Mother & Daughter Blog

Home Buyers

Fri, 04 Dec 2009 00:15:31 -0600

Attention Home Buyers!

Rosemary Brooks

Patrick Williams & Associates

Via Kathryn Vatsula (Imortgage):

What a joy it is to see our home buyers happy at the end of the home process. With the ability to close their home loan on time or sooner makes the home loan buying process stress free. When a home buyer knows that they can give notice, make plans and prepare to celebrate their new home; these buyers become clients for life. Educating the buyer of the home loan process, being with them every step of the way, is really what it is all about. It is important to make sure the home buyer knows what their new home loan payment will be in addition to any costs out of pocket for them. A good faith estimate is a home buyers best friend. Always get a good faith estimate when you meet with your loan officer-the good faith estimate is an overall picture of the basic financing terms of the loan. Buyer knowledge of the home loan process is very important for our home loan financing future and the future of the real estate market. Let's hope that we will never again see the Option Arm home loan program. 93% of the clients who took out an Option Arm loan made the minimum payment, 80% of these loans were stated income. Sound home loan financing is essentional for our home buyers. FHA/VA and Conventional loans provide the safest home financing options. When seeking a home loan, work with someone in your community. Someone you can trust and know that your interest as a buyer is first and foremost.

Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

A New Era in Lending

Fri, 04 Dec 2009 00:12:50 -0600

Kevin Byrd has put alot of information into this blog and it is information that should be viewed by more.....

Thanks Kevin!

Rosemary Brooks

Patrick Williams & Associates

Via Kevin Byrd (Fantastic Services):

If you originated in 2002 through mid-2006, you probably made a lot of money and wrote a lot of loans. Because of the rising market opportunity, the industry swelled with new players. But those times also changed us. I began to notice a new kind of mortgage originator being born.

The environment attracted many part-time originators and people who believed they could work for a broker or lender with minimal effort and training and do well. The professionalism of the position also began to deteriorate. At the same time, it became less about the service and more about the product. As investors and companies introduced exotic new loan programs like 103 percent financing and pay option ARMs, loan originators began to compete mostly on a product platform. It was less about relationships, service, community involvement or dependability.

As we approach the end of 2008, the ranks of loan originators have diminished considerably. As we expected, those who are surviving are the true mortgage professionals committed to this industry and to what they do for a living. Here's what I see:

* A flight to quality is driving the business. Real estate agents, builders and homebuyers are again making sure the lender they choose to work with is a quality lender in sound position who will be there for them.

* Again, service counts. A group of real estate agents recently told me that the number one factor driving where they refer their buyers is the consistency and level of service and follow-up they receive. It's no longer about rates and unique products.

* Recruiting has changed. Mortgage companies that for several years hired just about anyone who could answer a phone and take a loan application are now being more particular about the type of originator they want on their team.

* Purchase loan business is back. Gone are the days of chasing refis and equity loans, and back are the days of helping people buy a home.

* It's a job again. Loan originators who are doing well are those who are working hard, making contacts and building relationships.

It is my hope that you are committed to success and committed to your future as a mortgage loan originator. If that's true, you may have to make some adjustments to compete in this new era of mortgage lending. Here are 10 suggestions:

1. Work full-time. No more coming in at 10 a.m., leaving at 4:30 p.m. and taking Fridays off. That means eight hours a day, five days a week, 40 hours a week, every week.

2. Dress the part. How you present yourself says a lot about how you view your profession. A golf shirt and slacks are comfortable, but it's not the outfit of a high performing home-financing professional making millions of dollars in loans each month. Show people you are serious about what you do for a living.

3. Get plugged in. Join community organizations, leads clubs, networking groups and industry associations. This is becoming even more a business of who you know and who in your market knows you.

4. Train yourself. The loan originators with more training and more knowledge will find and write more business every month. Read good books, listen to CDs, attend seminars and know your program guidelines. Invest a couple of hours every week getting better and smarter at what you do.

5. Build the right relationships. The best real estate agents and builders in your market are still making money and putting buyers into homes. That's who you need to be calling on and working with. Great relationships with great business partners will pull you through the toughest of times and make you a fortune in the boom times.

6. Talk to your customers. Stay in touch with past clients through letters, postcards and annual phone calls. Keep current borrowers up to date on their loans with weekly e-mails and voicemails. You will build a loyal following that no other lender can compete with.

7. Get out of the office! Spend at least 25 percent of your time out from behind your desk. Make sales calls, meet agents for coffee, show up at closings and visit open houses on the weekends.

8. Be completely honest and ethical. Never promise what you aren't sure you can deliver or "bait and switch" rates or closing costs on a borrower. Never fudge numbers to make a deal work. It will always come back to haunt you.

9. Leave the past behind. Your world has changed, and programs you used to have are no more. Let it go. Stop reminiscing about loans you could do and start spending time on loans you can do. Today, borrowers need some down payment, a good credit history of repaying debt and proof of assets and income to qualify.

10. Look into the light. A positive outlook and a proactive attitude will put you head and shoulders above the competition in your market. People want to work with a loan originator who is a shining example of success.

I recently spoke with a veteran mortgage lender and good friend. He told me that in his view, business is back to the way it was 20 years ago. "It is now a group of good mortgage professionals," he said. "People are competing for the business based on their knowledge, helpfulness and the quality of their service." He smiled and concluded: "And it's about time." By: Douglas Smith, www.mortgageoriginator.com

Loan officers interested in filling your pipeline with Realtor referrals contact me to learn more.

Kevin Byrd
Senior Mortgage Consultant
Amerisave Mortgage Corporation
SEARCH RATES HERE

Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

How Do I Get Rid of This Hazardous Waste?

