Debra Helps Homeowner With Solutions!

The Second Largest Settlement in History: How it save you from foreclosure!

Thu, 22 Mar 2012 11:27:21 GMT

The Second Largest Settlement in History: How it save you from foreclosure!

The news has been abuzz in the past few weeks about the historic Robo-Signing Settlement reached between the government and five major lenders. The settlement raises lots of questions, but for homeowners who are in danger of losing their home there is only one:

Can this settlement help me stay in my home?

The answer: Possibly! But regardless of whether you meet the specific eligibility requirements for this settlement, it is important to remember one thing:

YOU HAVE OPTIONS!

As a Certified Distressed Property Expert (CDPE) I am uniquely qualified to help determine your eligibility and answer any questions you may have about the settlement. Call me or email me and set up your free, confidential consultation. Let me help you figure out the best foreclosure alternative option for you.

Please call me if you have any questions at 760-828-8181.

Debra Green

DebraGreenHomes@gmail.com

Mortgage Modification Scams Rampant in 2011

Fri, 20 Jan 2012 13:21:02 GMT

Mortgage Modification Scams Rampant in 2011

Posted: 19 Jan 2012 11:53 AM PST

Mortgage modification scams made the list of the Better Business Bureau’s Top Scams of 2011, with more than 20,000 complaints. Sadly, there are countless organizations out there preying on desperate homeowners.

That’s why trained, qualified real estate agents are needed now more than ever. The nationwide network of more than 35,000 CDPE-designated agents has helped hundreds of thousands of homeowners find a dignified solution in difficult times.

But distressed homeowners aren’t the only ones being targeted. Unfortunately, even well intentioned agents have been caught up in increasingly sophisticated mortgage fraud scams.

Please contact Debra Green, CDPE, at 760-828-8181 for any questions or a free consultation for a homeowner in distress to discuss solutions!

Fannie Follows Freddie’s Lead in Extending Forbearance Period for Unemployed

Wed, 18 Jan 2012 11:18:19 GMT

Fannie Follows Freddie’s Lead in Extending Forbearance Period for Unemployed

Posted: 17 Jan 2012 08:20 AM PST

Fannie Mae revealed its new Unemployment Forbearance Program, which mortgage servicers are required to implement by March 1 for all Fannie Mae-owned and backed loans.

Servicers can now provide up to six months of relief for eligible unemployed borrowers without Fannie’s review and approval. Borrowers may also apply for an additional six months of forbearance, for a total of 12 months.

Fannie’s announcement follows a similar move by Freddie Mac.

To find out if your loan is backed by either GSE, use the “Fannie Mae Loan Lookup” or “Freddie Mac Loan Lookup” tools on the Useful Links section of our website.

Please call me if you have any questions at 760-828-8181.

Debra Green

Federal Reserve Recommends Short Sales Among Solutions

Tue, 10 Jan 2012 18:32:49 GMT

Federal Reserve Recommends Short Sales Among Solutions to Housing Crisis

Posted: 06 Jan 2012 12:13 PM PST

On Jan. 4, Federal Reserve Chairman Ben Bernanke sent a letter and white paper to Congress outlining his insights and recommendations on restoring the health of the U.S. housing market.

Among the key findings on current market conditions:

Housing prices remain 33% below their early 2006 peak
Currently, 1 in 5 mortgage holders are underwater (12 million homeowners)
In states with the price declines (i.e. Nevada, Arizona and Florida) roughly half of all mortgage borrowers are underwater on their loans
The number of properties currently in the foreclosure process is more than four times larger than the number of properties in REO inventory

The white paper suggests that no single solution exists and that progress will come through “persistent and careful efforts to address a range of difficult and interdependent issues”—a position we have always stressed.

Among these efforts, the paper strongly recommends incentives for alternatives to foreclosure, namely a short sale or deed-in-lieu.

The white paper also emphasizes a fact we are all too aware of: foreclosures drive down property values in the surrounding area and lead to a “ripple-effect” that harms homeowners, lenders and taxpayers alike.

Watch my Video Blog Post to hear more insights on the Federal Reserve’s recommendations.

Please call me if you have any questions at 760-828-8181.

Debra Green

It's time to take another look at short sales!

Sun, 02 Oct 2011 19:29:55 GMT

It’s time to take another look at short sales

As recently as a few months ago, if you would have told a real estate agent who specialized in short sales that they’d be raving about a lender’s stellar service and rapid approval times—not to mention significant cash incentives for financially strapped homeowners for pursuing a short sale—you’d have gotten some strange looks.

That’s all changed. And it’s changed faster and to a greater extent than most real estate professionals ever could have imagined.

With a glut of bank-owned properties dragging down the recovery of the real estate market, as well as the national economy, major lenders are more eager than ever before to avoid foreclosure. So they’ve sharpened their focus on short sales. Big time.

