Noel's Blog

Please Help Find Kayla-Found!

Noel Padilla, CDPE (Surreal Properties, LLC.) — Thu, 15 Oct 2009 19:54:31 -0500

Kayla was located this morning. Details are sketchy but I truelly believe in the power of positive energy and I have no doubt all your thoughts, well wishes and prayers for a safe return brought Kayla home! Thank you all again.

Noel

I am reaching out to the awesome realtor community to help find a friend's daughter who went missing 10-12-2009. Please forward this link to as many people as possible and feel free to post on any and all of your social networking websites.

MISSING IF YOU HAVE INFORMATION ABOUT KAYLA MARIE ROSA CALL DETECTIVE RODRIGUEZ AT 305-224-5418 KAYLA MARIE ROSA

Missing From: HOMESTEAD, FL

Date Missing: October 12, 2009

Date of Birth: Nov. 14, 1993

Age: 15

Sex: Female

Height: 5’6”

Weight:155

Build: Medium

Eyes: Brown

Hair: Brown curly hair just past shoulders.

Often wears her hair straightened with a flat iron.

Race: Bi-Racial: Hispanic/White

Complexion: Light skin

Clothing: Kayla was wearing khaki school uniform pants, white polo uniform shirt with black hi-top Nike tennis shoes. She had a black Jansport book bag with her. Kayla has no scars or tattoos and the only piercings she has are double pierced ears.

CIRCUMSTANCES: Kayla was last seen with a Hispanic male approx. 16 years of age whom she met on Myspace.

Top 7 Tools to make your short sales a breeze

Noel Padilla, CDPE (Surreal Properties, LLC.) — Mon, 21 Sep 2009 17:15:27 -0500

A while back I wrote a blog Top ten reasons your short sale will not close. I thought a perfect follow up would be a blog on the tools I use to stay organized and make short sales so simple that you'll wonder why you haven't delved into this niche market sooner.

After reading through this post and you still don't want to handle short sales, I will pay a referral fee of 30% for those of you who would like me to handle them for you. I will take the listing and do all the negotiations and get it to closing. No upfront fees (scam) just good old Realtor networking. Did I mention I've gotten 100% approvals on all my short sales? Can't beat perfection. (Southeast Florida Only Please!)

First off I want to disclose that I have in no way a relationship with the products or services I am promoting. I use these every day in my business and I am happy to promote them.

Bluebeam The bluebeam software is amazing for the price $149.00. It is a pdf editor that allows you to do all sorts of things to pdf documents. You can't change the copy but what I do is color over copy I don'tneed with a white marker, then flatten the image and use the text box to add whatever I want. The feature I particularly like is the"insert documents" one. I insert all the pdf documents needed for my short sale package and save it to one nice concise pdf. If you use a tablet, bluebeam allows you to sign and secure pdf's as well.

Metro Hi Speed Metro Hi Speed fax service is again another must have. At $12.95 per month for 1000 pages what else is there to say? You simply attach the documents you want to send in an email and plug in the phone number in the "To" field along with the metrofax extension and go have lunch. You can add as many documents as yo want separately up to ten megabytes and this service works flawlessly. After the fax is sent you get a confirmation e-mail.

Microsoft Office Suite 2007 You can find MS Office Suite at your local Best Buy or get it from the Microsoft website. With MS Outlook, the email management software, I created a fax cover sheet "signature" which I select and use when sending faxes. I just fill in the required fields, attach the documents I want to fax and hit send. You can create folders with rules and when you receive and email that conforms to those rules instead of your inbox it goes to the folder specified. You can also save all your emails for a particular transaction to a custom folder you setup. I use the MS Excel spreadsheet program to keep all of my listings organized. I got this idea from a brokerage I used to work for. They had this large dry erase board with all the office listings. I decided to do the same with a spreadsheet. You can add comments to each individual cell in the spreadsheet which is where I keep my notes when I speak to the banks while negotiating short sales.

Smart Phone with Bluetooth Headset I'm a Palm guy but any smart phone with e-mail capabilities, internet access, texting and word processing software is a must. I know there are agents out there who don't embrace technology and like to do business the old fashion way, knee cap to knee cap, but I personally don't know how I would survive without my Palm. Nothing beats being on hold while cooking dinner in the next room and not missing the connection to that short sale negotiator. That's what the bluetooth headset feature provides, freedom and control.

Tablet Laptop Speaking of technology, this is really taking it up an notch. I use a Gateway tablet with a Maxtor external 160 gig hard drive to keep it all safe and organized. I go as paperless as possible, from listing agreements to simple addendums it all it gets done on the tablet. After closing I hand my broker a cd instead of a dog eared file of faded and coffee stained legal file. It's not only cheaper this way, nothing gets lost as it;s backup on the the external hard drive plus it's good for the environment.

All in one Fax Copier Scanner This one should have been the first on my list but these units aren't exciting anymore. They have become an after thought yet oh so necassary. The most important feature is the scan to pdf feature. I use an ancient Lexmarx 6500 I picked up for $199.00 and it does the trick for me. Today's models have fax to email features, bluetooth, Wifi and the list goes on and on.

Education I saved the most important for last. I attended a 2 day intensive seminar that gave me the tools to build a foundation as to where I could be successful in getting short sales approved. I learn new something new everyday so you absolutely must keep an open mind to new ideas and be resilient and creative. Notice, I didn't take a two hour course or some 60 minute webinar, I invested in my business and spent 2 intense days learning. As far as I'm concerned nothing beats the Certified Distressed Property Institute.

As a Realtor you probably own most of these products but as a short sales specialists you may need to invest in some of these tools or upgrade to make life easier. Please free to add to the list, I'm a techie junkie and new gadget that makes life easier is an A plus in my book.

Happy Short Selling!

Noel Padilla, CDPE

"Doing Business Right"

Dead beat Buyer or Dumb Agent (Me)?