Fri, 04 Dec 2009 00:09:09 -0600

This is a very good post on Hazard Waste. Thank you D'Adrea Davie for blog and I am proud to re-blog on this. More need to know this information.

Rosemary Brooks

Patrick Williams & Associates

Via D'Adrea Davie (Patrick Williams & Associates):

When Barack Obama was sworn into office, I took a personal oath to be a better citizen and serve my country better. You can only image all of the thoughts I thought about (and still do) to best utilize my skills.

About a year ago, I vowed to be more proactive in recycling and help my son be more active also. So, we sorted our recylceable items accordingly. I purchased an additional garbage can and separated the plastics, from the bottles and the cans. At the end of the month, we'd take these items to the local recycle center and in exchange get the money for doing so. Every month my son would have an extra twenty to thirty dollars in his bank account.

What does all this have to do with REOs? Recently we were assigned a property that contained hazardous chemicals and waste. We had to stop ourselves and ask where can we take this hazardous waste? We had about 24 gallons of paint, a battery, and tons of used motor oil. I knew there was a place to discard this, but never paid it much attention because I never had to do it. So, I called the city of Tracy, who referred me over to the Household Hazardous Waste Facility in Stockton. This facility services all of the San Joaquin County and is located at 7850 R.A. Bridgeford St. in Stockton. When I called I was told that there was a charge for businesses at a little over $5.00 per gallon. However, the representative also stated that if you are a residence it is free to dispose of waste up to 15 gallons. When I went to the facility, I was told that I can make as many trips as I could for FREE! I don't know about you, but when I hear that word...I get excited.

Once I arrived at the facility, I saw all kinds of items there: Things like:

Paints

Primers

Pool Chemicals

Batteries

Varnishes

Solvents

Thermometers

Anti-Freeze

Transmission Fluids

Televisions

Computers

Pesticides

Cleaners

Strippers

So, when you are about to do a trash out or even if you about to start your spring cleaning, keep your environment in mind. Don't throw, wash down the drain or pour these hazardous chemicals in the ground. Put them to the side and take them to your local Household Hazardous Waste Facility.

Some Helpful Hints:

•Ø      Contact the facility and let them know the quantity you have of each item, this will help you know what there limits are and guarantee that you will be able to dispose your items for FREE! You can make as many trips as you need, but don't take too much at one time.

•Ø      The facility has a Re-Use Room. This room consists of products that may not have been used or partially used. The Stockton Facility allows San Joaquin residents to take up as many as 10 items per visit for FREE! The products can include: usuable paint, solvents, plant fertilizers, pesticides, cleaners, pool supplies, and more.

•Ø      If located outside of San Joaquin County, contact your local household waste facility to find out what their guidelines are for discarding these hazardous materials.

Hazardous Household Waste Facility

7850 R.A. Bridgeford St. Stockton, CA 95206

Contact: 209-468-3066

Open: Thurs-Sat. 9:00AM to 3:00PM.

Brochure

WEBSITE: http://www.motheranddaughterrealty.com

Need a Short Sale Specialist? CLICK

Want to purchase a REO property? Want to know what properties I have to sell? CLICK

Need information on the foreclosure process? Ask me for a FREE Pre-Foreclosure Guide CLICK

For a FREE MARKET EVALUATION of your home   CLICK

Check out: Real Estate Terms/Definitions.  And take a look at Mother and Daughter Blog and D'Adrea's Mother and Daughter Blog - for other tips for Sellers and Buyers. I work with my mother as the Mother and Daughter Real Estate Team at Family Realty Group and we also focus in Short Sales and the Pre-Foreclosure process and REOs/Bank Owned Properties. Our consultations are free. Our aggressive marketing plan includes on-line listing advertising. If you are thinking of selling or buying a home in Northern California's Central Valley (San Joaquin County CA - includes Stockton, Manteca, Tracy, Lathrop) plus Stanislaus County CA - includes Modesto, Salida, Riverbank) & the East Bay (Alameda County CA - includes Hayward, Fremont, Newark, Union City & Oakland) and surrounding areas give us a call. If you would like a FREE Home Seller or Home Buyer Handbook, please call us at 866-750-8282 or email at US.

Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

Dear Mr. Lender..... (Sample Letters) for Mortgage Problems, Short Sale, Loan Modification requests ....

Thu, 03 Dec 2009 23:57:36 -0600

Here is a list of sample letters that may be of value to homeowners that are finding themselves in a mortgage situation:

Sample Letters to Send to Lender - CLICK ON THE ONE(s) That interest you.

1. Sample letter: To lender requesting help to avoid foreclosure - Sample letter to send to the lender requesting help to avoid foreclosure, and a suggested budget to catch up

2. Short Sale - Sample hardship letter - Sample letter to send to lender explaining how and when your hardship started.

3. Short Sale: Dear Mr. Lender...... Very truly yours, Sample of letter to lender requesting short sale information and procedures / requirements. 4.Short Sale Worksheet example and suggestions- Sample of a worksheet for a counter offer to lender

go to: Making Homes Affordable to see if you qualify for help.

Check out this post - it will answer most of your short sale questions. click here to read: The Raw Facts on Default, Pre-Foreclosure, Short Sale and Foreclosure

CHECK OUR WEBSITE: http://www.motheranddaughterrealtyteam.com EMAIL: info@motheranddaughterrealtyteam.net

Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

How To Create and Use iFrames and Tables on Your Blog

Thu, 03 Dec 2009 22:32:26 -0600

Brad Andersohn is the greatest with tips on how to make your presentation of you better. This one is at the top of my list --> I had to re-blog it to share with others. Thanks, Brad!