The biggest lenders in the country have staffed up to ensure rapid processing of short sale applications. They’ve ponied up with cash incentives at closing for homeowners who pursue a short sale. And they’re proactively reaching out to CDPE agents and putting them in touch with delinquent borrowers.

This is big news and the media has not really caught onto it yet. What’s important for you to know is that whatever you’ve read or heard in the past about long lag times and frustrations with short sales is probably no longer the case.

As a member of the CDPEAdvanced community, I’m tapped into major lenders and on top of major developments affecting short sales and bank-owned properties. Feel free to contact me any time at 760-828-8181 or DebraGreenHomes@cox.net if you or anyone you know is struggling with an unmanageable mortgage.

Debra Green, CDPE

HAFA Gains Steam with Completed Transactions up 55% in June

Mon, 15 Aug 2011 11:00:07 GMT

Servicers completed 2,213 pre-foreclosure short sales and deeds-in-lieu (DIL) under the government’s Home Affordable Foreclosure Alternatives (HAFA) program during the month of June.

While barely a dent in the number of homes in the pre-foreclosure stage, Treasury’s latest report shows the program is beginning to pick up steam.

The number of completed HAFA transactions climbed 55 percent compared to the 1,428 transactions completed in

May. Earlier this year, between the months of March and April, HAFA deals jumped 70 percent.

HAFA has been in place since April of 2010. According to Treasury’s latest report, which covers program activity through June of this year, a total of 10,438 short sales and 316 DILs have concluded through HAFA.

Servicers started 3,631 new HAFA transactions during the month of June, which means an agreement has been extended to the homeowner for terms of a potential short sale or DIL.

Treasury notes that the short sale process lasts at least 120 days under the program, and requires both a third-party purchaser and cooperation of junior lien holders and mortgage insurers.

JPMorgan Chase has completed the most HAFA transactions among participating servicers with 3,596, but Wells Fargo is not far behind with 3,123.

Bank of America has finalized 1,873 HAFA agreements, Select Portfolio Servicing has completed 591, Litton Loan Servicing has finalized 483, and the tally for all other participating servicers comes to 1,088.

Please call me if you have any questions at 760-828-8181.

Debra Green

Handling the Stress of an Unaffordable Mortgage Payment

Tue, 02 Aug 2011 15:33:59 GMT

Handling the Stress of an Unaffordable Mortgage Payment

Whenever I research the latest foreclosure and distressed property statistics, the sheer number of Americans facing the stress of losing their homes amazes me. It is my goal to help as many homeowners I can either stay in their homes or relieve the burden of their mortgages. Knowing that there are so many that need my help is a driving force for me to continue doing what I do.

In fact, I just released another report that I’ve made available on my website today. It explains the CDPE designation and lists 10 options that homeowners can take advantage of to relieve the stress that comes with owing their mortgage lenders more money than they can afford to pay.

The report also draws a contrast between short sales and foreclosures. Unfortunately, there’s a growing trend of “strategic defaulters” who think it’s smart to let their home go into foreclosure. As any one who follows this blog knows, there is nothing strategic about foreclosure; it’s one of the most long-lasting, negative financial challenges you can go through.

I’m excited about acting as a resource for more homeowners who have questions about what they should do. As always, if you know homeowners who may need my help, have them contact me immediately! Together, we can put them back on the path to financial stability.

Debra Green, CDPE

Any questions please Call: 760-828-8181

Administration Considering New Housing Policies

Tue, 26 Jul 2011 11:48:00 GMT

Treasury is currently reviewing a proposal to aid distressed homeowners by allowing a short sale of mortgage notes from mortgage-backed securities (MBS) trusts to new investors.

The proposal was set forth by Jordan D. Dorchuck, Esq., CMB, EVP, chief legal officer, and secretary of American Home Mortgage Servicing, Inc., based in Coppell, Texas, and written in collaboration with executives from WL Ross & Co. and Mortgage Banking Initiatives Inc.

Dorchuck says this strategy could be key to unlocking principal reduction modifications for struggling homeowners.

An estimated 3 million loans have been foreclosed in the last three years, and some analysts predict another 5 million to 7 million more foreclosures by the end of 2012.

As of February 2011, about 634,000 loans had been modified through HAMP.

“Without changes, the volume of foreclosures will continue to outpace the number of loan modifications,” Dorchuck said in his white paper.

Dorchuck believes principal reduction modifications have the potential to reduce losses for both MBS investors and underwater homeowners.

“We note, too, that banks holding mortgage loans in bank-owned portfolios have been actively achieving this result by principal forgiveness,” he states in the white paper.

Dorchuck does consider the risk of creating incentives for strategic default through principal reduction modifications. He believes these modifications should be designed with investor and servicer considerations in mind and not allow consumer-driven demand.

