This is a debt limit satire video that I think you all should see and forward to others. Granted, they reduced the numbers so it's a bit more realistic to understand but, the ratios they use are the same. Wait till the very end......then you will really understand just how bad this whole debt thing is.

https://www.youtube.com/watch?v=Li0no7O9zmE&feature=player_embedded

How to Buy a Home Once You Have Completed a Short Sale

Tragedy strikes across the country every year.  People lose jobs, injuries are sustained from accidents and financial hardships cause tough decisions.  Fortunately, most things improve with the passage of time.  Read on to see how you can prepare for your next home purchase once you have sold a home via short sale.

Option 1: Big Down Payment

One constant that has remained in mortgage lending in many years is the power of a large down payment.  Although it is uncommon to see someone with a 30% or more down payment, it does happen.  Especially for people who are recipients of a windfall, such as payment on a judgment or an inheritance.  If you can rationalize the high interest rates, and you have the funds for the large down payment, then you can usually find a private lender to set up a mortgage for you.

If you choose this route, be alert to a few items.  First, the lender may have a stiff penalty for paying off the loan within the first few years.  Secondly, the lender may attempt to set up the mortgage with a balloon payment.  Avoid these two snags at all cost.

Option 2:  Wait a Few Years

If you don’t have the money for a 30% down payment you can simply wait for three years.  The Federal Housing Administration (FHA) will ask that a person who sold their home via short sale to wait for three years before applying for a new mortgage.  However, if your circumstances show that the short sale was beyond your control, and you kept your payments up to date right up to the sale date, then you may be able to get the loan sooner.

People who would prefer to use conventional loans offered by Fannie Mae or Freddie Mac will have a similar wait.  Fannie Mae only asks that borrowers wait for two years if they are able to pay a 20% down payment.  For circumstances beyond your control Fannie may allow you a 10% down payment after a two year period.

Veterans who wish to use the VA loan will need to wait a full two years after their short sale to apply for a new loan.

Option 3: Lease with Option to Buy

It is not surprising that many home sellers have chosen to offer their homes with a lease and an option to purchase at a certain time and at a designated price.  Due to the economic slump over the past few years, home prices have dropped.  Sellers do not wish to sell their home at such a loss so many are willing to lease out the home in hopes that the market will rebound.  For buyers who are not quite ready to qualify for a traditional mortgage, buying with a lease-option could be the easiest way to get in to a home.

With a little planning and a little patience it is possible to find yourself holding the keys to your next home after you have made it through a short sale.

Original Post - Buying a Home after a Short Sale

My mom is a garage sale warrior. She’s constantly on the prowl for the next great deal she might uncover on an unsuspecting Saturday morning drive. I on other hand will swing by on occasion lacking the enthusiasm that she usually arrives with. As I rummage through old frames, board games with missing pieces, and the occasional  holiday sweater, I’m always amazed that near the clothes there are used underwear!!

Who buys used underwear? Although these undergarments have been cleaned, the reality is these cotton have touched, supported, and wiped the very most intimate parts of our bodies. I’ve seen them with worn elastic and even the faint proverbial skidmark. Even at 50cents, I think it’s worth the extra money to buy these new and fresh. Where you know what you’re getting into.

Currently the GSEs, Fannie and Freddie (along with many other banks) are steering their eviction coordinators and pre-marketers towards the idea that tenant-occupied properties make the single family home more attractive, especially to investor purchasers.  My partner and I have sold maybe 2 dozen of these tenant-occupied properties, but almost all have been problematic and the investors have NOT considered the tenant occupant a positive selling feature.  I’d say it’s a lot like buying a used pair of underwear. The price may be slightly better, but you don’t know what kind of crap may have went down in the tenancy or boxers you now are the proud owner of.

Anyone had a different take on this? Good experience when buying used underwear or selling tenant-occupied SFRs?

Your company's online presence and reputation is a critical component of bringing in new leads and business. One of the most effective ways to communicate that your company is both competent and reputable is to post online client testimonials.