Rosemary Brooks

Patrick Williams & Associates

Via Brad Andersohn ~ Community Manager (ActiveRain):

How To Create and Use iFrames and Tables on Your Blog

Last week I promised to create a post explaining how to add iFrames and tables to your Blog posts. Instead of making this a long drawn out technical "How To" tutorial, I decided to make it really easy for those of you interested in using this feature. It is HTML based and does require a little HTML skill, but I think the way I'm about to show you will totally simplify the process and keep you from losing your sanity! lol~

The hardest thing you'll have to do is switch the tabs at the top of your New Blog Post from "WYSIWYG" to "HTML" then you'll just need to copy the code onto the HTML page where you want your iFrame to appear, then save it. Can't make it much easier than that. So let's start with the iFrame. The purpose of Adding an iFrame to a Blog post is so that you can share a large amount of information in a very small (customized) space. Maybe a website, or an interactive page, or even an entire Blog for example.

Here's an iframe of a site I'm sure you'll all recognize. :-)

The size, color, width, height, URL, etc. can all be customized. Now for all you advanced HTML users and Bloggers, this is probably easy stuff, but for many of our members and friends, learning this type of stuff has been known to cause overdoses of Tylenol and in some extreme cases, even alcohol. So here's a way for you to preserve your anxiety and stress for something a little more worthy.... I hope.

HTML Basics has setup what they call an iFrame generator. You just enter in the information, and it creates the iFrame for you, then just copy and paste the code into the HTML tab of your new Blog post. It looks like this:

Just enter the URL of ANY page you want to appear in your iFrame, never make it wider than 550pixels if you don't want to Blow Out your Blogs sidebar, select any height you want, give it a name, set the alignment, maybe add a border with some color, setup how you want it to scroll, and generate the code for your Blog post. This is much easier than trying to explain the HTML which you're about to see once you generate the code anyway. Once you become familiar with the iframe code, you won't need the generator anymore. Now try it yourself.
I added this iFrame to the Real Estate RainCamp SF so you can see who's coming

Suggestions: Try using your MLS page, your IDX page, your Website, one of your Blog posts, maybe your AR Outside Blog, any page that's on the internet will work as long as you have the URL or website address. You can use iFrames to add some additional value to your Blog if this is something you're interested in. Now just be creative and imagine all the ways your clients, visitors, and subscribers might benefit from your using custom iFrames in your Blog posts.

Are you ready for tables now? Here's a link to a table generator, you'll be a pro in no time at all! :-)

Some Table Scraps RE Video RETechWorld

Goal Planner ActiveBrads Blog iDomain

TechKnowBabble AR Manual The REBlogger

HTML Tables

"RainMaker" Special - Signup Here and Get New Member Discount
RainCamp™ - "Because The Way We Do Business Online Has Changed!"

Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

Fannie Mae Guidelines are Changing on December 12

Thu, 03 Dec 2009 21:33:31 -0600

Fannie Mae is making changes - effective Dec 12. This can affect any buyer that is in escrow .... so if you are buyer, please check with your lender to be sure your purchase will not be interrupted or canceled.

Rosemary Brooks

Patrick Williams & Associates

Via Paul Warkow-loan officer-Nationwide Equities Corp.:

Please beware! On December 12, Fannie Mae is toughening its underwriting criteria. The borrower must have a 620 and an DTI of less than 45%. It will approve a DTI of up to 50% if there are other compensating factors such as low LTV, good credit or a large amount of liquid assets. If your client's DTI is 50.01%, it will not be approved.

Keep in mind that this applies to all loans that have not funded before December 12. If the loan does not close by this date, all prior approvals are meaningless. It would seem that more and more loans will now have to FHA. This would apply to buyers with excellent credit. If you have a buyer with an 800 FICO and an LTV at 60% but the DTI is 50.01%, guess what, it is an FHA loan.

If your buyers already have been approved for a conventional loan, I would try to get the purchase closed before December 12. If it cannot close before December 12, I would have the buyer check with the loan officer to make sure the loan is still qualified. Otherwise, there may be massive delays because the buyer has to reapply for a FHA loan.

Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

HAMP (Home Affordable Modification Program) - how is it working in your state? part II

Sat, 28 Nov 2009 14:55:16 -0600

Here is a list of the 26+ participating servicers for the HAMP Modification program: Taking into consideration that the program got up and running in the month of April 2009. Looking at the estimated eligible 60+ days delinquent, comparing it to how many trial plan offers were extended and then look at how many are ACTIVE in the trial modification program - great numbers! check out Part I: HAMP (Home Affordable Modification Program) - how is it working in your state?

However it does still show that there are still a huge number of homeowners that are not in the loan modification program and will either fall into the short sale category or will fall to foreclosure.