However, “[f]rom the MBS investor perspective, market prices of their securities already reflect large foreclosure losses,” the white paper notes.

“Short sales of mortgage loans should reduce those expected losses and achieve ‘finality,’ quickly,” it states. “Hundreds of thousands of homeowners could potentially be helped with affordable loan modifications if they included responsible principal reduction components.”

According to the white paper, the plan lowers the risk of re-default and reduces foreclosure losses for MBS investors, while also benefiting borrowers by offering them a sustainable solution and a chance to stay in their homes.

“The Plan would create a win-win scenario,” Dorchuck writes in the white paper.

Dorchuck’s proposal is not the only plan currently being considered as an option to improve the housing market.

The Wall Street Journal recently reported that the Obama administration is considering several housing policy changes, including requiring Fannie Mae and Freddie Mac to loosen their stringent requirements for investors.

The possibility of the GSEs renting some of their REOs was also mentioned as a way to help stabilize prices.

Ed Delgado, former Wells Fargo executive and current CEO of the Five Star Institute told The Wall Street Journal that renting is “riddled with risk.”

“Essentially you’re converting the [firms] from providing liquidity to a glorified national landlord for distressed assets,” he told the Journal.

Please call with any questions at 760-828-8181.

Debra Green

Are you a Homeowner in Distress?

Tue, 28 Jun 2011 15:56:09 GMT

Are you a homeowner in distress? Are you upside down on your mortgage and having a hard time making your mortgage payment? Are you in fear of loosing your home to foreclosure? We may have the answer for you.

The HAFA Program is designed to help homeowners in distress get out of their mortgage and sell your property as a Short Sale. Not only can you sell the property but you may also receive $3,000 to help you relocate. This is a Government Program that has been put in place and all you have to do is qualify. There are several qualifiers, but for the most part over 50% of homeowners will qualify. Here are a few things you need to qualify.

1. You must live in the home you need to sell
2. You must have a need to sell (not a Want to sell)
3. You must have a hardship (Financial Hardship, Relocation, Divorce, Death in the Family, etc.)
4. If you do not live in the property you must have lived in the property within the last 12 months (this is great news for Investors with investments that are under water)
5. Contact me for a list of additional qualification needs

If you are approved for HAFA you will be entitled to the following:

1. A $3,000 check at closing
2. No Deficiency, so the lender can not come after you for the balance of what’s owed on your note
3. Quick Turn Around time for approval (30 Days or less)
4. Peace of Mind

My team and I have successfully negotiated hundreds of HAFA Short Sale Approvals. If you’re upside down on your mortgage, this is the Golden Egg of Short Sales. Avoid Foreclosure and the headache of a standard short sale and contact us today for more information.

Please call me if you have any questions at 760-828-8181.

Debra Green

Latest Change with Bank of America Short Sale Process

Tue, 12 Apr 2011 09:57:27 GMT

April Technology Enhancements Drive Changes
to the Short Sale Process

Bank of America continues to improve the short sale process so agents can help homeowners avoid foreclosure.

In March, fields were added to the initiation page in Equator so Bank of America can identify which short sale the homeowner qualifies for and best fits their situation. Starting in April, a series of technology enhancements are being implemented to improve the short sale process.

Integrated Technology for Deals With an Offer and Without an Offer:
Agents can now initiate a short sale in Equator prior to marketing the property. The benefits of this type of "pre-offer program" include understanding the terms of the short sale and gaining investor agreement for a list price upfront in the process. In addition, the homeowner may qualify for a cash incentive and have their deficiency waived.

Short Sale Specialist Assigned Earlier in the Process:
If a short sale is initatied with an offer, a short sale specialist will be assigned in Equator earlier in the process. If a short sale is initiated without an offer, agents should be aware that many initial steps in the process require homeowner contact to determine program eligibility. Once the appropriate short sale program has been identified, a short sale specialist will be assigned and Equator will launch the agent tasks.

Action Required:

For status updates and immediate questions, agents should continue to contact Short Sale Customer Care at 1.866.880.1232.

Agents should use Equator messaging as the primary way to communicate with their short sale specialist.
Homeowner Documentation:
Short sale specialists are able to identify earlier in the process which homeowner documents, if any, are required. Depending on the homeowner's situation, the amount of documentation required may be significantly reduced. However, the short sale process will not move forward until all required homeowner documentation is provided.

Action Required:

Agents can message their short sale specialist to clarify which documents are required.
Agents should obtain these documents and upload them to the Equator Library under Property Files as soon as possible.

Initial Offer Evaluation:
If an offer is submitted that is significantly lower than current values, the offer may be rejected and the agent will be notified in Equator. The Submit Short Sale Offer task will reopen and a new offer must be submitted.