Up to this point, we had been sending customers a direct email asking them to reply with their personal testimonial. The response rate was less than ideal. Today I created an online form that hopefully will make a positive difference. It's a short form that was easy to create using Wufoo.com. Setting up a free account will allow you to:

• Create 3 unique forms
• Max of 10 Fields per form
• A limit of 100 client form submissions per month

Golden Rules on Achieving High Credit Scores

“We are glad you chose us as your lender.  As you know, your credit score is _______.”  For some people, filling in that blank might be nerve-racking.  For others, it might be a source of pride and personal accomplishment.  If you are working on your credit score, or simply want to know more about putting together a score that will make friends jealous and bankers swoon, read on.

Keep Your Available Limits Manageable

One of the top factors that affect a credit score is a person’s available credit.  This is simple to understand with some numbers.

• A person has one credit card to their name.  The available balance is $1,000.  At present, the person has charged a total of $200 on the card, leaving them with $800 available.  As a percentage, the person has 80% available credit.
• A different person has only one credit card, but their available limit is $300.  At present, the person has charged $100 on the card.  Their available limit is $200 or 67%.

Even though the second person in our example has a smaller outstanding balance, their available percentage is lower and their credit score will be lower.  The closer your available limit is to 100% the higher your score will be.

Pay On Time, Every Time

Without a doubt, the single biggest factor of a person’s credit score is whether or not they pay their obligations on time.  Paying all debts, regardless of the size, on time will do more to improve a person’s credit score than other tactics.

Keep Paid Off Credit Lines Open

Review the earlier example about available credit for a moment.  Suppose you have three credit cards but you only owe money on two of them.  Most people would be tempted to close out the one card in order to reduce temptation of charging too much.  However, closing down the account hurts in two ways.  First, it reduces your available credit limit.  Second, it wipes out the history you had with that account.  Both of these items will lower your score.

Strive to Have a Good Mix of Debt

In order to reach the magical number of 700 or more it is necessary to have a mix of debt that you are paying timely.  A modest automobile loan, one or two credit cards and a small unsecured loan are usually enough to provide someone with enough diversity to get a high score.  Having only one type of debt, regardless of the type of debt or how it is paid, will keep your scores in the 600 to 680 range.

Above all else, it is important to understand that building a strong credit score takes time.  It will not happen in a day, a week or even a month.  You will need to focus on the tips outlined above for a few months, maybe a year, in order to reach the pinnacle of credit scores.

Original Post - Tips for Higher Credit Scores

Bank of America Launchers new Short Sale Processes and Inititaions as of April 13, 2012

In an effort to reduce time frames, get faster approvals and streamline the short sale inititaion process, BOA will be launching new processes as of April 13, 2012.

They are....

1. Concurrent Workflows: This means that instead of BOA waiting to get a BPO until they have recevied all document, they will do the BPO and doucment collection at the same time.

2. Form Standardization: BOA will only accept their forms....for example, only their 3rd Party LOA will be accepted.

3. Back Up Offers: If your initial offer is declined, you will have 5 days to get in a back up offer. Your file will not decline out till after your 5 days.

4. Privacy Changes: To protect the client and Realtor, all communications will be done in Equator only. No outside or Outlook communications anymore.

Before April 13, agents must complete the following task for all current short sales initiated with an offer.

1. Submit short sale offer.

2. Upload offer documents

3. Upload supporting documents

If you don't do these task by 13th. you will get new task and soem task may activate simultaneiously, slowing down the process and possibly declining your file.

Go to the BOA Training by visiting www.BankofAmerica.com/realestateagent

For questions, call 1-866-880-1232

anyone doing evaluations for them, they require verbal values no pay, but offer listings if clients buy

Even with a healthy seasonal uptick, 2012 is starting off at the lowest list to sold ratios since beginning this project in 2007. The REO segment, which were it not for huge losses to the seller, continues to act like a hot sellers market, continuing to create many a disgruntled would be buyer.