Servicer	Participation Date	Estimated Eligible 60+ day Delinquent	Trial Plan Offers Extended	Trial Plan offers as share of estimated eligible 60+ day delinquencies	Active Trial Modifications	Trial modifications as Share of Estimated Eligible 60+ Day Delinquencies
CitiMortgage Inc	4/13/09	221,916	110,796	50%	88,968	40%
GMAC Mortgage, Inc	4/13/09	65,946	35,890	54%	23,078	35%
J.P. Morgan Chase Bank, NA	4/13/09	422,807	182,622	43%	133,988	32%
Saxon Mortgage services	4/13/09	80,477	38.327	48%	35,027	44%
Select Portfolio Servicing	4/13/09	6,2094	37,695	61%	18,156	29%
Wells Fargo Bank, NA	4/13/09	323,198	132,182	41%	93,652	29%
Ocwen Financial Corp	4/16/09	67,912	13,196	19%	7,636	11%
Bank of America, NA	4/17/-09	990,628	212,753	21%	136,994	14%
Green Tree Servicing, LLC	4/24/09	4,034	1,028	25%	694	17%
Carrington Mortgage Services, LLC	4/27/09	18,217	1,981	11%	1,135	6%
Aurora Loan Services, LLC	5/1/09	74,846	39,897	53%	24,491	33%
Nationstar Mortgage LLC	5/28/09	31,736	20,110	63%	10,154	32%
Residential Credit Solutions	6/12/09	,1524	379	25%	350	23%
CCO Mortgage	6/17/09	4,652	1,175	25%	789	17%
RG Mortgage Corp	6/17/09	3,237	337	10%	70	2%
National City Bank	6/26/09	42,504	15,621	37%	7,906	19%
Bayview Loan Servicing, LLC	7/1/09	9,639	2,672	28%	2,116	22%
Wachovia Mortgage, FSB	7/1/09	78,272	5,162	7%	2,363	3%
MorEquity, Inc	7/17/09	2,299	123	5%	3	0%
American Home Mortgage Servicing Inc	7/22/09	116,742	9,649	8%	5,082	4%
HomEq Servicing	8/5/09	40,766	1,348	3%	91	0%
Litton Loan Servicing	8/12/09	110,027	17,764	16%	13,093	12%
OneWest Bank	8/28/09	110,496	30,331	27%	14,044	13%
US Bank NA	9/9/09	29,654	8,590	29%	4,477	15%
Franklin Credit Management Corporation	9/11/09	2,643	0	0%	0	0%
Bank United	10/23/09	9,045	0	0%	0	0%
Other SPA servicers		5,134	337	7%	213	4%
Other GSE Servicers		288,747	NA	NA	26,424	9%
Total		3219,192	919965	29	650994	20%

Since Bank of America is known as the leader....

one of the first to sign up for HAMP,
first to sign up for ReoTrans short sale automation and
is the leader in number of loans (especially when combining Countrywide)

We expect B/A to be the leader in all the numbers above, but they are not. We expect Bank of America to be a leader in helping and offering options to homeowners to help clean up this foreclosure crisis. However, Bank of America falls down to number 15 on the list!! And Bank of America has a bad rap with short sale approval in most cases.

Based on October 2009 tracking: Here is how the servicers rank in participating with % of Trail Modifications as Share of Estimated Eligible 60+ Day Delinquencies:

Servicer	Participation Date	Ranking in Trial Modifications as a Share of Estimated Eligible 60+ Day Delinquencies
Saxon Mortgage services	4/13/09	1
CitiMortgage Inc	4/13/09	2
GMAC Mortgage, Inc	4/13/09	3
Aurora Loan Services, LLC	5/01/09	4
Nationstar Mortgage LLC	5/28/09	5
J.P. Morgan Chase Bank, NA	4/13/09	6
Select Portfolio Servicing	4/13/09	7
Wells Fargo Bank, NA	4/13/09	8
Residential Credit Solutions	6/12/09	9
Bayview Loan Servicing, LLC	7/01/09	10
National City Bank	6/26/09	11
Green Tree Servicing, LLC	4/24/09	12
CCO Mortgage	6/17/09	13
US Bank NA	9/09/09	14
Bank of America, NA	4/17/09	15
OneWest Bank	8/28/09	16
Litton Loan Servicing	8/12/09	17
Ocwen Financial Corp	4/16/09	18
Other GSE Servicers	-----	19
Carrington Mortgage Services, LLC	4/27/09	20
American Home Mortgage Servicing Inc	7/22/09	21
Wachovia Mortgage, FSB	7/01/09	22
RG Mortgage Corp	6/17/09	23
HomEq Servicing	8/05/09	24
MorEquity, Inc	7/17/09	25
Franklin Credit Management Corporation	9/11/09	NA
Bank United	10/23/09	NA

CHECK OUR WEBSITE: http://www.motheranddaughterrealtyteam.com EMAIL: info@motheranddaughterrealtyteam.net

Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

HAMP (Home Affordable Modification) - how is it working in your state? part I

Sat, 28 Nov 2009 11:54:57 -0600

How is the Making Home Affordable Program working in your state? My next post will list the lender servicers that are participating in this program. Agents that are doing short sales should be able to use this information to give the homeowner an idea of how the program is coming along and how this can fit into the options that are out there.

This is top 11 states that are involved in the HAMP - loan modification program:

State	#of modifications
California	134,609
Florida	82,614
Arizona	34,424
Illinois	33,514
New York	28,773
Georgia	25,675
New Jersey	22,102
Michigan	22,031
Maryland	21,634
Texas	21,260
Nevada	17,566

Want more information go to: http://www.makinghomeaffordable.gov/docs/MHA%20Public%20111009%20FINAL.PDF

HAMP - Participating servicers:

Approximately 85% of eligible mortgage debt outstanding is covered by HAMP participating servicers.
71 servicers have signed servicer participation agreements to modify loans under HAMP. These participants service loans owned or guaranteed by Fannie Mae or Freddie Mac, loans held in portfolio, or loans serviced on behalf of other investors.
Approximately 2,300 lenders service loans owned or guaranteed by Fannie Mae or Freddie Mac. These servicers are automatically eligible to participate in HAMP.

See next post for a breakdown of HAMP modification activity by Servicer...... See HAMP (Home Affordable Modification Program) How is it working in your state? part II

CHECK OUR WEBSITE: http://www.motheranddaughterrealtyteam.com EMAIL: info@motheranddaughterrealtyteam.net

Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

Buyers: What is the R E A L "Effective Date" - a frequently asked question.....for REOs

Fri, 27 Nov 2009 19:04:04 -0600

A frequently asked question.... When is the effective date of this REO/bank owned contract?

Sometimes it is not clear to all what the "effective date" is --- Especially when dealing with (foreclosures) -bank owned properties / and more popular Fannie Mae/ Freddie Mac: There can be many reasons for this delay: Fannie Mae calls it QC and man does it take a long time.

