PGA West Short Sale; CLOSED!
Short Sale Specialist CLOSES another one! Short Sales aren’t easy, take patience and persistence on both the Buyers and the Sellers parts, but I get them done! List to Close on this beautiful semi-custom home at the Norman Estates in PGA West..approx. 95 days. Two notes.
First lienholder: B of A Approx. value of 1.4 mil
Second lienholder: Chase HELOC (Home equity line) Approx. value of $250,000.
Negotiated Sales Price: $925,000 and $8,500 went to pay off the second. Both lienholders released their right to sue for deficiencies and seller paid ZERO!
If you are underwater on your mortgage, or just want a FREE consultation, give me a call at 760-285-3578. Information is power!
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Short Sales could slow down if principles are reset..a good thing!
I’ve been saying this for the past 3 years or so..why not reset mortgage principles to say…Fair Market Value + 20%? When I ask my underwater homeowners if they’d stay in their homes if THEY could get the Short Sale value I’ve proposed to them, they always respond “Yes!”
This article from New York Times today hits on this idea in San Bernardino County..which has just declared bankruptcy by the way, so might be a good place to test this eminent domain idea.
The stumbling block is always the same…the bankers get their skirts blown up “even thinking about letting the governement step in to take control of our mortgages.” Well..somebody has to! If the Banksters want to continue to set their own mortgages, why not work out a program with the current homeowners to keep them in their homes? Turn a non-performing asset into a performing one??? The reason could be that the Banksters do not want to report the TRUE VALUE of their assets to their prized shareholders until they are good and ready. Hey..a little coloring outside the lines for the Banksters is nothing new, right???
Until Mortgage values are reset, if you are underwater, give me a call for your free Short Sale consultation..760-285-3578.
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Short Sale Joy!
Several Short Sale updates came down last week from our friends at Bank of America. I always read these with trepidation, but eternal hope. I think the thought is good..but the reality of implementation is never what the original thought was! Just too many loans with Bank of America and not enough personnel. But here we go anyway…
Update #1: Bank of America 2nd Liens: Enhanced lien deficiency Guidelines
- Short Sale must be initiated by June 1, 2012
- Second lien must be attached to a first lien mortgage owned by Bank of America
This waiver enhancement is based on the Department of Justice settlement and went into effect 6/1/2012.
Update #2: HAFA short sale update
HAFA Short Sale help has been extended to 12/31/2012, but also applies to current HAFA contracts. If you write a contract on 12/31/13, it has to close by 9/30/2014 for it to qualify for the HAFA program.
- The $3,000 relocation fee is only paid to the Primary resident.
- Vacant properties not elegible.
- Non-borrowers can now qualify if occupying the property (tenants, parents, relatives)
So there you have it..the continuing attempt to help the Short Sale process. If you need any more information, please give me a call at 760-285-3578 for a FREE consultation.
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La Quinta Cove short sale just CLOSED!
Another Short Sale in La Quinta..CLOSED! This lovely single family home in the La Quinta Cove, was a primary residence. The Seller relocated and is relieved to be out of the high mortgage payments.
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FNMAE short sale changes
I got a call on Thursday last week from a guy that claimed he was my contact for a FNMAE short sale at Atlas Mountain in Desert Hot Springs. What??? I get calls all the time from short sale negotiation companies claiming they can “help me close my deals.” I don’t need their help. I close 100% of my short sales. I did call the servicer, GMAC, and they confirmed he was for real.
Here’s the deal….(not sure if it’s ALL FNMAE backed notes, or just GMAC)
If the investor on your note is FNMAE, the negotiation company, Kazork, skips the Servicer completely, GMAC in this case, and negotiates my offer directly with the Investor (FNMAE). Sounds great, right? I hope so. I have already submitted offer + supporting docs to GMAC, so it’s a redo, but oh well.
I list the property at Kazork.com. Agents submit offers at their assigned list price or above, and they are negotiated within 30 days. The catch? I’m guessing their list price will be too high..same as with B of A COOP program.
Why the change? The guy tells me there has been extreme fraud on the part of Short Sale List Agents. They are submitting low offers, getting them sold, then turning them again on the other end! What??? I attach prices on my Short Sales that are typically 10% or so below Fair market value. They get accepted..often takes awhile, but there you go.
Anyway….could be good. Keep you posted.
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In La Quinta and across the state of California, Bank of America has announced that for a limited time, they are offering enhanced relocation assistance payments to qualified California homeowners who initiate a short sale without an offer. Those who qualify could be eligible to receive anywhere from $2,500 – $30,000 in relocation assistance and owe no more on their mortgage with the short sale of their property.
