Because the selection of an Escrow Holder is not usually critical to either principal in a transaction, real estate brokers have in the past played a large role in deciding where a transaction would be escrowed. In recent years, however, there has been an increasing effort on the part of federal and state regulators to minimize the influence of the broker in selection of the escrow holder. The rationale is that buyers and sellers have the right and should have the opportunity, to CHOOSE and compare escrow services and charges, if they so desire to negotiate between themselves as to where escrow will be held.

This past year, I have seen an increase on the Buyers and Sellers having a say so on choosing an escrow holder. They are shopping around and comparing prices, along with the Escrow Officer's experience and knowledge. Realtors and including Mortgage Brokers are having less choices with directing escrow.

As a consumer, we always have the option on choosing whom we want for services when we are paying for those services. So in the future, don't be afraid to speak up and make suggestions as to whom you would like to handle your escrow. Always shop around. You do so when you choose a Realtor, Mortgage Broker, Insurance Agent, etc. so why not for ESCROW?

Also, remeber that there are differences as to what type of Escrow Company handles your escrow. And the Escrow Officer will also make a difference.

So if you are in the process of Selling, Buying or Refinancing, this something to always consider. Either way, GOOD LUCK with ESCROW!

Most recently, frequently I have been asked, What is a Reverse Mortgage?

From what I understand, A "reverse" mortgage is a loan against your home that you do not have to pay back for as long as you live there. With a reverse mortgage, you can turn the value of your home into cash without having to move or to repay the loan each month. The cash you get from a reverse mortgage can be paid to you in several ways:

• all at once, in a single lump sum of cash;
• as a regular monthly cash advance;
• as a "credit line" account that lets you decide when and how much of your available cash is paid to you; or
• as a combination of these payment methods.

No matter how this loan is paid out to you, you typically don't have to pay anything back until you die, sell your home, or permanently move out of your home. To be eligible for most reverse mortgages, you must own your home and be 62 years of age or older.

But don't take my word for it. Always consult with your Reverse Mortgage Loan Officer for any further questions or concerns regarding a "reverse" mortgage. I work with Scott Sealey, whom I believe is a very well seasoned reverse mortgage specialist. Feel free to contact him if you have any further questions.

"OLE! A Summer Night in Sevilla"

Details: Thursday, July 31, 2008, 6:30pm- 1:30am Admission: $20 per person. Admission includes complete event package including Complimentary Red and White Sangria, Complimentary Spanish/ Latin Wine Tasting, Live Flamenco Ensemble, Flamenco Dance Performances, Complimentary Spanish Tapas and Appetizers, Veronica Loren, Live Salsa Band L u c k y   7, DJ, dancing and more. Admission to be paid at the door.

Attire: Professional/ Cocktail Attire is STRONGLY Recommended. It is encouraged that gentlemen wear suit and tie and/or coat. It is encouraged that ladies wear cocktail/ professional attire.

Villa Sorriso Risorante and Martini Bar
168 W. Colorado Blvd.,
Pasadena, CA 91105
See Yahoo Map

For further information (213) 792-0877

Villa Sorriso is located at the west end of Old Town Pasadena on Colorado Blvd.

Previous LPN Events include "Havana Nights" at J Lounge, "Una Noche en Guadalajara" at Bonaventure, and "A Night in Rio" at J Lounge!

(Due to the complimentary tasting, all attendees must be of legal drinking age, and identification is required.)   

RSVP NOW!

MOTHERS and MOMS

This is for the mothers who have sat up

all night with sick toddlers in their arms,

wiping up barf laced with Oscar Mayer

wieners and cherry Kool-Aid saying,

'It's okay honey, Mommy's here.'

Who have sat in rocking chairs for hours on end soothing crying babies who can't be comforted.

This is for all the mothers who show up at

work with spit-up in their hair and milk stains

on their blouses and diapers in their purse.