Action Required:

Agents should renegotiate with the buyer to agree on the highest and best offer and execute the new signed contract.
In order to complete the task, all supporting documents must be updated to reflect the current offer details.

Stay tuned for future communications and educational materials related to this series of technology enhancements.

Please call me with any questions or guidance through the short sale process at 760-828-8181.

Debra Green

CDPE

Certified HAFA Specialist

Distressed Sales in Southern California Remain High

Tue, 22 Mar 2011 09:47:02 GMT

Southern California’s distressed home sales – the combination of foreclosed home sales and short sales – made up more than half of February’s resale market.

Foreclosure resales accounted for 37.1 percent of resales last month, up from 36.8 percent in January but down from 42.4 percent a year earlier.

Short sales were an estimated 19.8 percent of SoCal’s February resales, up from an estimated 19.7 percent in January and 18.4 percent last year.

While foreclosure resales hit a low of 32.8 percent in June, they’ve since trended higher. Foreclosure resales peaked at 56.7 percent in February 2009.

Absentee and cash buyers – primarily investors – are purchasing these homes in record numbers.

Absentee buyers bought a record 26.1 percent of the Southern California homes sold in February, paying a median $198,000. Since 2000 when absentee data began, absentee buyers have purchased a monthly average of 16.2 percent of all homes sold.

Cash buyers accounted for a record 31.7 percent of February home sales, paying a median $200,000.

According to DataQuick, the February cash level was the highest for any month since 1988 at the start of data gathering.

“The January and February sales data can be interesting, but we always caution that historically they’ve been a poor barometer for the rest of the year,” said John Walsh, DataQuick president.

Walsh added, “What the past two months do tell us is that lots of people have bet, often with cash, that housing at today’s prices will prove a solid investment.”

Walsh predicts that this spring will see an infusion of more traditional buyers into the market who aren’t necessarily purchasing with an investor mindset.

If you are in a financial hardship and need guidance on what to do, please do not hesitate to call me. I am here to help in any way I can. Free service and no obligation.

Call: 760-828-8181 or Email: DebraGreenHomes@cox.net

Debra Green

Broker Associate

CDPE

Refinance Program for Underwater Borrowers Open Through Mid-2012

Tue, 15 Mar 2011 11:53:49 GMT

The Federal Housing Finance Agency (FHFA) has pushed the cut-off date for the Home Affordable Refinance Program (HARP) out by a year.

HARP is one of several mortgage aid programs under the administration’s Making Home Affordable umbrella. It allows homeowners who owe more on their mortgage than the home is worth obtain a new loan at today’s lower interest rates with the goal of pulling borrowers “above water” to get out from under plummeting property values.

The program, administered by Fannie Mae and Freddie Mac, was originally set to expire on June 30, 2011. FHFA has now extended the program through June 30, 2012.

Under the program, borrowers with mortgages owned by Fannie Mae and Freddie Mac, who are current on their

payments and whose loan-to-value (LTV) ratio is between 80 percent and 125 percent, can refinance into a lower-rate loan.

“The program expands access to refinancing for qualified individuals and families whose homes have lost value,” Edward DeMarco, FHFA acting director, explained in a statement.

In addition to HARP’s extension, FHFA announced changes to each GSE’s program parameters to better align the joint initiative.

Previously, qualifying loans for Fannie Mae had to have been made prior to March 2009, while for Freddie Mac it was prior to May 2009. Going forward, both companies will use the May 2009 cut-off date for program eligibility.

FHFA also said Freddie Mac will be required to exempt HARP loans from its recently announced pricing adjustments. Freddie announced last November that effective March 2011, it was increasing loan level fee pricing up to 50 basis points, depending on the borrower’s FICO score and LTV ratio. FHFA has instructed Freddie to exclude all HARP refinancing from the new fee structure.

DeMarco says HARP has grown substantially over the past year. Through 2010, Fannie Mae and Freddie Mac purchased or guaranteed more than 6.8 million refinanced mortgages. Of this total, 621,803 were HARP refinances with LTVs between 80 percent and 125 percent. This is up from 190,180 in 2009, when HARP began.

Please call me if you have any questions at 760-828-8181.

Debra Green

Foreclosure Sales in January Up, Permanent Mods Down

Sun, 13 Mar 2011 16:30:28 GMT

Data released Thursday on permanent loan modifications outpaced foreclosure sales in the month of January, the gap between the two is getting smaller.

In January there were around 101,000 permanent loan modifications completed, down from 111,000 in December 2010. There were 73,000 foreclosure sales during January, up from 58,000 in December 2010.

According to HOPE NOW, which is a voluntary industry alliance of mortgage servicers and other professionals, investors, and counselors, the number of Home Affordable Modification Program (HAMP) modifications came in at 27,957, and the number of proprietary loan modifications was 73,005.