Noel Padilla, CDPE (Surreal Properties, LLC.) — Sat, 12 Sep 2009 15:44:32 -0500

Ok here's the skinny:

I represented a buyer (No buyer broker agreement in place, this was a "friend") who was in the market for a cheap REO or short sale. I informed her that REO's and short sales could be a lengthy ordeal. Of course she said she had time. She wanted to take advantage of the exceptional deals out there but was limited by her budget. I showed and showed and showed until she decided on a listing that I had sent her via e-mail that I had taken her to see. We wrote up an offer and sent it in only to wait and wait and wait before I finally was able to contact the listing agent at which time she informed me that all offers require a DU approval. Mind you this was not spelled out in the listing nor when I spoke to her assistant. Well after that was cleared up we sent in the DU and waited some more. After several e-mails I finally got a confirmation that everything was in order and submitted to the bank. We waited another 2 weeks and after several calls still no answer from the bank. Then after over a month the buyer gets frustrated and decides the whole ordeal is too stressful and decides she wants to wait a few months before jumping back in the market. I follow her instructions and fired off an e-mail to the listing agent to pull the plug immediately. After receiving confirmation, everyone parts ways to live another day.

Here's the kicker:

The bed wasn't even cold yet and the buyer submitted another offer with another agent 10 days later. The offer was accepted $10,000 over what she had originally offered. I see this woman every week at our networking meeting and she tells me, "You'll never guess, I just closed on the house you put an offer in for 10k more than what we offered." I said, "What offer?" trying not to choke her! She either doesn't have a clue or she is just plain stupid. She just screwed me out of my commission that I worked months for and has the audacity to flaunt it in my face.

Did I mention I have all e-mails listings, contracts and communication saved as a concise pdf ready to fired off to the State real estate commission and local MLS board? I'm so disappointed right now I don't know which route to take. I know it probably won't go anywhere but I want to ruffle feathers and make a few people lose sleep. This is not how deals are done and I want it to be lesson for all involved because if we don't police our selves this crap will just keep happening.

I need your advice AR bloggers, how would you go about handling this for ultimate effect, satisfaction and possibly monetary compensation?

P.S. No one will get in my car anymore unless they sign a buyer agreement!

Noel Padilla, CDPE

Just Listed 8921 SW 103rd Ave., Kendall, Florida 33176

Noel Padilla, CDPE (Surreal Properties, LLC.) — Wed, 26 Aug 2009 18:51:22 -0500

Noel Padilla | Surreal Properties, LLC. | 786-525-9729

8921 SW 103rd AVe, Miami, FL

Live in one of the most sought after centrally located communities in Kendall, Kendale Country Club Estates

4BR/2BA Single Family House

offered at $374,900

Year Built	1967
Sq Footage	2,161
Bedrooms	4
Bathrooms	2 full, 0 partial
Floors	1
Parking	1 Car garage
Lot Size	10,077 sqft
HOA/Maint	$2 per month

DESCRIPTION

NOT A SHORT SALE! NOT A FORECLOSURE! This house has been totally renovated including new roof less then 3 years old. Too much to list, bring your pickiest buyers. All new floors, kitchen, baths, interior paint, HVAC system, legal addition, and much much more. Enjoy a nice candle light dinner on your terrace, pool side. Resort style living in the heart of Kendall, just a stones through away from 874. Take advantage of the $8000 tax incentive before it's too late. Easy to show.

see additional photos below

PROPERTY FEATURES

- Central A/C	- Central heat	- Walk-in closet
- Tile floor	- Family room	- Living room
- Dining room	- Dishwasher	- Refrigerator
- Stove/Oven	- Microwave	- Washer
- Dryer	- Balcony, Deck, or Patio	- Yard
- Swimming pool

ADDITIONAL PHOTOS

Photo 1	Photo 2
Photo 3	Photo 4
Photo 5	Photo 6

Contact info:

Noel Padilla

Surreal Properties, LLC.

786-525-9729

For sale by agent/broker

Equal Opportunity Housing

Posted: Aug 26, 2009, 3:38pm PDT

Top 10 Reasons Why Your Short Sale Will Not Close

Noel Padilla, CDPE (Surreal Properties, LLC.) — Fri, 21 Aug 2009 08:56:46 -0500

10.) You sent in multiple offers to the bank. Put yourself in the bank's shoes, what would you do if you got 3,4,5 or 6 offers on your property? That's right you would wait to see if you get more at higher prices. We all know short sale departments at banks are extremely organized and they can surely keep track of multiple offers (Yes I'm being sarcastic). Oh did I mention accepting and having your seller sign multiple offers is probably a little against the law and at the very least unethically? Third party approval is just a contingency just like an inspection or financing. You wouldn't keep accepting offers if there was an only and inspection contingency right?

9.) You don't call the bank periodically for updates, you rely on them calling you. With literally thousands of short sale offers coming in, you need to keep your file fresh on their minds. Files are always being lost or misplaced, yes even in this digital age they get lost in cyberspace. A file goes to a negotiator via email and the pdf gets deleted accidentally. Do actually think the negotiator is going to remember let alone try and recover that info when he/she has another 100 or so to work on? They just say NEXT.

8.) You don't bother to lower the price periodically. Do I really need to explain this one, this is real estate selling 101.

7.) Your marketing, well sucks! No pictures, no virtual tours, poor description, etc. Again real estate selling 101.

6.) You don't know what the hell you're doing and are too pigeoned minded to actually take formal training to get better because of course you've been in business 28 years or that's what your broker told you to do. Formal training is not some 2 hour course given by your local board nor is it a 2 hour webinar. I'm talking at least 8 hours of classroom instruction or distance learning curriculum. Nothing substitutes for a live instructor if you have a choice chose the classroom.

5.) You don't submit an offer you feel is too low. WHAT? Let the lender tell you it's too low. Get the process going and hopefully you can get a hard number from the bank on what they'll take.

4.) You don't check this property's status and the bank forecloses. The short sale department does not communicate with the foreclosure/legal department. You don't know how many times I've called and informed the S/S department about an impending sale date and they reply, "Oh let me send them a message to delay the sale." This doesn't stop the process but in my neck of the woods if you delay a sale, you just bought yourself 60 days. It takes 30 days to get in front of the judge to schedule another sale date and that date is usually another 30 days out.

3.) Poor communication with the buyers/buyers agent and they walk. Mindset is crucial here. You need to prepare the agent and/or buyer for a long wait at least 90 days before you can go into the sales phase. You also need to let them know that not a whole lot will happen in the first 30 days and to expect updates every two weeks or sooner if developments occur.