Is it the date the buyer signs or
Is it the date the bank signs or
Is it the date the bank gets it to the Buyer's agent?

The effective date is the date the addendum is signed by all parties: Buyer (s) and the seller. This is the date the clock starts. The catch here is that the seller does not always get that signed contract back to the buyer in a timely manner. There should be a correction to the effective date, to when the buyer's agent gets the contract in their email. That would be the best way to be fair about it.

Oh too many times I have received the contract as late as 14 days before closing on a 30 days closing. This only adds frustration to the transaction. Buyer ready to walk.... and everything was on hold: the deposit, the appraisal and the loan office was blowing my phone waiting to get a copy of the executed contract so he could move forward. And then had the seller's agent get all over me about getting documents into escrow: deposit, appraisal, loan contingency removals -- no more than 2 days after they just sent the signed contract to me!

So what I did is have the buyer sign an addendum and requested that time limited be moved out and ask for a closing extension in order to give the buyer the proper amount of time.

Here is the contract verbage that most bank addendums will included: The effective date is the date of Seller's execution of the Addendum (the bank's addendum), shall be the "Effective Date" of the agreement, notwithstanding any prior understanding or agreement with respect to the financial terms set forth herein. The agreement shall be null and void if the agreement signed by the Buyer is not actually received by the Seller before the Seller accepts a competing offer, or gives verbal notice of revocation to the Buye, the Buyer's agent or attorney, or the listing agent. The Agreement must be approved by the Seller's management, and it must be signed by all parties in order to be binding.

Buyer agents should be alert to the date the executed contract is received and if it is late..... make sure to request from the seller to allow time for that delay so the buyer have time to get all documents, deposits, signed and into escrow.

CHECK OUR WEBSITE: http://www.motheranddaughterrealtyteam.com EMAIL: info@motheranddaughterrealtyteam.net

Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

Property Tax Reductions - California Style...

Fri, 27 Nov 2009 01:39:56 -0600

Thank you John Occhi for this informative blog on property tax reductions - California style.... John has listed some valuable information here, please take the time to read it and bookmark it for later reference. Thank you John!

Rosemary Brooks

Patrick Williams & Associates

Via John Occhi, ePRO, Hemet-San Jacinto CA Real Estate, 951-443-6259 (Allison James Estate and Homes):

Property Tax Reductions - California Style...

With the decline in the real estate market those who own property and are able to hang on, typically end up paying too much for their property taxes to the local county tax assessor.

In California, we Passed Proposition 13 (Prop 13) - why back in 1978. This was revolutionary legislation at the time and still continues to lead many states who continue to assess and collect property taxes like they were don a couple of hundred years ago.

You see, the traditional model was to reassess the value of the real estate on a fixed schedule - with some areas being as frequently as every year and others no more than every 5 years. No scientific evidence or anything, but I believe every 2 years reassessment is the most common across the country, then and now...which is what it was in California, pre Prop 13.

PROP 13 IN A NUTSHELL

What Prop 13 did was establish a base line that is typically the purchase price. Once the initial period is over to review the assessment this value is set in stone and will NEVER change on a permanent basis. All future property tax is based on this value, so long as the owner continues to own the property. Yes there are a few exceptions about transferring and keeping the same value, such as between generations in the same family - but that is not the topic of this article.

The whole concept behind passing this legislation by the voters, which incidentally can only be amended by the voters, is to protect long time homeowners from being taxed out of their homes. Remember, California was experiencing a very desirable economy when this became law and home values were skyrocketing, year-after-year. Maybe not like what we've seen in the most recent boom, but similar...just a lot smaller numbers.

Once the base line is established, then the "Assessed Value" can increase by no more than 2% per year - but this is not mandatory. According to Prop 13, the owner of the real estate has the right to appeal the value if the owner feels as if the assessed value is greater than true market value. Upon a successful appeal, the value is temporarily reduced until the pendulum of the market reverses and market value once again exceeds assessed value.

Another very important aspect of Prop 13 is the tax rate. Under the legislation, the MOST the state can collect is 1% of the assessed value. ALL of the other taxes added to the tax bill, that will often drive taxes above the 2% level for newer homes, are either assessed at the time of construction (Mello-Roos) or voter approved assessments for services like schools, parks, police & fire protection. This is why homeowner is unincorporated Riverside County area, say Valle Vista only pay 1.03% and a couple of miles down the road in San Jacinto, CA the tax rate will exceed 2%.

AN EXAMPLE

So, for example, let's say a homeowner buys a home for $100,000 and is taxed on that value, for the first year. The tax paid would be $2,000. The Base Value compounds on the previous years value and the taxes billed are then on the new compounded values...and so on and so on.

NOTE: Although for my example I am using a low priced single family residence for the sake in simplicity of numbers, please KNOW that the exact same principals I share in this article apply the same as if it were a million dollar home purchased, a $10 million dollar office building, $25 million dollar shopping center, a $100 million dollar apartment complex or even $500 million dollars in undeveloped farm land. The law is the law and the process is the same at all levels - just more complex documentation is needed the more expensive the real estate from San Jacinto to Sacramento and all other points in the State of California.

For our example, year two assessed value would be $102,000. By year 10, the assessed value would still only be$119,509. Following this same scenario, by year 25, the assessed value is now only $160,843.

So for those who buy a home and stay in it Prop 13 stabilizes the tax bill, allowing for consistent budgeting year after year. The flip side, of course is when the property value is reassessed year after year. Using the same example of a $100,000 purchase and with an average of a 5% increase in value, by year 10 the same homeowners are now paying taxes on $155,132 and can be taxed at a rate determined by the legislation and local tax boards - not the voters. By year 25, with the 5% increase in value, the new value would be up to $322,509. Now while the increase in equity will make for a nice retirement account, a la the American Dream, if the homeowner had to pay that much more in taxes it could literally drive them completely out of the neighborhood.