The number of proprietary modifications has been steadily decreasing since September 2010.

The alliance also reported that 60-plus day delinquencies for the month were 3.08 million, compared to 3.03 million in December 2010.

“HOPE NOW is encouraged by the fact that the trend of permanent loan modifications to completed foreclosure sales continues to be favorable,” said Faith Schwartz, executive director of HOPE NOW. “Over the past year, the industry has completed almost two million loan modifications for homeowners at risk of foreclosure.”

She continued, “The combination of government modifications and private modifications continues to make a meaningful difference in preserving homeownership and preventing foreclosures.”

Please call me if you have any questions at 760-828-8181.

Debra Green

Bank of America Tests New Short Sale Program

Thu, 19 Aug 2010 16:59:16 GMT

Bank of America is continuing its commitment to help more homeowners and work with agents through the short sale process. Due to our close working relationship with Bank of America, we received the following message about a new program they’re testing to streamline and incentivize short sales – similar to the HAFA program. This small initial push will make way for assessments of a larger-scale rollout. Bank of America knows the value of working with agents, especially CDPEs, in providing solutions to distressed homeowners. We will post updates, statistics and news about the program as they provide us with more information — you’ll see it here first!

Bank of America is committed to helping homeowners avoid foreclosure. As most of our partners are aware we have been diligently working to develop alternative short sale programs to solve some of the fundamental issues inherent in the traditional short sale process. Prior to rolling out the government’s Home Affordable Foreclosure Alternatives (HAFA) Short Sale program in April we’d begun a pilot program we refer to as a Cooperative Short Sale. It is structured similarly to HAFA in that we work with the homeowner and agent prior to marketing the property to gain agreement on the terms of the short sale so that once an offer is received the approval is streamlined. The objective is to utilize this program for customers that do not qualify or fallout of the HAFA program. HAFA is always considered first and no HAFA eligible loans will be included in the program.

The Cooperative Short Sale program is still being developed and tested. Under the current pilot we are proactively reaching out to homeowners who have been pre-screened to meet specific eligibility requirements. Examples of the eligibility requirements include asset reviews, no second liens or MI on the loan, and participating investors. Based on our pre-review, these customers may have limited documentation required for the program. We have other versions of the program for customers who fall into segments that may require more documentation. This very limited population of customers is notified via letter if they have been selected for inclusion in any test programs. Additionally, various execution methods have been used during testing including 3rd party organizations and internal teams handling all communications. Note that although these methods are useful to quickly rollout a small pilot they are not always feasible for full scale rollout.

Other similarities of the pilot program to HAFA include:

We will work with the customer prior to listing the home to help establish the listing price using a valuation to determine fair market value.

We will ask that the property be actively marketed for 120 days. If it does not sell in that time, we will consider a deed-in-lieu of foreclosure to satisfy the mortgage.

Since the appraisal and qualifications are completed upfront, short sale approval will take less than two weeks to complete.

Results from the pilots will be used to design the upcoming expansion of the program. Announcements will be made when we expand this program beyond the pilot and will outline details of the program.

Thank you for your continued support of distressed homeowners as we all work together to help make short sales a more positive experience for homeowners, homebuyers, and the agents that support them.

If you are a homeowner and need any further assistance, please call me at at 760-828-8181 or email DebraGreenHomes@cox.net.

Debra Green

HAFA UPDATE

Wed, 07 Jul 2010 11:22:02 GMT

Please call me if you have any questions at 760-828-8181.

Debra Green

Freddie Mac Short Sales up 600%

Tue, 29 Jun 2010 17:14:48 GMT

No Surprise to CDPEs: Freddie Mac Short Sales up 600%

It didn’t take an official statement from Freddie Mac’s CEO to convince CDPEs — the agents helping distressed homeowners on a daily basis — that short sales have increased dramatically across the country. However, the number was still impressive and makes a big statement on a movement within the real estate industry to provide real solutions to homeowners facing foreclosure. Here’s what Housing Wire reported:

Freddie Mac CEO Ed Haldeman said the company has seen the number of its short sales increase 600% from 2008 as lenders look to dampen the impact of foreclosures hitting the marketplace.

In a statement put out this week, Haldeman said Freddie Mac is doing everything it can to prevent more foreclosures, and that short sales are becoming an ever-popular tool in situations where foreclosure is imminent and modifications have failed.

That number could increase as the Home Affordable Foreclosure Alternatives (HAFA) program takes hold. The Treasury Department launched it in April to provide cash incentives to servicers for conducting short sales and deeds-in-lieu of foreclosure.

Great to hear, don’t you think?

We feel this is yet another testament to the incredible work by CDPEs being done on behalf of homeowners who need the most assistance. Short sales look to continue their leadership in the marketplace, and we look forward to releasing more information to our members on Freddie Mac and Fannie Mae’s HAFA programs on August 1, 2010.