2.) You're disorganized. If your the type that gets overwhelm at times (Like me) you need to systematize your business. You should have already done this but this is even more crucial in short sales. I designed an excel spread sheet that holds all my listings. I note whether they are active, pending , short sale, etc. It contains all the info I need in the notes boxes of the spreadsheet and I note every time I call with date and name of person. If you want a copy of it click the hyperlink.

...........drum-roll please........and the number one reason your short will not close is:

1.) Your short sale package is incomplete. A bank will not call you and say hey your package was incomplete. It will go in the round file cabinet. The more info you send them the better. I always call the lender first and ask for their specifics. I then send them what they ask and then some. A complete package should be at least 50 pages. I've seen some that are 100 pages. These servicers do not have a clue about your market. The more you send them pertaining to the market value the better chance you have at getting your package looked at sooner. You come across as a professional that really knows what you are doing, perception is the key here. (Who cares if you just took the Short Sale class 24 hours ago, you're a pro act like it!)

Good luck and happy short selling

Noel Padilla, CDPE

This Article Is A Crock!

Noel Padilla, CDPE (Surreal Properties, LLC.) — Fri, 14 Aug 2009 14:28:41 -0500

http://www.floridarealtors.org/NewsAndEvents/article.cfm?id=221622

I believe it was very irresponsible of the FAR to post this article. It never mentioned other costs associated with foreclosures, ie: vandalism, electric bills, maintenance costs, water bills, attorneys fees etc. Also banks rarely go after homeowners for the deficiency. They file the judgment but never pursue it because guess what, it’s another expense. Do you really think the bank servicer is going to come out and say: “If we drag out these short sales for as long as possible we can keep collecting servicing fees from our investors.” Sounds like someone is trying to keep their REO business intact or the manager at the asset management company is full of crap.

Why We Couldn't Sustain Housing Boom.

Noel Padilla, CDPE (Surreal Properties, LLC.) — Fri, 14 Aug 2009 09:31:37 -0500

For a pdf version click here

Housing Boom 2009

Noel Padilla, CDPE (Surreal Properties, LLC.) — Thu, 13 Aug 2009 21:08:44 -0500

If you've tried to buy a property lately you know it hasn't been easy. Multiple offers, offers above list price, cash offers and prices that are so high you know they won’t appraise-are all happening with more and more regularity today. It closely resembles the boom of the early 2000's and it's the same type of buyers doing it again with mostly cash.

It seems as though this group of buyers doesn't want to miss out this time around so they are jumping in and artificially inflating an already delicate market. This could spell disaster down the road. Eventually the cash will run out and we will be right back to where we were at a few months ago, but worse.

Sooner or later financing will have to play a role in market stabilization. If agents and banks don't begin entertaining financed offers, we are going to see homes selling for pennies on the dollar.

Eventually the foreclosure with no kitchen will have to be dealt with by the municipalities. What happens when you pay cash, as-is for one of these homes and the municipality requires all work be permitted, inspected and signed off on? Now your weekend project just turned into a money pit and you don't have the cash to cover the added expense (probably 4 times the cost)...ouch.

These 'investors' are over paying and once again inflating the market and once again they will eventually get burned.

To make matters worse homeowners with properties that have plenty of equity are trying to take advantage of the buyer frenzy and listing their homes as “non-short sales” at exuberant prices. These homes will never appraise and their direct competition-distressed properties-are burying them. These homeowners are in la-la land and refuse to accept their homes market value. Eventually they will be upside down as well. The agents who list these homes should have their licenses revoked. They are doing a disservice to the homeowner, prospective buyer and the industry as a whole, all so they can brag about their listing inventory but we all know listings don’t make you any money until they close.

Look for the market to take another dip and slide further until true stabilization sometime in 2012. Don’t believe me? Wait until the effects of the recession take root and those foreclosures begin to hit the market the beginning of next year and we may be in this thing beyond 2013. It’s still a great time to buy, just don’t overpay and be prepared for a long frustrating search.

Noel Padilla

Gloom And Doom

Noel Padilla, CDPE (Surreal Properties, LLC.) — Thu, 13 Aug 2009 20:08:23 -0500

I wrote this article in August of 2007 although it seems as I was being naive about the real trouble we were going to be in, the numbers seem to be working out. Enjoy

The media has reported gloom and doom for the real estate market for some time now. I wanted to take the time and clear some things up about the market as a whole.

Real estate is a localized business in nature. What happens in one part of the country doesn’t necessarily affect another. This is true in any market including the one we are in today. There are parts of the country that are enjoying property appreciation and brisk sales. While most of the country is in a market where there are plenty of homes but no buyers, however we must keep this situation in perspective. (You’ll see what I mean at the end of the article.)

What we are seeing today is good old fashion panic and hysteria induced in part by the media, bad investments, bad loans and a market that was bound to adjust. You see, those buyers that were snapping up properties a few months ago were most likely the same ones that couldn’t get a mortgage pre-2001.

Some lenders loosened their criteria and to stay competitive, others followed suit. All of a sudden just about anyone could get a mortgage. Some of these individuals did quite well and went on their way. Others got caught in that ARM* re-adjusting nightmare.

Speaking of ARM re-adjustments, let’s discuss that for a minute. What would happen if thousands if not millions of loans are re-adjusting ARM’s, set to re-adjust anywhere from 2005 through 2008 or perhaps later? I’ll tell you what would happen, those people (Attracted by low introductory rates and by people with less than stellar credit ratings.) would run to their banker/broker and try to refinance.

To make matters worse this is all happening as the market is cooling, causing home prices to drop as well as appraisals. Now those same homes are worth less than they are mortgaged for and these poor souls are stuck with an overvalued home with a high mortgage and no way to refinance. What’s the next logical step to salvage an already bad situation? You guessed it, “Honey we’ll just sell the house, we’ll be all right.” And there doing it by the droves.

Thousands of folks are stuck in this same scenario. Now others who want to sell their home maybe because they want a bigger home or have outgrown their current home are stuck in a market with too much inventory and not enough qualified buyers. Thousands of homes languish on the market because they are priced too high to sell, while others slip into foreclosure. Owners simply can’t afford to lower the price, so they just walk away. Simple economics: supply and demand, prices drop as inventory rises and vice versa. Not gloom and doom.