In our examples above - after 50 years, the fixed 2% adjustment to the base value would have the homeowner taxed on $263,881 while the 5% increase in equity would jump the tax bill to tax a $1,092,133 value for the same home!

WHAT ABOUT REDUCTIONS

As I mentioned earlier, the laws have evolved that allow for a property taxpayer to appeal the assessed value, which is common in both declining markets as well as recovering markets.

Back to our example of the $100,000 homebuyer, 10 years ago and is now assessed at $117,000. While the property value may have peaked in year 7 at say $200,000 today, after the crash it is only worth about $80,000. The property taxpayer can appeal to have the value temporarily brought to the current fair market value. In many cases, County Assessors (Elected Officials) recognize the loss and decide it would be less stressful on County staff and resources to just give everyone a blanket reduction than handle all of the appeals that would otherwise be filed by the property taxpayer.

Just because the Assessor grants an automatic reduction does not mean that the owner of the real estate is not entitled to further reductions. In our example, the Assessor may reduce the tax bill to an assessed value of $100,000 leaving the other $20,000 in lost value still taxed. Unfortunately, most property owners will feel grateful they got something and let it go at that.

However, the taxpayer is entitled to reduce the assessed value to the true fair market value, at the time of the assessment. Savvy taxpayers will file claim after claim, as the values continue to decline - as is their right and responsibility to their own bottom line.

Not only can tax payers appeal the value on the way down, but claims can also (and should) be filed on the way back up. So, by example, the reduction in our sample single family residence is brought down to $80,000 and the market takes a turn north in year 3, the base line of the assessed value is now $124,337. While the county may feel that to be appropriate at that time, a successful appeal can reduce and delay the climb back up, as well.

WHAT IS INVOLVED

First let me say, I am no expert and anyone contemplating doing this for themselves need to become very familiar with all of the state and local guidelines and regulations that dictate the procedural steps necessary. The do-it-yourselfer must be very aware of the numerous timelines and deadlines, throughout the year and must have access to accurate data about active, pending and sold properties in the neighborhood.

There is no fee to process the application, on your own.

The alternative is to hire a third party company...and this is risky. Many services have popped up selling simple do-it-yourself kits, which is nothing more than what can be found on the County Assessor websites. Others are charging a higher fee, and processing claims in a paper mill fashion - just filing on everything whether it makes sense or not.

What anyone considering hiring any property tax reduction service must know is what level of service the company will provide for their clients...and if there are ever going to be any additional out-of-pocket expenses to the client. If the County does not grant the reduction and an appeal hearing is scheduled...will the consultant be there and how prepared will they be? What is their level of credibility? How much experience can anyone actually have doing this sort of business, since property values only started to decline a couple of years ago.

MY REFERRAL

This is a totally biased opinion because I am referring a very dear friend who I first met in 1993 when we each had office space in the same building, in Running Springs California. My friend had been successfully involved in the property tax reduction business for 3 or 4 years at that point working almost exclusively with large commercial properties.

His business continued to thrive and prosper for several years into the recovery when it finally went dormant around 2002, as the recovery had finally kicked into gear and started to escalate.

The good news, my friend never charged a client a dime. He simply billed based on a percentage of the money he and his firm actually saved his clients. I know he did great work - he was constantly on the move then - driving up and down the state looking at properties and investigating first hand the comps being used. He would attend Assessor Appeal Hearings almost every week and when he went he had state-of-the-art (for the mid 1990s) presentation material that as thoughtfully and methodically assembled to drive home his point which more often than not resulted in his successfully driving the assessed value down below the actual market value. He built a reputation in most of the County Assessors offices that if he was scheduled to appear at a Board Hearing, that he would serve the Assessors Head to them on a platter...which often resulted in stipulated reductions days before the hearing date...as the Assessors were tired of being embarrassed by my friend.

The good news is my friend is every bit a forward thinker today as he was in the late in 1980's when he started his first firm. Summer of 2006, he came to me with his market forecast and new the time was ripe to start up his property tax reduction business, once again. Agreeing with all he said, I was involved for a short while, laying much of the groundwork and even building the first company website. Unfortunately or fortunately, I did not last with the company, as my own real estate business was getting ready to take off and I had to choose one over the other. Today, we both have found success.

So, it is with great pride and respect that any California property owner, who is not losing their real estate to foreclosure, should contact the California Property Tax Associates for a free no obligation consultation. Again, they specialize in high end residential and commercial real estate property tax reductions, throughout the entire state of California from the same small mountain community of Running Springs. My friends name is Jim Guffey and today he and his sons run the business.
Until Next Time, Have a Blessed Day,

John Occhi, ePRO & Five Star Certified REO REALTOR®
www.JohnOcchi.Com
Hemet - San Jacinto Valley, CA
The Excellence in Real Estate Team @
Allison James Estates & Homes
2281 W. Esplande Ave, #102-B
Next to "Starbucks"
San Jacinto CA 92582
(951) 654-5550

This blog and the contents written here is the intellectual property of John Occhi, Hemet - San Jacinto Valley REALTOR® in the South West Riverside County region of the Inland Empire of Southern California. The views and opinions expressed are just that - views and opinions of John Occhi and those who comment. Please note that I am not an attorney or a tax professional and any time I discuss either topic, I suggest you consult with the proper professional for relevant assistance.

This blog is part of the ActiveRain Real Estate Network, which is a social network highlighting the best of Web 2.0. Information is provided with the intent of educating and assisting home owners, home sellers, home buyers and real estate investors with information the can be used to make better real estate decisions.

I am proud to be a full time REALTOR® who is proud to be a contributing member of the ActiveRain community.

Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

Where Is The Bailout Money When You Need It?