Please call me if you have any questions at 760-828-8181.

Debra Green, CDPE

Loan ban aims to discourage some defaults

Thu, 24 Jun 2010 11:10:25 GMT

Loan ban aims to discourage some defaults

FANNIE MAE

ASSOCIATED PRESS

Government sponsored mortgage purchaser Fannie Mae is trying to encourage distressed homeowners to find alternatives to foreclosure by banning those who walk away from getting new loans for seven years.

Troubled borrowers, who don’t try in good faith to work out a deal, but have the capacity to pay, are targeted by the policy announced Wednesday.

“Walking away from a mortgage is bad for borrowers and bad for communities, and our approach is meant to deter the disturbing trend toward strategic defaulting.” said Terence Edwards, executive vice president for credit portfolio management.

A strategic default occurs when a homeowner stops making payments on a mortgage despite being able to do so.

It has become increasingly common in communities where housing values fell sharply and homeowners are “underwater.” Or owe more than their houses are worth.

UNDERSTANDING HAFA

Behind on Payments?

New Alternatives are Available.

To find out if you are eligible for this program, download this free report at my site:

http://sdshortsaleoptions.com/

Free Service No Obligation!

Or Contact

Debra Green, CDPE

760-828-8181

Lic #00701205

REO Sales Drop as Short Sales Increase

Wed, 26 May 2010 15:30:50 GMT

REO Sales Drop as Short Sales Increase: Report

With distressed borrowers increasingly turning to short sales as an alternative to foreclosure, the proportion of damaged foreclosure properties, otherwise known as REO, sold during April plunged, according to an industry report released this week. The survey found that short sales represented the largest portion of the distressed property housing market in April, accounting for 17.9 percent of all transactions. And as short sales surged, the portion of damaged REO transactions fell to 12.8 percent in April from 15.4 percent in March.

Please call me if you have any questions at 760-828-8181.

Debra Green. CDPE

Short Sale Myths

Sun, 02 May 2010 15:19:00 GMT

Short Sale Myths

A short sale can be an excellent solution for homeowners who must sell and owe more on their homes than they are worth. Unfortunately, a number of myths about short sales have developed, and it is important to understand the reality of this process should you find it meets your current needs.

Myth #1 – The Bank Would Rather Foreclose than Bother with a Short Sale

This is one of the most common misconceptions. The reality is that banks do not want to foreclose on your property because the foreclosure process is incredibly costly. Banks, investors, and even the federal government have all publicly stated that if a person is qualified for a short sale, the deal needs to be considered. Overwhelmingly, banks receive more on their investment through a short sale than a foreclosure.

The qualifications for a short sale include:

Financial Hardship – There is a situation causing you to have trouble affording your mortgage.
Monthly Income Shortfall – “You have more month than money.” A lender will want to see that you cannot afford, or soon will not be able to afford your mortgage.
Insolvency – The lender will want to see that you do not have significant liquid assets that would allow you to pay down your mortgage.

Myth #2 – You Must Be Behind on Your Mortgage to Negotiate a Short Sale

While this may have previously been the case, today lenders are looking for verifiable hardship, monthly cash flow shortfall, or pending shortfall and insolvency.

If you meet these three requirements and believe that you soon may be unable to afford your mortgage, act immediately. Any delay could limit your options. Do not wait until the countdown clock to foreclosure has started and you have even less time left.

Myth #3 – There is Not Enough Time to Negotiate a Short Sale Before My Foreclosure

This is a myth that probably hurts homeowners the most. Many do not realize that foreclosure is a process, and that there is time to make decisions that may result in better outcomes.

The foreclosing party—in most cases a lender—can stall a foreclosure up to the final day of the process. Today, many lenders will stall a foreclosure with as little as a phone call from you explaining that you are trying to sell, and almost all lenders will stall a foreclosure with a legitimate contract. For real estate professionals who understand foreclosures and short sales, there is time available until the foreclosure process is complete.

Myth #4 – Listing My Home as a Short Sale is an Embarrassment

It is understandable to have reservations about letting the world know that you owe more on your home than it is worth. However, according to recent estimates, more than one out of eight homeowners in the U.S. is in the same situation. You are to be congratulated for admitting you need help, taking action, and finding a professional who can work with you toward a solution.

With recent estimates showing 40-60% of U.S. sales will be short sales or foreclosures, you are not alone.

Myth #5 – Short Sales are Impossible and Never Get Approved

This is a complete falsehood. Are short sales more difficult to execute? Yes. Do you, as a homeowner, need to learn about a new process? Yes. Are they impossible? Absolutely not.