Many distressed homeowners are not aware of options available to them for avoiding foreclosure. It’s best to be proactive and call your lender before missing a payment. Then the embarassment and credit problems brought on by foreclosing on your home can be avoided. To not call your lender to discuss your options will only hurt your case.
Providing this enhanced Relocation Assistance Payment to distressed homeowners helps them with relocation costs and can also be used to help pay escrow items, such as past due HOA fees (a fee the banks will not pay for in a short sale situation). Banks are now more willing than ever to work with their borrowers to come up with a solution that works for all parties involved.
Remember that the Listing Agent in a Short Sale is your key to success, both for the Short Sale seller as well as the new Short Sale buyer. If you need help with your underwater mortgage, or simply doing your investigative work, give me a call at 760-285-3578. I am
experienced and short sale certified and consultations are FREE! I would be Happy to talk to you.
I am not a tax professional nor an attorney. I am posting this because he IS, and gives a very clear, concise understanding of the tax non-implications of a Short Sale for both Primary and Investment properties. Check it out!
http://www.youtube.com/embed/6901YZhzqII
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Today, Embassy Suites in Palm Desert is the location for a two-day foreclosure seminar (was held yesterday too) that the bank is putting on for it’s customers to discuss home loan modifications and other foreclosure alternatives. 10,846 BofA customers in a 175 mile radius of Palm Desert were invited, all 60 days or more behind on their mortgage payments.
Maybe Bank of America is finally putting its proverbial money where its mouth is and started truly reaching out to thousands of homeowners who are behind on their mortgages and facing foreclosure.
Many of those attending from the Coachella Valley are getting information on loan refinancing that could significantly reduce their monthly payments and principal so that they could stay in their homes. After all, Riverside County has the highest foreclosure rate in the state of California. There are knowledgable mortgage specialists, underwriters, HUD counselors and other experts ready and waiting to provide assistance.
Bank of America is providing one-on-one counseling service to its homeowner customers who are facing possible foreclosure or who want to explore other loan mods, etc. The event is free today from 8am to 8pm at Embassy Suites Palm Desert, 700 Highway 111. You can register by calling 855-201-7426 or go to bankofamerica.com/homeownerevent
If you are interested in exploring the possibility of Short Saling your home, please consider contacting Palm Springs Valley’s Short Sale Expert – Kimberley Joy Kelly. She has extensive knowledge,experience and Success in Short Sales and will be happy to give a free consultation. Call her at 760-285-3578.
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B of A gives principal reductions???
Bank of America NEVER “gives” anything away for nothing. So..I suspect the devil will be in the details with this new little gig. Part of the 26 billion dollar governement settlement, Bank of America is offering 200,000 lucky homeowners that qualify principle reductions. Isn’t that nice of them???
Unfortunately, alot of things must happen…
1. The borrower has to receive, open and read their letter that they are sending in the mail. I would suspecst that many of these “select 200,000 borrowers” have already jumped ship. If they are still there, they are pretty much hiding from their Lender and are OVER getting mail from them. Wonder how many will even open the letters?
2. You have to qualify. We all know about the qualifying process with B of A for Loan Mods and Short Sales. I suspect the paperwork is huge and the negotiator numbers are not.
3. They will write off up to $100,000..yippee! That will help some, but in my area of the Palm Springs Valley, $100,000 isn’t much..in ANY price point.
Let’s see if this program is a little more efficient that Bank of America’s 48 hr. buyer substitution program is. That is a complete disaster. But..I’m an positive thinker and I choose to believe this one is “going to work!” Good luck to all!
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81-375 National Dr. short sale
Seller just accepted an offer on 81-375 National Dr., La Quinta, CA. Now the work begins in ernest for your Short Sale Listing Agent.
1. Seller receives list of required documents including financial docs, hardship letter and lender specific documents..all of which they already have a list of. Now it’s time to gather them up!
2. Buyer’s Agent receives copies of relevent docs.
3. Lenders packages are put together (two loans here..two packages)
4. Lenders packages are scrutinized and then submitted. One is online, one is via dinasour fax.
5. Follow ups are scheduled and relentlessly held to..
Remember that the Listing Agent in a Short Sale is your key to success. Both for the Short Sale seller as well as the new Short Sale buyer. We need to be organized, tenacious, and of the “never say die” mentality.
And the ride begins!
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