Fri, 27 Nov 2009 01:26:00 -0600

Gena Riede hit this one on the head and I just had to share it with you!

Rosemary Brooks

Patrick Williams & Associates

Via Gena Riede, Real Estate Broker Sacramento CA Real Estate (916) 417-2699 (Riede Real Estate, Lic. 01310792):

Where is all this bailout money that we as tax payers have paid banks? As a Sacramento Realtor/Broker and owner of Riede Real Estate I am here to tell you that the banks have taken our money and bought out other banks and no telling what else...but they aren't helping the distressed homeowner.

For over a year there have been TV commercials stating that all you have to do is call your bank. If you would like to see what a typical scenario of "just calling your bank," is like you really need to watch ABC news video were Congresswoman Waters of Los Angeles tried to do just that with IndyMac Bank, Bank of America and Countrywide (was this when Countrywide outsourced these calls to India?...of course it's no better now, either). It is a joke calling the banks for help! If they treat a Congresswoman like this, how do you think they treat the troubled homeowner calling?

Watch a video that shows what it's like to call the banks by click on Where Is The Bailout Money When You Need It?

Look at all of the homes for sale by Clicking Sacramento MLS where you can pick any community or city around Sacramento and see homes for sale or simply click on the photo and pick the area you are interested in finding a home or condo for sale in. Or click here to see all Sacramento Bank Owned Homes for Sale or Sacramento Short Sale Homes for Sale

If you like what you read here on Sacramento Real Estate Voice click and subscribe to get the latest articles sent to your email. Don't miss out on home buyer tips, homeowner tips and your real estate questions.

If you have a real estate question that you would like an answer to, be sure to check out and read what other home buyers and home sellers have asked and feel free to ask your Real Estate question by email. Perhaps, your question will be part of the next article featured on Sacramento REAL Estate Voice. Just ask the Realtor, Gena Riede of Riede Real Estate.

Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

You Engaging Others - Concentrate On The Verb, Not The Adjective

Fri, 27 Nov 2009 01:10:21 -0600

I am re-blogging this excellent feature hoping that I will expose it to other AR members that have not seen it already. Great post Jeff Turner.

I am engaging myself: To gain over; to win and attach; to attract and hold; to draw.

Rosemary Brooks

Patrick Williams & Associates

Via Jeff Turner (Real Estate Shows):

When I talk about the concept of YEO, You Engaging Others, the word "engaging" is used as a verb. This is not an accident.

Reading through the comment stream of my post last week, I occured to me that some were responding to the word "engaging" as an adjective. In it's adjective form, engaging means, "Interesting; charming; attractive, especially of a manner or behaviour." And while I think that's all well and good, that's not what I mean when I use the word "engaging."

I mean the verb:

To gain over; to win and attach; to attract and hold; to draw.

To gain for service; as, to engage friends to aid in a cause.

To employ the attention and efforts of

To embark in a business; to take a part; to employ or involve one's self; to devote attention and effort; to enlist;

For our purposes, whether or not you are "engaging" is judged by other peoples actions, not by yours. It is not judged by how charming you are, but by whether or not your followers take action on your behalf.

The path to engagement is through awareness and interaction.

Focusing on "engaging" as an adjective may get you to awareness and interaction, but only focusing on the the actions required to make it a verb will lead you to engagement, to someone taking action on your behalf.

One additional thought.

Often, engagement must look like this first. If you want others to engage on your behalf, engage on their behalf.

Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

Please Mr. Victoria Banker..Pre-Approve our Mortgage Properly

Fri, 27 Nov 2009 01:03:01 -0600

This is timely request and is well worth the read... As we go forward, with the lending processes changing it will help if the loan consultants can get their act together to help make the easier and a little more enjoyable.

Thanks, Fred Carver for the post.

Rosemary Brooks

Patrick Williams & Associates

Via Victoria Oak Bay Realtor Fred Carver 250-598-2963 for Victoria Oak Bay Homes (Re/Max Camosun Oak Bay & Surrounding Area Real Estate):

Please Mr. Victoria Banker..Pre-Approve our Mortgage Properly

Just this Week..I was referred to a New Home Buyer by her Parents. She had been to see her Mr. Victoria Banker and they told her she was good to borrow up $220,000, and she qualified to get cash back which she can use for her down payment.

This Lady was excited with the thought of owning her 1st home... she is a retail store area manager and has a another business she manges that is her own.. Good income and stable person.

I called her parents right away and thanked them for referring me their Daughter to help her Buy her first home.

Wow..I like helping first time home buyers as they appreciate your advice and listen..After our first meeting I recommended she get her mortgage approval in writing and explained why. She agreed to call and we set a date to view homes For Sale on her day off.

Fast forward.....we met and found two Condo's she liked and we discussed her Dad viewing them. I asked her if she has talked to her Victoria bank about getting her mortgage pre-approval....she said she called them for an appointment and went in to see about getting a pre approval in writing...

Get this...... they told her she Did Not need a pre approval and to just make an offer on a home Subject to being approved for a mortgage..The Hair went up on the back of my neck, I knew they had not taken a proper mortgage application.

Knowing her mortgage may not really been pre-approved by Mr. Victoria Banker, I recommended she talk to a mortgage broker, and I gave her a phone number to call. I did not want my new home buyer to go through negotiations and be turned down,and I felt a few more days would be good business..

You guessed it the mortgage broker called me and said my Buyer does Not qualify, but she will by the Spring time.

I was Happy and Disappointed.... I knew my client would be disappointed, but better knowing now, not after trying to buy a home and losing out because we acted on a verbal approval by her Mr. Victoria Banker.

Please Mr Victoria Banker..Pre-approve our mortgage properly, so our clients do not get disappointed and lose out and be discouraged with the home Buying Process in Victoria.