For example, agents with the Certified Distressed Property Expert® (CDPE) Designation receive thousands of short sale approvals on a monthly basis. These professionals have undergone extensive training in methods to help homeowners in distress and process short sales. While there are no guarantees in any transaction, more and more short sales are being approved regularly. This is far from an impossible process.

Myth #6 – Banks are Waiting on a Bailout and Not Accepting Short Sales

You may have heard this, but the reality is that banks (and the U.S. government) are trying to do anything they can, within reason, to avoid foreclosing on properties. It is preposterous to believe they would deny a short sale in hopes that some future legislation would pass and pay them for losses.

Today, more banks are aggressively pursuing short sales and working with agents who understand how to process them. Freddie Mac recently hosted a national training Webinar for real estate agents where they expressly stated the organizational goal of “eliminating distressed assets through modification or short sale.”

Myth #7 – Buyers are Not Interested in Short Sale Properties

This is a myth that potential sellers hear all the time. Thankfully, this is just not true. In fact, many agents are getting calls from buyers who say they only want to look at foreclosure and short sales.

For buyers, short sales and foreclosures have become synonymous with “good deals.” More specifically, international buyers are targeting these properties. Listing with an experienced agent who is educated in the short sale process will provide you with a great chance of quickly seeing a contract on your property.

In conclusion, Agents with the CDPE Designation have been trained in all aspects of the short sale process, and know how to deal with the parties involved in foreclosures. Finding a CDPE can explain what options you have, and get you on the path to recovery.

Please call me if you have any questions at 760-828-8181.

Debra Green

What is HAFA

Thu, 01 Apr 2010 17:04:06 GMT

Home Affordable Foreclosure Alternatives Program - Short Sale

A "short sale" is specifically designed to help borrowers who are unable to afford their first mortgage and want to sell their home to avoid foreclosure, even if the sale price may not pay off the amount owed on their mortgage. A short sale requires a number of parties (you, the buyer, your real estate broker, and sometimes mortgage insurance companies and other lenders) to work together to make this option successful. However, it could be a good solution for your current situation.

If you are looking for help in selling your home and avoiding foreclosure, the federal government has introduced the HAFA Program to help you. As your Real Estate Agent, I am offering my services, free and no obligation to offer my guidance and help with this program and to see if this would be a good solution for your current situation.

The Home Affordable Foreclosure Alternatives (HAFA) Program offers a set of guidelines and financial incentives to lenders in order to streamline and simplify the short sale and deed-in-lieu of foreclosure process. The program is overseen by the US Treasury Department, administered by Fannie Mae and executed by participating lending institutions, on April 5, 2010 the program will activate and run until December 31, 2012, unless extened.

For further updates on HAFA check back on April 7, 2010, or to get started now call 760-828-8181, or email debragreenhomes@cox.net.

The above brokerage assumes no responsibility nor guarantees the accuracy of this information and is not engaged in the practice of law nor gives legal advice. It is strongly recommended that you seek appropriate professional counsel regarding your rights as a homeowner..e brokerage assumes no responsibility nor guarantees the accuracy of this information and is not engaged in the practice of law DRE Lic 00701205

Introduction to HAFA

Sun, 28 Mar 2010 19:25:31 GMT

Introduction to HAFA

Active On : April 5, 2010
Overseen By US Treasury Department
Administered By: Fannie Mae
Executed By: Participating lending institutions
Participating Bill(s) ! Home Affordable Modification Program (HAMP)
Focus: Aids eligible homeowners by pre-approving short sales before listing and releasing them from future liability for the first mortgage debt.
Expiration : December 31, 2012

What is HAFA?

The Home Affordable Foreclosure Alternatives (HAFA) Program is a government-sponsored initiative led by the US Treasury Department assisting all Home Affordable Modification Program (HAMP)-eligible homeowners in avoiding foreclosure, specifically through short sales or deeds-in lieu. First introduced November 30) 2009 in Supplemental Directive 09-092 as part of HAMP, HAFA assists eligible homeowners in quickly and effectively implementing short sales by providing financial incentives to lenders that work in conjunction with HAMP to assist homeowners in need. The program was introduced in part with the intent to remove the stigma from short sales and help keep communities from being destroyed through massive foreclosures". HAFA in its current state is only applicable to conventional-type, non-Government Serviced Enterprises (non-GSE) mortgages and therefore does not apply to loans affiliated with Fannie Mae or Freddie Mac. These organizations may have plans to release their o wn versions of HAFA.

Debra Green
Sea Coast Exclusive Properties
760 828-8181
dtgreen96@cox.net
http://SDshortsaleoptions.com

For further updates on HAFA check back on April 1^st, 2010, or to get started now call 760-828-8181, or email debragreenhomes@cox.net.

What is HAFA?