For all the mothers who run carpools and

make cookies and sew Halloween costumes.

And all the mothers who DON'T.

This is for the mothers who gave birth to

babies they'll never see. And the mothers

who took those babies and gave them homes.

This is for the mothers whose priceless art

collections are hanging on their refrigerator doors.

And for all the mothers who froze their buns on metal bleachers at football or soccer games instead of watching from the warmth of their cars. 
And that when their kids asked, 'Did you see me, Mom?' they could say,  'Of course, I wouldn't

have missed it for the world,' and mean it.

This is for all the mothers who yell at their kids in the grocery store and swat them in despair when they stomp their feet and scream for ice cream before dinner. And for all the mothers who count to ten instead, but realize how child abuse happens.

This is for all the mothers who sat down with

their children and explained all about making

babies. And for all the (grand)mothers who

wanted to, but just couldn't find the words.

This is for all the mothers who go

hungry, so their children can eat. 

 For all the mothers who read 'Goodnight,

Moon' twice a night for a year. And then

read it again, 'Just one more time.'

This is for all the mothers who taught

their children to tie their shoelaces before

they started school. And for all the mothers

who opted for Velcro instead.

This is for all the mothers who teach their sons

to cook and their daughters to sink a jump shot.

This is for every mother whose head turns automatically when a little voice calls 'Mom?'

in a crowd, even though they know their

own offspring are at home -- or even away

at college -- or have their own families.

This is for all the mothers who sent their kids

to school with stomach aches, assuring them

they'd be just FINE once they got there, only

to get calls from the school nurse an hour later

asking them to please pick them up. Right away.

This is for mothers whose children have gone

astray, who can't find the words to reach them.

For all the mothers who bite their lips until they

bleed when their 14 year olds dye their hair green.

For all the mothers of the victims of

recent school shootings, and the mothers

of those who did the shooting.

For the mothers of the survivors, and the mothers who sat in front of their TVs in horror, hugging their child who just came home from school, safely.

This is for all the mothers who taught their

children to be peaceful, and now pray

they come home safely from a war.

 
What makes a good mother anyway?

Is it patience? Compassion? Broad hips? 
The ability to nurse a baby, cook dinner, and

sew a button on a shirt, all at the same time?

Or is it in her heart? 
Is it the ache she feels when she

watches her son or daughter disappear

down the street, walking to school alone

for the very first time?

The jolt that takes her from sleep to

dread, from bed to crib at 2 A.M. to put

her hand on the back of a sleeping baby?

The panic, years later, that comes again

at 2 A.M. when she just wants to hear

their key in the door and know they

are safe again in her home?

Or the need to flee from wherever she is

and hug her child when she hears news

of a fire, a car accident, a child dying?

The emotions of motherhood are

universal and so our thoughts are for

young mothers stumbling through diaper

changes and sleep deprivation...

And for mature mothers learning to let go.

For working mothers and stay-at-home mothers.

Single mothers and married mothers.

Mothers with money, mothers without.

This is for you all. For all of us...

Hang in there. In the end we can

only do the best we can. Tell them

every day that we love them. And pray

and never stop being a mother...

It's Friday today, and My husband and I have plans to go watch a movie. Since we haven't done so in a while. While searching reviews and reading up on what good movie is out there, I ran into "Closing Escrow" the movie. LOL! Someone actually made a movie about selling and closing escrow? I am curious to see how this turns out. There is nothing like the real deal on working hands on closing an escrow. This movie looks funny. Lets see how this turns out.

Has anyone seen this yet? Their official site is hilarious.

Any suggestion on what I can watch tonight? Anything from Drama, Action, to Comedy.

Whatever your plans are for this weekend, make it a great one! 

What is a Short Sale?

A Short payoff sale is generally defined by loan loss mitigation professionals, as:

A sale in which a lender allows the property securing a mortgage or deed of trust loan to be sold for less than the existing loan balance, due to factors such as the Borrower's financial circumstances, the property's physical condition, and local real estate market conditions.

