-esteem. Don’t give up. There are options available to help millions of homeowners rescue themselves from the brink. Since it is crucial to act before a foreclosure takes place, now is the most important time for you to review the following options and solutions.

As a Certified Distressed Property Expert (CDPE), I am trained in assessing all foreclosure alternatives and pursuing the best solution for your own financial situation.

1) Short Sale

A short sale allows the homeowner to avoid foreclosure, minimize financial damage and move on from a burdensome, unaffordable mortgage. In many cases, a short sale allows the borrower to qualify for a new mortgage in just 24 months, as opposed to five years or more after a foreclosure.

A trained real estate agent can help facilitate a short sale with your lender if you have three qualifications. First, you must show some type of financial or personal hardship. Second, you must have a monthly shortfall, meaning your monthly expenses are greater than your monthly income. Finally, you need to prove that your debts are greater than the value of your assets (certain investments, property, etc.). These requirements may differ per lender, so check with a distressed property specialist for specific information from your mortgage company.

2) Reinstatement

A reinstatement is the simplest solution for a foreclosure, however it is often the most difficult for homeowners to achieve. The homeowner simply pays the total amount past due (including late fees) to the lender. This solution does not require the lender’s approval and will “reinstate” a mortgage up to the day before the foreclosure sale.

3) Forbearance or Repayment Plan

A forbearance or repayment plan involves negotiating with the mortgage company to allow the homeowner to repay back-payments over a period of time. The homeowner typically makes current mortgage payments in addition to a portion of the back-payments owed. This option requires lender approval.

4) Mortgage Modification

A mortgage modification involves the reduction of one of the following: the interest rate on the loan, the principal balance of the loan, the term of the loan, or any combination of these. These changes require lender approval and typically result in a lower payment for the homeowner and a more affordable mortgage.

5) Rent the Property

This option does not require lender approval, but does require the homeowner’s ability to rent the house for enough money to cover the monthly mortgage payment.

It is important to remember that there may be unexpected costs associated with the maintenance of a rental property in addition to the monthly mortgage payments. Homeowners should take this into consideration when deciding whether this option will work for them.

6) Deed-in-Lieu of Foreclosure

Also known as a “friendly foreclosure,” a deed-in-lieu allows the homeowner to return the property to the lender rather than go through the foreclosure process. Lender approval is required for this option, and the homeowner must also vacate the property. Deed-in-lieu can potentially lessen the damage to a credit score and future loan eligibility, and sometimes the lender will forgo their right to pursue a deficiency judgment, meaning the homeowner will not be responsible for further payments.

7) Bankruptcy

Many have considered and marketed bankruptcy as a “foreclosure solution,” but this is only true in some states and situations. This does not require lender approval, but you must have non-mortgage debts that you claim as a hardship.

Entering bankruptcy can be a risky and costly process. Be sure to seek the advice of a qualified bankruptcy attorney when pursuing this as an option.

8) Refinance

As opposed to mortgage modification, refinancing means you will be acquiring a new loan based on your current credit standing. If you have already missed mortgage payments, your credit score may make it difficult to find a loan with cheaper payments.

9) Sell the Property

Homeowners with sufficient equity can list their property with a qualified agent who understands the foreclosure process in their area. Unfortunately, many homeowners in today’s market have experienced a decline in home value and may owe more than what the home is worth.

10) Servicemembers Civil Relief Act

(Military personnel only)

If a member of the military is experiencing financial distress due to deployment—and that person can show that the debt was entered into prior to deployment—he or she may qualify for relief under the Servicemembers Civil Relief Act. The American Bar Association has a network of attorneys that will work with servicemembers to help qualify them for this relief.

Pull Yourself Back From the Brink

If you are on the edge, you have no time to waste. Call me today; I’m here to lend a hand.

Place Your Confidence in CDPE

With the right assistance, the stress of facing foreclosure becomes manageable. CDPE- designated agents have received the knowledge and training necessary to assess all possible foreclosure alternatives and pursue homeowners’ best options. A CDPE- designated agent attends several days of intensive, thorough training on foreclosure avoidance and how to help facilitate a short sale efficiently and ethically. The highly regarded CDPE logo means you are working with the most informed, up-to- date resource available.