When will it all go back to ‘normal’ you ask? In a sense this is normal, maybe even a little on the flat side sales wise. Considering we just came out of a record setting market that saw property values appreciate at 20% and above annually. This is unheard of and we will probably never see it in our lifetimes again.

Now for the brighter side of things: If you were to buy an average property: house, second home, condominium or small multi-dwelling for $200,000, and that property were to increase in value at a modest 6% per year (7%-8% is more accurate historical average), the chart below illustrates the appreciation of that one property.

Ten - Year Projections
6% Annual Appreciation - $200,000 Property

After Year:	Appreciated Value:
1	$212,000
2	$224,720
3	$238,203
4	$252,495
5	$267,645
6	$283,703
7	$300,726
8	$318,769
9	$337,895
10	$358,169

The value of the average $200,000 property appreciating at 6% for ten years is about $350,000. Now let’s take a look at what would have happened to that same property if the boom market would have continued using the 20% appreciation rate we spoke about earlier.

Ten - Year Projections
20% Annual Appreciation - $200,000 Property

After Year:	Appreciated Value:
1	$240,000
2	$288,000
3	$345,600
4	$414,720
5	$497,664
6	$597,196
7	$716,636
8	$859,963
9	$1,031,956
10	$1,238,347

Some of us are in the 4 to 5 year range in the above chart as it relates to the property value of our homes. If you compare that to the previous chart, a home purchased in 2001 for $200,000 should be worth about $268,000 today that property is probably in the neighborhood of $414,000 to $497,000. So we’re about $200,000 ahead of the ballgame. No reason to panic, unless of course you ‘cashed out’ all of the equity, then you’ll just have to live there a little longer provided you can afford the payments.

I wouldn’t pay much attention to the media. They get paid to keep you buying newspapers and watching commercials while you wait for that ‘Real Estate Exclusive.’

Keep your head up and your ear to the ground you never know, you might run into a great real estate bargain.

Regards,

Noel Padilla

*An ARM, acronym for "adjustable rate mortgage", is a mortgage on which the interest rate is not fixed for the entire life of the loan. The rate is fixed for a period at the beginning, called the "initial rate period", but after that it may change based on movements in an interest rate index.

5841 SW 58th Ter., Miami, Florida 33143

Noel Padilla, CDPE (Surreal Properties, LLC.) — Thu, 06 Aug 2009 20:08:45 -0500

Noel Padilla | Surreal Properties, LLC. | noel@noelpadilla.com | 786-525-9729

5841 SW 58th Ter, Miami, FL

Run don't walk to this exceptional home. Located walking distance from the University of Miami and Coral Gables.

3BR/2BA Single Family House

offered at $269,000

Year Built	1948
Sq Footage	1,580
Bedrooms	3
Bathrooms	2 full, 0 partial
Floors	1
Parking	Unspecified
Lot Size	8,850 sqft
HOA/Maint	$0 per month

DESCRIPTION

Run don't walk to this exceptional home. Located walking distance from the University of Miami and Coral Gables. A 5 minute drive to major expressways and the popular mall-The Shops at Sunset Place. The property is being totally renovated and will be ready to move in September 1. The property sits on a 8500 square foot lot with a pool to cool you off on those blistering South Florida days. It will include granite counter tops in the kitchen, brick pavers on the patio and textured ceilings and walls. Act now and you get to pick your appliance package. The property is being renovated by one of South Florida's most successful development companies, CD Group, LLC. They have a long history of successful projects dating back the 1980's, literally helping shape South Florida's skyline. Property can be shown any time but will not be complete until September 1.

see additional photos below

PROPERTY FEATURES

- Central A/C	- Central heat	- Tile floor
- Family room	- Dining room	- Breakfast nook
- Dishwasher	- Refrigerator	- Stove/Oven
- Microwave	- Granite countertop	- Yard
- Swimming pool

ADDITIONAL PHOTOS

Photo 1

Photo 2

Contact info:

Noel Padilla

Surreal Properties, LLC.

noel@noelpadilla.com

786-525-9729

For sale by agent/broker

Equal Opportunity Housing

Posted: Aug 6, 2009, 5:06pm PDT

9112 SW 215th Ter., Cutler Bay, Florida 33189

Noel Padilla, CDPE (Surreal Properties, LLC.) — Sat, 18 Jul 2009 08:42:10 -0500

Noel Padilla | Surreal Properties, LLC. | noel@noelpadilla.com | 786-525-9729

9112 SW 215th Ter, Cutler Bay, Florida 33189

NOT A SHORT SALE, NOT A FORECLOSURE! The kitchen fully renovated with granite counter tops, maple cabinets and new appliances. New washer dryer. Located in the beautiful subdivision of Lakes By The Bay.

4BR/2.5BA Single Family House

offered at $214,999

Year Built	1992
Sq Footage	1,870
Bedrooms	4
Bathrooms	2 full, 1 partial
Floors	2
Parking	2 Car garage
Lot Size	Unspecified
HOA/Maint	$97 per month

DESCRIPTION

The 2 story home is located in a quiet cul-da-sac, screened in patio and Koi fish pond in the yard. Video security, intercom, sprinklers, 2nd flr Accordian Shutters, laminate floors. OWNER OFFERING $5,000 CLOSING COST CREDIT. TAKE ADVANTAGE OF 1ST TIME HOMEOWNER 10% TAX CREDIT UNCLE SAM WILL REFUND $7,500 WITHIN 30 DAYS!MOVE IN FOR LESS THAN $5,000.

see additional photos below

PROPERTY FEATURES

• Central A/C	• Central heat	• Walk-in closet
• Tile floor	• Family room	• Living room
• Breakfast nook	• Dishwasher	• Refrigerator
• Stove/Oven	• Microwave	• Granite countertop
• Washer	• Dryer	• Laundry area - garage
• Balcony, Deck, or Patio	• Yard

COMMUNITY FEATURES

• Guest parking	• Clubhouse	• Swimming pool(s)
• Tennis court(s)	• Lake	• Playground

ADDITIONAL PHOTOS

Photo 1	Photo 2
Photo 3	Photo 4
Photo 5	Photo 6

Contact info:

Noel Padilla

Surreal Properties, LLC.

noel@noelpadilla.com

786-525-9729

For sale by agent/broker

Equal Opportunity Housing

Posted: Jul 18, 2009, 5:44am PDT

Psst, Hey Obama I can fix this mess.