Demand for Central Oregon Real Estate has been and remains very good, especially in Bend while supply has a long trend of decline behind it. If these trends hold, past price firming trends should hold as well.

See supporting charts to the list to sold ratios:

http://www.centralorproperty.com/Central,ORTrends.html

Also now on:

http://centralorhomesales.com/inventory.asp

Bank of America has started a new foreclosure/lease program where they will allow some delinquent home owners transfer title back to BofA (forgiving their mortgage) and in return,BofA will lease the home back to the owner at or below market rents for up to 3 years. In my opinion, this "Mortgage to Lease" pilot program will never work and is merely a way of trying to regain favor in the public eye.

Why do I think it will never work? The same reason why "Deeds in Lieu" are never a successful (and rarely sought after) alternative to foreclosure. The typical person who is behind on their mortgage isn't just delinquent on that debt. There are often second mortgages and liens (HOA, Contractor, etc.) that may be placed against the house as well.

If a bank takes title back without foreclosure, they assume all of the debts and liabilities that may be attached to the home. There not going to do that.

I applaud your effort BofA...but I will be extremely surprised if this becomes a viable solution (or one that has any kind of impact) to the foreclosure situation we are currently in.

Field Guide to 1031 Exchanges

“The thing women must do to rise to power is to redefine their femininity. Once, power was considered a masculine attribute. In fact power has no sex.” - Katherine Graham

March is Women's History Month. Pay tribute to the generation of women whose commitment to the planet have proved invaluable to society.

The Wisconsin housing statistics are now in for February of 2012. Here is an excerpt from what the Wisconsin Realtors Association (WRA) had to say:

This increasing sales trend began last summer and has continued at a healthy pace throughout the fall and winter. “It’s very encouraging to see sustained growth in home sales,” said Rob Keefe, Chairman of the WRA board of directors. He noted that sales over the last five months have seen growth rates in double digits without any distortion from federal incentive programs.

“We’re hopeful that the combination of moderating prices and low mortgage rates will carry this momentum into the next six months, which are the prime homebuying season in Wisconsin,” said Keefe.

Below are the number of Home Sales and Median House Prices for the state of Wisconsin, Rock County, and Dane County. These stats include Janesville and Madison. Feel free to contact me if you have any questions pertaining to these figures. As you can see, home sales have been increasing substantially this year. The median sale price in Dane County has fallen approximately $10,000 year over year. In Rock County Wisconsin, however, the median sale price has risen almost $10,000, or 13%! Have we hit bottom in Rock County for home prices??? I certainly hope so.

If you would like some insight into how much your home is currently worth, I would be happy to provide you with a free comparative market analysis. This is a report that gives a close estimate to what your home might sell for in your current local Wisconsin real estate market. Has your home value fallen below what you currently owe? A short sale may be right for your situation. Visit the following page on Wisconsin Short Sales.

Mortgage Forgiveness is Currently Set to expire at end of 2012

One primary feature attracting many underwater homeowners to a short sale is the fact that the taxes are lowered thanks to a Mortgage Forgiveness Debt Relief Act of 2007 provision. However, that credit is set to go away at the end of the year 2012. This means that homeowners who have put off selling need to get busy.

Basics of the Rule

When foreclosures were the primary topic of almost every news broadcast, Congress stepped in and offered this one time transaction. Homeowners could sell their home, for less than the existing mortgage, if the lender agreed to the deal. The outstanding balance would normally be taxable as earned income to the homeowner. However, the Mortgage Forgiveness Act wiped out the taxes on any unpaid balance up to a whopping two million dollars. This act applies to short sales that occurred between 2007 and 2012.

New Area of Expertise for Real Estate Agents

Many real estate agents have chosen to specialize in certain areas. Some people prefer to work with commercial property, while others may focus their energy on single family homes. The past few years has seen a rise in the number of agents that zero in on the short sales, and for good reason. Many banks are not open to the idea of a short sale coming straight from the homeowner. But with an experienced real estate agent, the situation changes. Banks realize that these agents are quite familiar with the local area and can accurately predict a home’s true value. Using an experienced agent can help homeowners negotiate a fair sales price and remove themselves from the burden of a mortgage that is no longer feasible.