Most lenders will only approve a short sale as a last resort:

• The property was purchased or refinanced at the top of a seller's market at an over-inflated price and has had a substantial drop in value.
• The property is located in an area where property values have dropped due to a dramatic change in the local real estate market.
• The borrower has a true hardship or circumstance that is beyond the borrower's control.
• The property's "as-is" condition has deteriorated to the point where it's not financially feasible for the lender to put it in a marketable resale condition.
• The proposed purchase price is more than the lender would be able to sell the property for after foreclosing on the loan.
• Any sales commission the lender must pay is less than what they would have to pay to sell the property after foreclosing on the loan.

Six Factors lenders consider during the Short Sale for approval:

• The borrower's overall financial condition.
• The property's "as-repaired" value.
• The property's "as-is" value.
• The cost to put the property into resale condition.
• The cost of securing and maintaining the property while it is being marketed for resale.
• The cost of marketing and selling the property.

Other Factors that influence a lenders willingness to approve a Short Sale:

• The number of non-performing loans that the lender has in their portfolio.
• The financial condition of the third party investor who owns the loan.
• The lenders overall financial condition.
• The loss mitigation policy of the third party investor who owns the loan or the lender servicing the loan.
• The loss mitigation policy and procedures of the government agency insuring the loan.

As Nikki stated, It is crucial that the Seller obtain advice from either his/her attorney or CPA to verify that selling of their home with a short sale is in their best interest.

Contact an Escrow Officer when you're ready to open a Short Sale Escrow. 

So many of you may or may not know that I am a Cigar Aficionada. It's been sometime now that I was introduced to cigars by my one and only David.

Since than, I have explored and have found myself to enjoy several cigars.

Some of my favorite lines are CAO, Cohiba, Arturo Fuente, among others. I stick to the Medium to Bold lines, as I've noticed that my taste buds have increased, due to the amount of caffeine I intake. Coffee is a must have everyday. But depending on my mood, my smokes change. That's the beauty of cigars. There is something for everyone. Every mood and taste bud. It is indeed an acquire taste.

I don't know many women that smoke cigars, but I sure do try to have them join me. 

Here's Gaby Herrera (an agent I work with) and Meme, enjoying a cigar! She had a great time with me that day. And was Happy for the experience. I'm sure to enjoy much more cigars with the gal. So if you haven't had the change to have a smoke, try it! For me, it is a stress reliever. And I truly enjoy it.

If you're a woman and want to get into smoking cigars, check out these sites.

Vegas Santiago, Cigars for Women, Cigar Cyclopedia, CR Cigars, and Cigar Woman. Enjoy exploring!

I am always surprised to hear "What is an Escrow Officer?". I can't believe I still get asked that question. But I know there are still some out there that have No Idea what an Escrow Officer is nor what an Escrow Officer does.

Escrow officers facilitate the sale or refinancing of a property by receiving, holding, and transferring funds, deeds, and other legal papers in accordance with agreements made between buyers and sellers or the lender's instructions.

Escrow Officers or Settlement Agents are the head of a real estate transaction. We process most of the paperwork involved in a refinance or sale transaction. We coordinate with the Title Company, Real Estate Agents, Mortgage Brokers/Loan Officers, Insurance Agents, Payoff Lenders, Notaries, Homeowner's Associations/Property Management, Attorney's and any other parties involved in a transaction.

We Escrow Officers have a lot on our plate. That's why we consist of a unit. We have Escrow Assistants to help with the work load. Which consist on some of the following:

ESCROW OFFICER - Escrow Officers (including levels I, II or Junior, Senior) have the following responsibilities:

• Responsible for the final determination of accuracy of escrow documents, verification of receipt of monies necessary to close, and present for the signing of closing documents.
• Oversees all work performed by escrow assistant.
• Serves as the communication link to all parties involved in the transaction.
• Strives to profit excellent service in order to assure repeat and referral business.