Michael Collins, CDPE, SFR, BPOR
Broker - Rock Realty
608-921-8536

If you are wondering if a short sale might be right for your home, please visit our Short Sale Home Evaluation page.

I have a SS where a Veteran is a buyer. Got the FHA participation letter, offer matching BPO value, all docs complete. Can't get the approval letter from the bank for more than a month! If they delay approval process even for 2 more days a Veteran loses his loan, has to vacate rental because did not extend a lease. Underwriter for his loan fully cooperates,

will give a clear to close as soon as she gets the approval letter. I sent begging letters to  bank's negotiator. Nothing!

Veterans put their lives at risk every day for us, is there any one at the Bank of America who cares about them?

Where could I get help with this approval ?

REOPro Launches www.MatherNetwork.com for Investors

Friday 2/8/2013, REOPro, the nation's largest foreclosure network of agents, asset managers, attorneys, property preservationist and others, launches a sister site, www.MatherNetwork.com, focused on self directed real estate investors.

As with REOPro, the Mather Network has blogs, forums, real time live chat, video sharing, event calendar, group creation and much more however, it's soon launching a new tool to put the investor and investee together.

InvestConnect will give investors the ability to advertise what type of real estate investments they are looking for as well as give investees, those with deals, the ability to come on and search for potential investors. The best part of the InvestConnect tool is that it works in reverse as well. The tool allows investees, those with deals, to advertise their opportunities while investors, those with money, can come on line and search through the different opportunities. Making the network much more than a social media tool but more of a "E-harmony " or "Match.com" for investors and investees.

InvestConnect is on schedule to launch towards the end of March however, current membership of www.MatherNetwork.com and those who join before the launch of InvestConnect, will get access to the tool for the first 12 months free, at no cost. When REOPro's founder, Jesus "Jesse" Gonzalez was asked about how much the tool would cost he explained,

" As always, membership to the network itself will be free however, this new tool comes with some cost and that cost must be paid for. REOPro has built a reputation based on adding value and keeping cost low....or non-existent all together and, I expect the Mather Network to maintain this strategy by working closely with advertising partners to keep InvestConnect cost low. At this time, I don't have an exact figure however, I assure you, it will be highly competitive to other tools on the market and best of all, as the network grows, as membership in InvestConnect grows, we can use increased funds to put towards R&D to make the tool better. Our biggest advantage is our low cost of operation and I will use that advantage to its fullest potential by keeping cost low, providing excellent value and ensuring our members are not just satisfied but, become our raving fans."

REOPro is proud of the Mather Network and looks forward to it becoming a valuable resource for its members with education, advocacy, social media and wealth building tools. For more information on the Mather Network, you can visit their site at www.MatherNetwork.com or contact Jesse Gonzalez Directly at JGonzalez@RealTracs.com

The low supply of housing inventory is giving some economist reason to believe we are in for much bigger price gains this year. As of January 31st, there were 111 active single family homes on the market in South Lake Tahoe. We haven't seen numbers that low since the Spring of 2005. That's less than a 3 month supply of housing inventory. This means that buyers are dominating the market while there are relatively few sellers.

The tightening in supply is not expected to continue, however. I expect to see a rise in the number of willing sellers, which means inventory will hit a bottom soon.

28% of the single family homes sold over the last 90 days were bank owned properties or short sales. At the beginning of 2012 distressed sales accounted for over half of our local sales.

Some economists are saying we have an artificial increase in housing values but only time will tell if they are right or wrong.  The year long decline in the number of distressed sales as well as housing inventory has stabilized our local market values. 

As of January 31st the median sales price for a single family residential home (per the South Tahoe Association of Realtors) had declined 0.4% from $250,000 a year ago to our current $249,000. We hit bottom in August 2012 at $234,000.

Statistics for some of our area neighborhoods: Gardner Mountain area has declined 0.2% in value from a year ago. Montgomery Estates is down 12.5% while Y Area values are up 35.9% from a year ago. For those living in Tahoe Keys, market values have increased 6.7%.  Contact Robert Stiles for more local information.