Sun, 28 Mar 2010 12:38:57 GMT

Home Affordable Foreclosure Alternatives Program - Short Sale

For further updates on HAFA check back on April 7, 2010, or to get started now call 760-828-8181, or email debragreenhomes@cox.net.

Foreclosure Avoidance Options

Tue, 26 Jan 2010 20:16:20 GMT

Foreclosure Avoidance Options

Foreclosure is one of the most devastating financial challenges that a family can face and one that many times can be avoided. The options available to residents for foreclosure are many, including but not limited to short sales. Following is a brief explanation of these solutions:

Reinstatement

A reinstatement is the simplest solution for a foreclosure, however it is often the most difficult. The homeowner simply requests the total amount owed to the mortgage company to date and pays it. This solution does not require the lender's approval and will 'reinstate' a mortgage up to the day before the final foreclosure sale.

Forbearance or Repayment Plan

A forbearance or repayment plan involves the homeowner negotiating with the mortgage company to allow them to repay back payments over a period of time. The homeowner typically makes their current mortgage payment in addition to a portion of the back payments they owe.

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 typically result in a lower payment to the homeowner and a more affordable mortgage.

Rent the Property 

A homeowner who has a mortgage payment low enough that market rent will allow it to be paid, can convert their property to a rental and use the rental income to pay the mortgage.

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

Bankruptcy

Many have considered and marketed bankruptcy as a 'foreclosure solution,' but this is only true in some states and situations. If the homeowner has non-mortgage debts that cause a shortfall of paying their mortgage payments and a personal bankruptcy will eliminate these debts, this may be a viable solution.

Refinance

If a homeowner has sufficient equity in their property and their credit is still in good standing, they may be able to refinance their mortgage.

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 their debt was entered into prior to deployment, they may qualify for relief under the Servicemembers Civil Relief Act. The American Bar Association has a network of attorneys that will work with servicemembers in relation to qualifying for this relief.

Sell the Property

Homeowners with sufficient equity can list their property with a qualified agent that understands the foreclosure process in their area.

Short Sale 

If a homeowner owes more on their property than it is currently worth, then they can hire a qualified real estate agent to market and sell their property through the negotiation of a short sale with their lender. This typically requires the property to be on the market and the homeowner must have a financial hardship to qualify. Hardship can be simply defined as a material change in the financial stability of the homeowner between the date of the home purchase and the date of the short sale negotiation. Acceptable hardships include but are not limited to: mortgage payment increase, job loss, divorce, excessive debt, forced or unplanned relocation, and more.

This represents only a summary of some of the solutions available to homeowners facing foreclosure. Locate a CDPE in your area for an evaluation of your individual situation, property value, and possible options.

Understanding your options now could mean all the difference in the world.

A CDPE can help.

Debra Green

What is a Short Sale?

Mon, 25 Jan 2010 10:55:13 GMT

What is a Short Sale?

A short sale can be an excellent solution for homeowners who need to sell, and who owe more on their homes than they are worth. In the past, it was rare for a bank or lender to accept a short sale. Today, however, due to overwhelming market changes, banks and lenders have become much more negotiable when it comes to these transactions. Recent changes in corporate policy and the Obama administration have also improved the chances of getting a short sale approved.

But to be technical, here's a more official definition:

A homeowner is 'short' when the amount owed on his/her property is higher than current market value.
A short sale occurs when a negotiation is entered into with the homeowner's mortgage company (or companies) to accept less than the full balance of the loan at closing. A buyer closes on the property, and the property is then 'sold short' of the total value of the mortgage.

For homeowners to qualify for a short sale, they must fall into all of the following circumstances:

Financial Hardship – There is a situation causing you to have trouble affording your mortgage.
Monthly Income Shortfall – In other words: "You have more month than money." A lender will want to see that you cannot afford, or soon will not be able to afford your mortgage.
Insolvency – The lender will want to see that you do not have significant liquid assets that would allow you to pay down your mortgage.

Please call me if you have any questions at 760-828-8181.

Debra Green

Options and Solutions

Thank you for visiting this site and taking the first step toward finding answers. I appreciate what it has taken for you to come here, and commend your efforts to get the facts about your situation. The current real estate environment can be frustrating, with misinformation and conflicting plans for how to proceed.

As a real estate agent, what I often see in troubled homeowners is a belief that they are alone with their challenges. Regrettably, over 70% of homeowners in foreclosure proceed without ANY visible assistance. This is not acceptable for the communities I serve.

That's why I've developed this site: to ensure you get the valuable resources that can reduce your financial strain and change your life for the better. As a CDPE I know the options for homeowners in foreclosure or delinquent on their mortgages, and I can send you a report detailing this information, prepared just for you.

Simply enter your information below and click "Send." I hope that you will review this information carefully, so that your next steps are the right steps toward a real solution.

Let me help you evaluate your options and get back on track to a solid, stable future.