Noel Padilla, CDPE (Surreal Properties, LLC.) — Thu, 26 Feb 2009 17:23:40 -0600

I have an idea.

What if.....the lovely homeowner who has defaulted on their loan is contacted by the bank just prior to foreclosure and offers them a sweetheart deal. It would go something like this:

"Hello Mr. & Mrs. Homeowner, next week we are scheduled to go to auction on your property but we have a deal for you. We will put your house up for sale, you stay in the house and keep living there as you are and agree to all the up keep of the property. You agree to provide unabated access to the property to be able to show it to prospective buyers. You pay us nothing in the mean time. Once a buyer is found and the home is sold you will have 45 days from closing to vacate. We will provide you with relocation assistance and a $1500 moving allowance to help you get back on your feet."

Of course there will have to be some criteria like no investment property and the property has to be worth less than the outstanding mortgage amount. We can call it a Short REO.

Aw forget it. This will actually save banks money, help people recover faster thus getting bigger pool of buyers quicker back into the economy and it will halt the price slides and stimulate the economy. Makes too much sense to work.

Let's Join The Union!

Noel Padilla, CDPE (Surreal Properties, LLC.) — Thu, 26 Feb 2009 14:32:41 -0600

It's funny how ones past experiences seem to rear their head in other aspects of your life. While a member of a labor group I have learned what good it does as well as the bad. I like that everyone was for the most part equal and no one member got special privileges over another. That same philosophy is also a bad thing becasuse a lazy co-worker gets the same benefits as the loyal hard working individual. Point is there are many benefits non-union labor enjoy today as a result of organized labor. I don't want to start a political firestorm blog about labor but I want to steal their idea to level the playing field in the real estate business. This is my plan:

1. Boycott all BPO work

Brokers performing BPO's are not only hurting values by performing these broad "pencil" appraisals but they are also hurting the appraisal business. Banks are using these BPOs to set values and this is wrong. Only a licensed appraiser should be doing this, plus the measly 50 bucks isn't worth the time or effort if you factor in operating costs. Sure there are agents making a living doing these but imagine if no one did them and forced the banks to pay $350-$500 per appraisal-what would that do to the economy?

2. Stop taking REO listings period.

What am I crazy? No, think about it no REO listings, what would that do to your local MLS inventory? That would help stabilize prices and forced the banks to play ball with the short sales. The REO market is getting almost as bad as the short sales. Banks take offers and sit on them trying to create a bidding war, while crapping on MLS rules that prohibit some of their actions. The banks are in heaven, they have starving agents who will jumped through hoops and walk on fire to get and "service" these listings. Stop the nonsense.

Why my plan will work:

When was the last time this country was really united and firing on all cylinders? History tells us that during the 1950's and 1960's this was a great country to live in and raise a family, still is. You had one income families, jobs that provided benefits and adequate pay that allowed familes to buy homes they could afford and save money. Coincidentally this same period in our history was the hey-day of organized labor. There were huge groups of labor organizing, bargaining and gaining a better standard of living for all. However our country has shifted from a manufacturing based economy to service based. The unions missed their opportunity to organize the service industry on a widespread basis and corporate America took advantage by successfully eroding all those gains. As a country we need to get back to the WE and US mentality if we ALL are to prosper. If not we are in store for the same ole same ole of the capitalistic system, the top 10% making all the loot while the rest of US feed their well oiled money machine. If we can get back to this mentality we will prevail.

Why my plan will not work:

We have been sold on the idea that me is good (myself included). I can own my own business build a future for my family and be successfully. The most successfully business people in history have never done it alone. They have dragged others along with them and helped others prosper. Why are in the housing mess today? GREED and that's it, period. Greed is the highest form of ME mentality and it will eventually destroy this great country. Our founding fathers did not envision an America where we step on our neighbors backs and check our scruples at the door on the way to the top. In business there are times you have to be tough and firm but not ruthless. As long as we have brokers snapping up every REO listing they CAN'T handle and agents willing to do BPOs at an 80% discount versus an appraisal, we as an industry will continue to struggle even in good times. I don't want to create an Agent Union, but if it worked in the middle of the last century maybe we can learn from it and adopt some of those principles.

Your thoughts, ideas and opions are always enjoyed.

Regards,

Noel Padilla

Walk-A-Thon for Autism

Noel Padilla, CDPE (Surreal Properties, LLC.) — Fri, 20 Feb 2009 18:59:41 -0600

Some of you may or may not know my son Julian has Autism. We will be at a walk-a-thon on Sunday February 22, 2009 in Crandon Park at Key Biscayne. It would be great if you can attend but if you cannot, you can click below to see how else you may be able to help. On Julian's behalf, thank you in advance.

Follow This Link to visit my personal web page and help me in my efforts to support Autism Speaks

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http://www.walknowforautism.org/faf/r.asp?t=4&i=285608&u=285608-247073309&e=2243453248
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Regards,
Noel Padilla for Julian Padilla

Short Sales and Option Contracts

Noel Padilla, CDPE (Surreal Properties, LLC.) — Fri, 30 Jan 2009 19:40:14 -0600

The rave that seems to be making the rounds in the Real Estate community is the short sale option contract. It goes something like this: A Realtor gets a call from a prospect to list a property for sale which is worth less than owed (Short Sale Scenario). The agent does not want another short sale listing but reluctantly takes it and turns to an investor for help. The investor makes an extremely low offer with an option to sell. He then takes over the short sale negotiation from the agent who has agreed to let him do so.

The hitch is that the property is then actively marketed for a higher price while under contract. A buyer is found and a contract is written with the investor as the seller. Once it closes it is immediately sold to the buyer. Of course there are other variables and scenarios painted in different lights to try and masquerade what is going on but this is essentially what is happening. Oh by the way the listing agent is promised the second listing as well along with a reduced commission, but who cares the agent is getting two commissions days apart, nice!