Here are six reasons, along with a three minute video proving each of these things, on why you should immediately cancel your Advanced Distressed Property Expert website and set up a Short Sale Lead Machine website for $1:

1. These advanced Distressed Property Expert websites do NOT have proper Search Engine Optimization metatags, page titles and keywords (see video below). Many of the home pages are "De-Indexed" and do not show up at all on search engines, because they are basically duplicated content and viewed as spam. In addition, the sites that DO show up on Google are typically titled "Homepage" or "No More Salem Foreclosures" as the title to the entire website.
2. The ability to customize your website (see video below). This is also important for search engine optimization. Short sale lead machine sites are not only customizable, but we offer a complete video training course to teach you how to customize them, optimize them for even greater success on the search engines, and even market your site in order to drive massive traffic to it and generate more leads. And if you don't have the time to do this, we can do it for you.
   
3. A Short Sale Decision Maker Calculator. Our lead machine sites (and many other sites) will take a visitors home address and automatically determine a current value, then combine that information along with their mortgage information to determine first how long it will take, then home much money the borrower will have to spend until they are no longer in a negative equity position based on multiple levels of appreciation. An outstanding lead capture tool.
   
4. Social networking share buttons. These are completely lacking on ALL advanced distressed property expert websites, but are critical to have on any website in the 21st century. The Short Sale Lead Machine websites have social network share buttons on the top and bottom of each and every page, which allow visitors to share your sites content with all of their friends, family and contacts.
5. The ability to have a blog. The Short Sale Lead Machine websites have a blogging feature that is automatically built in and very easy to use. Another critical element for Search Engine Optimization.
6. A weekend training class does not make somebody an "expert" in a field. Many attorneys have argued that agents can be setting themselves up for lawsuits from disgruntled home owners who go into Forclosure. Is your training enough to defend the "expert" title in court?

The Short Sale Lead Machine program offers many additional features and resources, such as pre-made Craigslist and Backpage marketing ads for you to use, over five hours of videos to teach you how to customize and market your site, and weekly Short Sale Mastermind Agent Webinars featuring many of the top short sale agents, coaches and trainers in the country. And the best part, is that instead of spending 99 or 129 or more per month for a website that doesn't work, our sites are only a buck to set up with no contract or commitment, then 59 per month after that.

Visit www.ShortSaleHosting.com for info

Join one of these LIVE demonstration webinars
and let me show you how our sites blow away the competition

Thursday Feb. 7th 1:45 PM EST – www4.gotomeeting.com/register/554951183

Watch This Three Minute Video for to see for yourself

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Mike Linkenauger
Director of Operations
(800)210-5231

Real Estate has had quite a roller coaster ride this past decade in Las Vegas.

The latest info for the ups and downs of the market indicates that the market will be ticking upward.

The inventory in Jan. has gone down 10% to a 7 day supply or 3300 SFR's.

This low has not been seen since the historical lows of 2004 which lead to a 50% increase in prices

across the board that took place 2005; That, plus very poor lending practices, lead to the bubble and crash of 2008.

Las Vegas is poised to have another increase in home values this summer.

How will 2013 price increase be different from 2005?

Today buyers are coming into Las Vegas with cash, 60%+ of the deals that are currently closing are with cash buyers.

We are again seeing multiple bidding battles between buyers. If  Las Vegas does not replenish its inventory like what

traditionally happens in Jan. & Feb. then the low supply and high demand will correct the market prices. The big

question is will we have another bubble if the market goes up 30-40%? I surmise that the answer is no. This is based

on the type and the financial strength of todays buyers. For the most part the investors are running cash positive rental

investiments that most of them have paid cash for. This is staunchly different from the 2005 investors who borrowed

most of their funds, had high mortgages and were upside down on their rental. In those cases the investor bailed

on their investment.

Overall prognosis - this is a good time to step up and buy something (if you can).

Phil Scheinman

Realty One

Search www.PhilScheinman.com

After the holidays, buyers tend to get more aggressive with their house hunting. Search activity usually peaks around March or April in most states, according to a new study of home searches from 2007 to 2012 conducted by Trulia.

In September, searches slow down. By December, buyer searches ebb to their lowest point of the year.