Principal Duties and Responsibilities:

• Prepare escrow instructions.
• Request a preliminary title search to determine the basis upon which a title insurance policy may be issued.
• Request a beneficiary's statement or pay-off demand relating to existing financing.
• Comply with lender's requirements, specified in the escrow agreement.
• Receive purchase funds from the buyer.
• Prepare and secure the deed or other documents related to escrow.
• Prorate taxes, interest, insurance and rents according to instructions.
• Secure releases of all contingencies or other conditions as imposed on any particular escrow.
• Record deeds and any other documents as instructed.
• Request issuance of the title insurance policy.
• Close escrow when all the instructions of the buyer and seller have been carried out.
• Disburse funds as authorized by insurance, including charges for title insurance, recording fees, real estate commissions and loan payoffs.
• Prepare final statements for the parties accounting for the disposition of all funds deposited in escrow.

To read more on a description of what escrow people do, click here.

Hope this helps on giving you an insight of what we do for YOU! If you ever have any questions regarding escrow, please don't hesitate on contacting me. It's a pleasure to be of help!

I am often asked if it is necessary to obtain and deliver property disclosure reports to a buyer, although the property is being sold "AS IS".

Well, California has several laws regarding natural hazard, property tax and environmental disclosures during a real estate transaction.                                                                                                      

In general, there are two types of disclosures:

1. Actual Knowledge

You are required to disclose "actual knowledge" if you know of issues that affect the value or desirability of your property. Possible examples are drainage problems or an old heating oil tank on your property or the stone quarry 5 miles down the road whose trucks rumble by at 6:00am every weekday morning. Your agent will provide you with more information on how these disclosures are simply and routinely addressed on a form called the Transfer Disclosure Statement (TDS). This form has a number of questions to answer and you are required by Law to complete it using the best of your knowledge. Your agent is also mandated to make a visual inspection. Don't worry, it's simply a disclosure process an agent is required to undertake. If your home was built before 1960, your agent will also provide you with the "Homeowners Guide to Earthquake Safety" booklet to complete and give to your buyers. Your agent may also be providing other disclosures and booklets to the buyers. These are simply standard items used in today's residential transactions.

2. Public Knowledge                                                                    

Certain public information such as mapped flood zones, environmental information and potential geologic, flood and fire hazards are determined by state and local jurisdictions. Such hazards may be shown on officially published maps in order to make the information available to all.

Disclosure of certain, specific information is mandated by state, local or federal laws, while other publicized information is prudent and advisable to disclose in order to help protect all parties as well as decrease your own liability exposure. There may be other disclosures applicable to your property also. A special tax assessment disclosure requirement pertains to Mello-Ross and 1915 Bond Act districts due, in part to certain accelerated foreclosure provisions.

What are the benefits to You as the Seller?

Disclosure is in the best interest of all parties involved in selling a home. The idea of "Buyer Beware" no longer holds true in today's real estate market. As the Seller, view disclosures in a positive light. It helps protect you and limit your liability. When Buyers are informed through disclosures, there are fewer complaints, miscommunication, and lawsuits. Dealing with disclosure issues from the beginning can help ensure that the transaction will close smoothly with all parties satisfied, when it comes to disclosures.

So, whether it is a For Sale By Owner or an Agent representation real estate transaction, it is always best to obtain the property disclosure reports.

"AS IS" means the Buyer is buying the property without repairs or inspections. Property Disclosures are just that, Disclosures.

Major companies where you may order property disclosures are First American Natural Hazard Disclosures, LGS Reports, and Property I.D.  

So invest a little money wisely and order and obtain these types of reports. Make sure to have a copy delivered to your Escrow Officer, to ensure that it is paid through escrow and/or delivered to the Buyer for approval and receipt of a report as well.

As an Escrow Officer, I run into daily requests for things that are NOT within my job description.