Possible Change before End of the Year

It is possible that Congress could move to extend the Mortgage Forgiveness expiration. After all, the home purchase credit initiated a couple of years ago was extended twice to encourage more people to buy homes. However, it is too early to tell if this particular act will be extended so it is better for most people to err on the side of caution and begin negotiating a sales price with their real estate agent and their lender.

Getting Everything in Order for a Short Sale

If you are considering a short sale of your home then you will need to get a bit of information together. First, you must contact your lender and ask them for a 30 day payoff on your mortgage. If you have more than one mortgage, or Home Equity Line of Credit (HELOC), then you will need a payoff amount for each loan. Once you have these figures you can call your real estate agent and ask for their professional opinion about the value of your home. The agent will be able to access sales of homes similar to yours in the surrounding area and provide you with an accurate value. Then, you will have a strong argument to present to the lender. The lender may ask that you have an actual home sale contract in hand before accepting your offer. But at least you will be on the track to selling the home once you have spoken to a real estate agent.

Original Email - Mortgage Forgiveness Act expiring soon

The $25 billion robo signing settlement was reached with 5 banks recently, but what effect is this really going to have. For most of us, nothing. But even for those who will receive payment from the settlement it will be very minimal.

However, this will have a hugh impact on the market. These banks are most likely getting ready to release a ton of foreclosures on the market that were previously unreleased because they were tied up in this litigation. Now that they have settled, and they know that they can move forward with the foreclosures, get ready,

If you are a licensed agent and not actively listing or selling foreclosures, now is a good time to start.

If your a buyer waiting for a great buying opportunity...well it has been here but now it is about to get even better.

"We expect to see foreclosure-related sales increase in 2012, particularly pre-foreclosure sales, as lenders start to more aggressively dispose of distressed assets held up by the mortgage servicing gridlock over the past 18 months," said RealtyTrac CEO Brandon Moore in a press release. http://tinyurl.com/7cff2la

Today NAWRB announces the appointment of Elizabeth Goodchild to the national trade group's board of directors. "We're excited to announce Elizabeth's new role with the organization. We went through a rigorous vetting process to fill this vacancy, and Elizabeth has all the skills and passion we were looking for in a new Director. Her business's specialized real estate services, relocation, distressed asset disposition, and short sales, plus her experience in publishing and education makes Elizabeth a natural fit for our board," said Patno. 

Goodchild will serve in her new role until bi-annual elections scheduled to be held in early 2013. NAWRB, a trade group representing women-owned businesses in the housing economy, is one of the most visible trade groups in mortgage default media and generates over $200,000 a year in media attention on behalf of its member businesses. 

To read the full press release click here: NAWRB Board member Elizabeth Goodchild.

It’s Women History Month.  Let’s honor those women who have changed our lives.  As a national women's association, NAWRB pays homage to influential women all month.  “Being persons, then, women are citizens; and no state has a right to make any law, or to enforce any old law, that shall abridge their privileges or immunities.” Susan B. Anthony proclaimed during the suffrage movement.

Here is today's market listings update for Active foreclosure single family homes located in Rock County Wisconsin. This information was pulled from the South Central Wisconsin MLS on 3/7/2012 at 8:30 A.M.

• 59 total Foreclosure|Bank Owned|REO homes are currently listed in Rock County, WI
• Low listing price: $10,000
• High listing price: $369,900
• Average listing price: $85,857
• Median listing price: $60,000
• Average days on the market: 63

Of course these numbers change on a daily basis, so to obtain the most up to date information on current foreclosure/bank owned homes for sale, please contact us directly at 608-921-8536. We would be happy to customize the search further for you to find the home that is just right for you.