“Home-search activity swings with the seasons in every state,” says Jed Kolko, chief economist of Trulia. “Buyers and sellers can use these ups and downs to their advantage. Sellers looking for the most buyers should list when real estate search traffic peaks. Buyers, however, should think about searching off-season, when there is less competition from other searchers.”

Here are the months when online real estate searches peak in every U.S. state:

January: Hawaii
February: Florida
March: Arizona, California, Delaware, Georgia, Idaho, Iowa, Kentucky, Maryland, Massachusetts, Michigan, Missouri, Nebraska, Nevada, Ohio, Oklahoma, Pennsylvania, Virginia, Washington
April: Colorado, Connecticut, District of Columbia, Illinois, Indiana, Kansas, Minnesota, New York, North Dakota, South Dakota, Utah, West Virginia, Wisconsin
May: Real estate activity does not peak in any state
June: Mississippi
July: Alabama, Alaska, Arkansas, Louisiana, Maine, New Hampshire, New Jersey, New Mexico, North Carolina, Rhode Island, South Carolina, Tennessee, Texas, Vermont, Wyoming
August: Montana and Oregon
September-December: Real estate activity does not peak in any state

The Federal Housing Administration (FHA) announced a series of changes to be issued this week.

Commissioner Carol Galante calls the changes “essential and appropriate” as the administration tries to bolster its cash reserves in its Mutual Mortgage Insurance Fund (MMI Fund).

Changes to mortgage insurance premiums
FHA will increase the annual mortgage insurance premium (MIP) added onto most new mortgages by 10 basis points (0.10 percent). Premiums on FHA jumbo mortgages ($625,500 or larger) will go up by 5 basis points (0.05 percent). There are a few exceptions, such as some streamline refinance transactions.

In addition, most new FHA borrowers will pay the MIP for the life of their loan.

Previously, FHA automatically cancelled MIP on loans when the current principal balance reached 78 percent of the original principal balance. FHA’s Office of Risk Management and Regulatory Affairs says that cancellation has cost the MMI Fund billions of dollars in premium revenue on mortgages endorsed from 2010 through 2012.

Manual underwriting on higher-risk loans
If a buyer has a credit score below 620 and a total debt-to-income (DTI) ratio greater than 43 percent, FHA won’t allow lenders to automatically approve a loan request. Lenders must now manually underwrite these loans, document compensating factors that support their approval based on FHA guidelines.

Higher downpayment on loans above $625,500
FHA says it will raise the mandatory downpayment on jumbo loans from 3.5 to 5 percent. It will officially announce it soon in the Federal Register. FHA says the change will encourage more private lenders to participate in the housing finance market.

Home equity conversion mortgage consolidation
FHA will consolidate its Standard Fixed-Rate Home Equity Conversion Mortgage (HECM) and Saver Fixed Rate HECM pricing options. This change will be effective for FHA case numbers assigned on or after April 1, 2013.

FHA loans after a foreclosure
FHA has a minimum waiting period of three years for a borrower who went through a foreclosure. However, the administration says it’s not that simple – a buyer must also reestablish good credit and qualify under other FHA loan guidelines.

“It has come to FHA’s attention that a few lenders are inappropriately advertising and soliciting borrowers with the false pretense that they can somehow ‘automatically’ qualify for an FHA-insured mortgage three years after their foreclosure,” FHA says in a release. “This is simply not true and such misleading advertising will not be tolerated.”

FHA says non-FHA lenders have also started advertising FHA mortgages. “FHA will work with other federal agencies to address such false advertising by non-FHA-approved entities,” according to the release.

 Six Florida cities rank among the best places to buy foreclosures in 2013, according to a report by RealtyTrac.

Topping a list of 20 metropolitan areas is Palm Bay-Melbourne-Titusville, the Irvine, Calif.-based real estate data firm said.

RealtyTrac looked at four criteria in tallying the “best places”: the supply of foreclosure inventory; foreclosure sales as a percentage of all transactions; the average percentage discount on foreclosures; and the annual percentage change in foreclosure activity in 2012 compared with 2011.

Also among the top 20 metro areas for buying foreclosures are Lakeland (No. 5), Tampa (No. 6), Jacksonville (No.7), Orlando (No. 9) and Miami (No. 12), according to RealtyTrac report.