The problem with that is the little thing called code of ethics. A Realtor has a fiduciary responsibility to get the highest and best price for the seller. The other wrinkle is this other little thing called fraud. If the agent knew full well he could get a higher sales price, why didn't the bank receive those funds? Especially when he listed it for the investor and sold it a few days later.

If this scheme is properly disclosed to all parties, I doubt the bank will accept the first offer, especially when they do their homework and find out what the property is worth. Most of the time it is not even called an option contract because that phrase raises red flags. You can see why the "investor" wants to control the negotiation process. This way he controls the information to the lender. He probably manipulates the BPO as well to get the sales price accepted. This is why the Realtor has to be in on the scam.

Most option contracts require either one of two elements to make them work ethically. The first is time, and the other more practical one is buying low with all parties aware of what is going on. The property needs to have enough equity and the seller needs to be sophisticated enough to know he is leaving money on the table in exchange for a quick sale.

Common sense should prevail here. Think about it, if the property can be sold at that much of a discount don't you think you can find plenty of buyers? Why use a middle man?

What I see happening is a bunch of Realtors being duped to buy a course that packages this type of transaction in the form of books, cd's and webinars in exchange for putting their license and freedom on the line. Heaven forbid an agent actually gets involved in a short sale option contract. The ones making the money are the endless amounts of gurus, so called investors and overnight experts. If it sounds too good to be true it usually is.

See this article for an actual case. http://www.nationalmortgagenews.com/fraud/stories/?id=289

Short Sale Expert Lawsuit

Noel Padilla, CDPE (Surreal Properties, LLC.) — Tue, 06 Jan 2009 15:01:33 -0600

Recently I received an unsolicited e-mail (spam) from someone named Sally Larabee about a very interesting subject. She claimed that Realtors all over the nation will be getting sued for calling themselves experts in short sales, when in fact they haven’t completed not one. It went on to list how this would take place and the only way to avoid it is to take their course (probably at a hefty price). It also states that if you really want to call yourself an expert you need to take their course and prepare yourself. I thought to myself now wait one minute you just said if I don’t do a bunch of short sales and gain “experience” that I can’t call myself an expert, now you tell me if I take your course you can call yourself an expert. Which one is it? Expertise is not measured by how many times you perform a task, that’s called experience.

Although the argument is very compelling, it’s fairly easy to protect ones self with the proper disclosures without taking another short sale course. If you are doing short sales and haven’t had an attorney write a disclosure for you, shame on you. Get it done today and have all parties sign it.

Finally what I found interesting is that when I surfed the Real Estate Radio Blog, low and behold I found the exact same article written by Barry Cunningham, I thought the e-mail had Barry’s tone. I also wrote a post to that blog and somehow it was never published. I just wanted to let Barry know that his stuff had been plagiarized-or vice versa.

Cornering the Market

Noel Padilla, CDPE (Surreal Properties, LLC.) — Thu, 27 Nov 2008 14:08:50 -0600

This is a great country we live in. It is abound with opportunities and hope for those who are willing to work hard and stay persistent. What makes me sick though is the continuing separation of the classes. It seems the same poeple keep getting knocked down no matter how hard they work or how persistent they are. The opportunities keep getting handed to cronies or those who are already successful and well off.

Case in point: REO's. If you check your local MLS, the same listing agent or brokerages keep appearing time and time again. Grant it, every now and then you will see an agent get a bone but for the most part the same "good ole boys (girls)" are getting the breaks.

I have tried doing BPO's to break into this market. I have sent resumes, applications and my first born to hundreds of companies. I only got 3 BPO's of which I was assigned one because I happened to be sitting in front of the computer when the order came through.

The irony is that I specialize in short sales and if anyone knows the foreclosure business, it's a short sale Realtor. I think that's the major flaw in our country, it's not what you know but who. I'll just keep helping folks avoid foreclosure, it's much more gratifying in more ways than one. You get to help someone who truly needs it and you get to stick it to big business who preyed on these poor souls to begin with. I just wish corporate fiscal irresponsibility came with a prison sentence.

Miami Rental Near MIA

Noel Padilla, CDPE (Surreal Properties, LLC.) — Thu, 30 Oct 2008 16:25:34 -0500

Noel Padilla | Surreal Properties, LLC. | 888-335-8389 ext. 111

51 NW 68th Ct, Miami, FL

Minutes from beaches, expressways & MIA

2BR/1BA Single Family House

$1,400/month

Bedrooms	2
Bathrooms	1 full, 0 partial
Sq Footage	1,355
Parking	2 dedicated
Pet Policy	Cats, Small dogs (< 25lbs)
Deposit	$1,400

DESCRIPTION

Enjoy a convenient location with all the luxuries of ownership without the headaches. This home has been totally remodeled. Laminate floors throughout, new windows, newer a/c unit, new roof, large yard and patio to entertain. 2 Bedrooms plus covertable computer room, large living room and separate dining area. All appliances included. The property also has two efficiencies which are currently rented. Credit check required, recent foreclosure ok.

see additional photos below

RENTAL FEATURES

Air conditioning	Central heat	Tile floor
Living room	Office/Den	Dining room
Dishwasher	Refrigerator	Stove/Oven
Microwave	Washer	Dryer
Laundry area - garage	Balcony, Deck, or Patio	Yard

LEASE TERMS

1 Year minimum, credit & background check required.

ADDITIONAL PHOTOS

Renter contact info:

Noel Padilla

Surreal Properties, LLC.

888-335-8389 ext. 111

Equal Opportunity Housing

Posted: Nov 1, 2008, 11:22am PDT

Homestead Condo Villas Of Carmel 3/2 $58,410---Its not a Typo!

Noel Padilla, CDPE (Surreal Properties, LLC.) — Sat, 18 Oct 2008 07:31:39 -0500

Noel Padilla | Surreal Properties, LLC. | 888-335-8389 ext. 111

1480 NE 33rd Ave Apt 110, Homestead, FL

Rents for $1000 per month. More than covers monthly expenses.