I already have a lot to do as an Escrow Holder. But over the years, in order to obtain more business from real estate agents and brokers, Escrow Officers have been taking on more and more responsibilities that are not within their duties. As a result, MOST not ALL, Real Estate Agents and/or Brokers have stopped doing their job and are getting lazier and lazier each day. Mind you, Real Estate Agents get paid at an average 3% to 6% commission off of the purchase price to represent a principal (Seller or Buyer) in a real estate transaction.

So why I ask, is it that we Escrow Officer's are asked to do their job? And why, as an Escrow Officer, would you overwhelm yourself with more duties that don't belong to you? 

I get a call from a Listing Agent the other day, asking me for Property Disclosures, Home Warranty Plan, Residential City Report, Termite Report, and Retrofitting Information. I told him I wasn't in receipt of those items, not immediately knowing he was the listing agent. He says "Why? Why don't you have those items?", I say "Because, I haven't been provided with such items from the listing agent". He said "I am the listing agent, and what do you mean they haven't been provided to you? You were supposed to take care of that. That is part of your job!. The other escrow companies I use AlWAYS obtain that information for me!". Ok, if he would had said that nicely, I would've responded much nicer. So I respond with "Well, that is NOT my job. And honestly, I don't know WHY they do that for you if it is NOT their duty to order nor obtain that information. That is the reason why you get paid a nice commission through the file, to do that. That is YOUR responsibility and job to do, not mine. So go ahead and take care of ordering and obtaining that information and forward it to me when you get them or...you can have them sent to me directly and I'll make sure to deliver it to the Buyer for acknowledgement and approval of same". He was speechless for a second. Than says "You're Right, that is my job. I didn't mean to be out of line with you. I will take care of getting that for you". Well, well....lookie here, NOW that is his job.

In the past, in my early years in escrow, I took care of ordering and obtaining most of the information for my agents. Because that is what I had to do to obtain their business. But one day, I was so overwhelmed with my own duties that I finally said NO! What I started doing is reminding them on my cover sheets to make sure to provide me with that information, as I needed it prior to closing. And to the newest agents I got, I did the same. I stopped taking on more responsibilities and duties that weren't mine. Escrow IS NOT supposed to be ordering and obtaining these type of reports and disclosures. For years, they've been doing it as an accommodation. The Escrow Holder is limited to knowing the specifics of a property and if that information isn't provided to the companies that issued such reports/disclosures, well...guess who can be held liable for them? That's right! Escrow!

In an undisclosed settlement, a Buyer vs Chicago Title won a lawsuit because the Escrow Officer ordered a Home Warranty and forgot to disclose a small unit above the garage that wasn't covered under the Home Warranty Plan. So, to ALL Escrow Officers and/or assistants/escrow personnel, STOP! stop taking on more duties and responsibilities that don't belong to you.

Real Estate Agents and Brokers are getting too spoiled, while making big bucks to do almost anything. Don't get me wrong, I spoil my agents and I spoil them ALOT! but not in that sense. I spoil them with being responsive. Getting ALL their calls, e-mails, faxes and being available to them at ALL times. I spoil them with MY SERVICE. Not with doing their job. The way I see it, is if I can be held liable for something, than I just won't do it. I've worked too hard and too long to throw my career out the window, just like that. You can be sued financially also. Not just your company. Unless I earn millions in escrow, than bring it on! 

Agents, in California, Escrow is only to comply with Section 28 of the California Residential Purchase Agreement and with our own Escrow Instructions. Please be a little more considerate of us. We work really hard day in and day out to coordinate your transaction for a smooth closing. WE ARE the head of the transaction and with no one cooperating on their end, we CAN'T proceed with a Closing. I think it is unfair, that we are the first ones to get the finger pointed to. WE wait on all of you to move. It's not the other way around. So be a good sport and HELP your Escrow Officer make your deal a smooth one.