As an extra benefit to Rock Realty home buyers, we offer a 1% broker commission rebate after closing. This could mean $1,500 back on a home purchase of $150,000. We love to hear how these rebates help our clients. Some use them for home improvements, while others simply put it in savings for future needs. It is a great option that we are happy to offer. Contact us for further details and limitations.

At Rock Realty, we currently have great single family homes listed for sale in Rock County. Feel free to visit our listings page linked below:

Rock County Wisconsin Home Listings 

Additional Foreclosure|Bank Owned Home Purchase Information

• Tips for Purchasing a Foreclosure
• Using FHA 203K Loan to Purchase a Fixer-Upper
• Getting Approved for an FHA Mortgage
• Buying a Wisconsin home after a Short Sale or Foreclosure
• Avoiding Problems with Your Escrow Account
• Half of Homeowners Underwater on their Mortgage

Inventory is down in all segments of the market in the Silicon Valley and multiple offers are driving prices up. However, there are still short sales, and in some areas they make up a good percentage of the homes for sale. Here are the numbers:

Palo Alto: Single Family Homes and Condos for Sale: 48 Short Sales: 0 Percentage: 0

Mountain View Single Family Homes and Condos For Sale: 39 Short Sales: 2 Percentage Short Sales: 5.1 %

Sunnyvale: Single Family Homes and Condos: 62 Short Sales: 10  Percentage Short Sales: 16%

Cupertino: Single Family Homes and Condos:  39  Short Sales: 1  Percentage Short Sales  2.5%

Santa Clara Single Family Homes and Condos: 58  Short Sales: 19 Percentage Short Sales: 32.8%

Milpitas Single Family Homes and Condos : 56 Short Sales: 23 Percentage Short Sales: 41%

San Jose Single Family Homes and Condos: 981 Short Sales: 237 Percetnage Short Sales: 24%

Morgan Hill: Single Family Homes and Condos:  119  Short Sales: 17 Percengtage of Short Sales: 14.2%

Gilroy Single Family Homes and Condos: 123  Short Sales: 38 Percentage Short Sales: 30.9%

So the ciites with the highest percentage of short sales are Milpitas with 41%, Santa Clara with 32.8%, and Gilroy with 30.9%.

If you have any questions about buying or selling short sales in Santa Clara or San Mateo County please feel free to contact me.

Marcy Moyer

Keller Williams Realty

www.marcymoyer.com

marcy@marcymoyer.com

650-619-9285

D.R.E. 01191194

Here is today's market listings update for Active foreclosure single family homes located in Dane County Wisconsin. This information was pulled from the South Central Wisconsin MLS on 3/7/2012 at 8:15 A.M.

• 130 total Foreclosure|Bank Owned|REO homes are currently listed in Dane County, WI
• Low listing price: $39,900
• High listing price: $430,000
• Average listing price: $169,812
• Median listing price: $154,400
• Average days on the market: 67

Of course these numbers change on a daily basis, so to obtain the most up to date information on current foreclosure/bank owned homes for sale, please contact us directly at 608-921-8536. We would be happy to customize the search further for you to find the home that is just right for you.

As an extra benefit to Rock Realty home buyers, we offer a 1% broker commission rebate after closing. This could mean $1,500 back on a home purchase of $150,000. We love to hear how these rebates help our clients. Some use them for home improvements, while others simply put it in savings for future needs. It is a great option that we are happy to offer. Contact us for further details and limitations.

At Rock Realty, we currently have great single family homes listed for sale in Dane County. Feel free to visit our listings page linked below:

Dane County Wisconsin Home Listings 

Additional Foreclosure|Bank Owned Home Purchase Information

• Tips for Purchasing a Foreclosure
• Using FHA 203K Loan to Purchase a Fixer-Upper
• Getting Approved for an FHA Mortgage
• Buying a Wisconsin home after a Short Sale or Foreclosure
• Avoiding Problems with Your Escrow Account
• Half of Homeowners Underwater on their Mortgage