3BR/2BA Condo

offered at $58,410

Year Built	2005
Sq Footage	1,062
Bedrooms	3
Bathrooms	2 full, 0 partial
Floors	1
Parking	2
Lot Size	Unspecified
HOA/Maint	$325 per month

DESCRIPTION

This is a clean unit with fully tiled floors, carpeted bedrooms and textured cieling & walls. The kitchen includes a glass top range and over the range microwave plus side by side refrigerator with through the door ice maker and water. Enjoy the huge community pool, exercise room and recreation room. The kids have their own children's pool and tot-lot adjacent to the main pool.

see additional photos below

PROPERTY FEATURES

Central A/C	Central heat	Walk-in closet
Tile floor	Family room	Dining room
Dishwasher	Refrigerator	Stove/Oven
Microwave	Washer	Dryer
Balcony, Deck, or Patio

COMMUNITY FEATURES

Guest parking	Clubhouse	Storage space(s)
Fitness center	Swimming pool(s)	Lake
Playground	Gated property	Secured entry
Wheelchair access

ADDITIONAL PHOTOS

Seller contact info:

Noel Padilla

Surreal Properties, LLC.

888-335-8389 ext. 111

For sale by agent/broker

Equal Opportunity Housing

Posted: Oct 18, 2008, 5:22am PDT

Verabella Falls 1/1 Reduced! $80,315

Noel Padilla, CDPE (Surreal Properties, LLC.) — Fri, 17 Oct 2008 18:09:17 -0500

Noel Padilla | Surreal Properties, LLC. | 888-335-8389 ext. 111

8335 SW 152nd Ave B103, Miami, FL

Rent will cover all expenses, investors dream.

1BR/1BA Condo

offered at $80,315

Year Built	1984
Sq Footage	849
Bedrooms	1
Bathrooms	1 full, 0 partial
Floors	1
Parking	1
Lot Size	Unspecified
HOA/Maint	$157 per month

DESCRIPTION

Investor's dream already rented and section 8 approved. Positive cash flow at this price. Remodeled kitchen and bath. Must use seller title company to close. Listing agent is a CDPE, specializing in short sales.

see additional photos below

PROPERTY FEATURES

Central A/C	Central heat	Tile floor
Living room	Dining room	Dishwasher
Refrigerator	Stove/Oven	Washer
Dryer

COMMUNITY FEATURES

Covered parking	Guest parking	Swimming pool(s)
Lake	Playground	Gated property
Secured entry

ADDITIONAL PHOTOS

Seller contact info:

Noel Padilla

Surreal Properties, LLC.

888-335-8389 ext. 111

For sale by agent/broker

Equal Opportunity Housing

Posted: Oct 17, 2008, 3:58pm PDT

Kendall Condo-Parc Vista 2/2 $125,130-WOW!

Noel Padilla, CDPE (Surreal Properties, LLC.) — Fri, 17 Oct 2008 17:53:17 -0500

Noel Padilla | Surreal Properties, LLC. | noel@noelpadilla.com | 888-335-8389 ext. 111

13922 SW 91st Ter, Miami, FL

Price Reduced!

2BR/2BA Condo

offered at $125,130

Year Built	1987
Sq Footage	1,224
Bedrooms	2
Bathrooms	2 full, 0 partial
Floors	Unspecified
Parking	Unspecified
Lot Size	Unspecified
HOA/Maint	$323 per month

DESCRIPTION

This is an unbelievable opportunity to own a unit in the heart of West Kendall. Minutes from shopping, schools and entertainment. The unit has been updated including fresh paint raised paneled doors and upgraded baths. Nothing like it in Parc Vista

see additional photos below

PROPERTY FEATURES

Central A/C	Central heat	High/Vaulted ceiling
Walk-in closet	Family room	Dining room
Refrigerator	Stove/Oven	Microwave
Laundry area - inside	Balcony, Deck, or Patio

COMMUNITY FEATURES

Clubhouse	Laundry on-site	Fitness center
Swimming pool(s)	Tennis court(s)	Playground
Gated property

ADDITIONAL PHOTOS

Seller contact info:

Noel Padilla

Surreal Properties, LLC.

noel@noelpadilla.com

888-335-8389 ext. 111

For sale by agent/broker

Equal Opportunity Housing

Posted: Oct 17, 2008, 3:48pm PDT

More Pitfalls

Noel Padilla, CDPE (Surreal Properties, LLC.) — Fri, 17 Oct 2008 13:48:46 -0500

Every sale I get close to closing seems to come with new nuances. Two rather recent ones are associations not having adequate insurance (if any at all). And the other being banks no longer willing to provide payoffs without homeowner authorization. I had to order a payoff and forward it to the title company since I already had an authorization through my short sale package.

I heard of agents asking their buyers to pay for the entire associations insurance just to close. Why would you put your buyer in a community that is in financial peril? I had the same situation and I advised my buyer to find another property. Probably explains why I ain't selling much now-a-days (Darn my parents for giving me scruples).

Wherefore out thou Freddie & Fannie?

Noel Padilla, CDPE (Surreal Properties, LLC.) — Tue, 09 Sep 2008 11:10:31 -0500

It’s taken me a few days to absorb what happened Sunday and read the articles by the ‘experts’ as to there take on the bailout of Freddie Mac and Fannie Mae. The consensus seems to be that the bailout will help stimulate the real estate market, albeit minimally. They seem to think that lower interest rates will help buyers on the fence get in the game. Although this may help, I feel their train of thought is skewed because high interest rates are not what are keeping buyers away. Affordability and tighten lending criteria are the true obstacles (As was always before the banks’ self imposed boon). Fear about decreasing property values is another important factor. The bailout does nothing to address these issues.

The only ones thrown a life preserver are the investors (like they really need it). I understand why it’s important to keep the security aspect of package mortgages relatively stable, but what’s wrong with throwing a few hundred billion to aid those on the brink of foreclosure? After all, the banks are the ones who encouraged this whole mess. They knew exactly what was going to happen-they went through it just a few years ago-SNL scandal.

The real estate market is like any other market: There are only so many customers we are all vying for and there are only so many products to sell. When one of those is out of whack you have a problem-in this case they both are out of whack, no buyers & too many homes.

Neither of these will be solved by this bailout. Worse yet we are in store for a tsunami of foreclosures just around the corner and if nothing is done we may see property values down to what they were 20 years ago or lower.

Noel Padilla

"Doing Business Right"

Kendall Short Sale Foreclosure Specialist

Purchasing Property with Your IRA

Noel Padilla, CDPE (Surreal Properties, LLC.) — Sun, 07 Sep 2008 17:23:43 -0500

Something your stockbroker won't tell you-you can purchase the retirement home of your dreams with your IRA.

Traditional and Roth IRAs can purchase all kinds of property, from single family homes to apartment complexes.

By owning real estate, you diversify away from stocks and bonds and keep ahead of inflation. Returns for real estate average 14% a year, versus the 12% 30-year average for stocks. (According to Ibbotson Associates)

Although banks and brokerage firms typically don't offer this alternative-it is costly to administer-it's easy to add a real estate strategy to your retirement plan.

Reasonable allocation now: 25% of your retirement assets.

Beware: If you buy a home for retirement, you can't live in it until you take its entire value as a distribution from your IRA after age 59½. Until then, rent it out to a permissible third party. Profits are reinvested in your IRA.

Transfer your existing IRA or roll money over from a qualified plan-401k or a pension-to a self directed IRA. It should be overseen by a custodian, such as a bank, which receives an annual fee of .5% to 1.5% of assets. Fees decline as assets increase.

You will also need a property manager to maintain and rent out the property to tenants. You are not legally permitted to manage it yourself because the IRS considers you a "disqualified party."

If you don't have enough cash in your IRA to purchase a property outright, invest your money in a limited liability corporation (LLC). The LLC invests in the property. There are no restrictions on eligible investors. For instance, the LLC can buy property with your IRA and/or spouse's IRA as well as non-retirement accounts belonging to you and your spouse.

If you want to rent the property to family members consult a tax attorney. If you violate IRS rules, you will pay tax on the entire investment. IRS rules are tricky.

You can not lease the property to parties that have been disqualifies by the IRS, such as yourself, children, spouse, grandchildren or their spouses. The law does allow you to lease the property to siblings, cousins, uncles and aunts. You also can name a sibling, etc., to manage the property. You pay that person a salary.

You can not use IRA owned property as collateral for a home equity loan or line of credit.

You can not use non-IRA funds to pay for expenses such as, insurance, taxes and repairs.

Exception: Legal fees. Make sure the property generates enough income to cover these costs. If necessary, you could transfer money from other IRAs to your self directed IRA in order to cover these expenses.

To keep legal fees down use, only use an attorney to draw up and review documents, not to negotiate deals. It is best to pay legal fees with non-IRA money so that you can deduct the cost from your taxes.

If you move into the property after the age of 59½, you must take it as a distribution from you IRA and pay tax based on the current value of the property. Plan for the tax- it could be sizable. If the property is in a Roth IRA, you pay no taxes.

As always, consult a tax attorney or certified financial advisor for more specific details and information.

Noel Padilla

'Doing Business Right'

Kendall Short Sale Foreclosure Specialist

TO RENT OR NOT TO RENT...THAT IS THE QUESTION

Noel Padilla, CDPE (Surreal Properties, LLC.) — Sun, 07 Sep 2008 03:26:24 -0500

This question is asked more and more on a daily basis. It is advisable that before you rent, you should ask the landlord how long he or she has had the mortgage, and whether they have borrowed against it. If it is an old mortgage and the owner has not borrowed against it, chances are better that he is in a good financial situation.

It is also advisable to check the county clerk's records (for Miami-Dade County, www.miami-dadeclerk.com or for Broward County, www.Clerk-17th-flcourts.org) and see whether or not any foreclosure action has been filed against the landlord. Another idea, is to ask the landlord for his or her credit report. However, you can probably expect great reluctance on their part, since this is confidential information which may be abused by a potential renter who is not even serious about renting the dwelling. You may also consider asking for a clause in your lease which requires the landlord to pay moving costs if you are forced to move because of foreclosure or other financial problems of the landlord which may relate to repairs or conditions that may make the unit uninhabitable.

If you are served with a copy of a foreclosure action because you are a "tenant in possession," you must send back an Answer so that you will be kept updated on hearings and other developments. The form of the responsive pleading should include the case number, style and caption, along with your name, address, and phone number. You don't have to panic, you will have several months of notice before eventually having to move, assuming that the foreclosure proceeds. If you want to stay in the rental, it may be advisable to ask the lender if it is willing to let you remain there and pay subsequent payments to them. You might be able to work out an agreement, at least temporarily.

If the foreclosure forces you to move before your lease expires, you should ask the landlord to pay any moving and related expenses. If he or she refuses, consider suing them in Small Claims Court. Of course, even if you win, the landlord may not be collectable on what he or she owes you, at least not right away. After all, they cannot afford the mortgage or the upkeep on the rental, and it is doubtful that they will have these extra sums.

If the foreclosure is costing you a lot of money, because you paid a lot of advance rent or an extraordinarily large deposit, you should consider hiring an attorney. Under Florida law, your landlord may be forced to pay your attorney's fees. This is only if you win, only if he or she is collectable, and only if the lease provides for attorney's fees and/or you can use a statutory basis, such as Florida Statute 57.105 in order to assert your claim for fees.

With the passage of time, the issue of whether to continue to make regular monthly rental payments may arise. Many lawyers and even judges differ in their opinion on how to handle this issue. Some think that you should stop paying your landlord as soon as you are notified that there is a foreclosure action. Others say that it is better to keep paying. The answer may depend on the details of your case. It may be a good idea to talk to professionals, such as lawyers, realtors, or property managers. Typically, I always say as long as a contract is in effect and the landlord is providing you with a dwelling, that your obligation to pay that landlord continues until such time as that dwelling may not be available to you, or the Court issues a mandate to the contrary.

Also beware that many attorneys may not be interested in handling or getting involved in cases of this nature due to the fact that there is the potential for complications on a case-by-case basis, and there is very little compensation for a large expenditure of time.

I hope that you find that this e-mail has been informative. I am not explaining anything new, but may have provided a new wrinkle or way of looking at an old, but new problem.

Regards,

Noel Padilla

Kendall Short Sale Foreclosure Specialist