I spoke with my Client today.....she is okay with waiting and very glad she found out before making an offer to buy a home.

Here is a short list from my Mortgage Broker why home Buyers should get pre-approved for a mortgage:

to hold an interest rate for up to 120 days.

to ensure that the client qualifies for a mortgage based on income.

to ensure the client’s credit score is sufficient to meet lender guidelines.

to speed up the approval process at the time of offer. If a pre-approval has already been done including a credit check and income verification, then when an offer is accepted it just has to be added to the already reviewed details.

to ensure the client isn’t looking at properties they can’t afford based on qualification.

to confirm if the client could be looking at properties in a higher price range, which may open up more listings to view

to confirm not only the maximum monthly payment that the person can afford, but to ensure that this payment is comfortable for the client.

Google Map To Fred's Oak Bay Office

Cheers

Fred Carver
Re/Max Camosun-Oak Bay

Google Map of Fairfield and Rockland

2239 Oak Bay Ave, Victoria, BC V8R 1G4
Victoria, BC
250-598-2963

Victoria Homes and Properties For Sale

Copyright © 2009 By Fred Carver All Rights Reserved "Please Mr Victoria Banker..Pre Approve our Mortgage properly?"

P

Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

Happy Thanksgiving Weekend to you and your family!

Fri, 27 Nov 2009 00:51:10 -0600

Well most of the Thanksgiving day is over but I did not want to miss out on wishing everyone a great day and weekend. I hope that you had time to reflect on thanksgiving and showing love to your family and friends. I am sure the food was great and there was plenty of laughter. Keep this up for the rest of the weekend, enjoying the leftovers and the company. Stay safe and keep enjoying yourself.

(the ActiveRain system was down this morning.... but I hope I still get to a few of the AR die hards - at least)

HAPPY THANKSGIVING TO YOU!

Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

Buyers: Buying a Condo / Townhouse requires close review of documents

Fri, 27 Nov 2009 00:40:07 -0600

Buying a Condo or Townhouse

Did you know?

Most sellers will have a clause in the contract that will definitely affect the buyer. This clause can easily be missed when reading the very “boring” contract - HOWEVER, it is very important:

If the property is

a condominium or
planned unit development or
co-operative,

Unless otherwise required by law, the Buyer, at the Buyer’s own expense, is responsible for obtaining and reviewing the

covenants,
conditions and
restrictions, and
bylaws

of the condo or planned unit development or cooperative within - a specified number of days - these are calendar days… from the effective date. The seller will agree to use “reasonable efforts” - as determined by the seller’s sole discretion, to assist the Buyer in obtaining a copy of the covenants, conditions and restrictions, and bylaws.

The Buyer will be deemed to have accepted the covenants, conditions and restrictions, and bylaws if the Buyer does not notify the seller in writing within 15 days (calendar days from the effective date) of the Buyer’s objection to the, conditions and restrictions, and /or bylaws. SIDE NOTE: Reasonable efforts might not work… Buyer’s agent should be on top of getting these documents to the Buyer in time.

What does this mean to a Buyer?

It means that your agent will need to request escrow to get a copy of the Condo’s documents for your review.
It means that will need to be done immediately after escrow is opened and
It means the Buyer will have to pay for these doc fees (unless it is agreed that the seller will pay – usually not!
It means that the buyer will need to take a look at the documents and determine if they are OK with the rules and covenants of the condo association.
It means that the buyer should check to see if there any outstanding litigations on the condo complex.
It means that the buyer should check for a red flag on how many units are owner occupied verses rentals.

This can be deal killer for FHA financing if the rental ratio is too high. Since there is a time limit associated with reviewing these documents, Buyer and agent should be on top of this right from the start.

CHECK OUR WEBSITE: http://www.motheranddaughterrealtyteam.com

Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

Buyers: VERBAL acceptance??? What’s that got to do with Effective dates?

Fri, 27 Nov 2009 00:25:57 -0600

Time to scratch your head again!

Listing agents are sending out emails to the buyer’s agents that say it is a verbal counter from the bank. Wait! Hold your horses - don’t get too excited about it until you really think it out and get yourself together long enough to see what they are really asking you.

Of course you will be excited that your offer received some personal attention from the seller but wait just a minute. The word Verbal and Acceptance might not be a good match!

Verbal acceptance…. Don’t mean anything until you get something in writing. That rule has not changed. So agents need to put that listing agent back in check and respond that the buyer is excited that he seller is interested and will await something in writing from the seller – this is especially true when the agent is asking for the buyer to agree to shorten inspection time back to this VERBAL communication.

Most that I have seen will say the seller expects the buyer to waive the inspection period and to pay any differences between the appraised value and what they have offer... then there can be a deal! Asking you to waive the inspection period, is not a good thing unless you are paying cash and really don't care what the value of the property is.

And Buyers you cannot run right out and pay for an inspection on every verbal you get! I mean $350 - $400 is real money. You don’t get it back if your offer is not accepted! If I were the agent I would suggest to my buyer that we wait and see what and when we get a counter or an addendum from the seller, read the terms and respond by either countering or signing the addendum at that time.

They say time is of the essence but that should have nothing to do with rushing through the process and putting you in a position to make an unwise decision.

** Just a reminder: Fannie Mae responses are slow, especially after you sign the addendum.. they take a while to go through the QC process before you will get the actual executed contract… this is a real good reason why it is important to not agree to Verbal acceptances without the verbal turning into written acceptance.

CHECK OUR WEBSITE: http://www.motheranddaughterrealtyteam.com

Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

There’s no RUSH… to getting back into Homeownership- is there?

Thu, 26 Nov 2009 23:55:52 -0600

There is a rumor... or is it truth?? That FHA is lowering the waiting guidelines on how long you have to wait AFTER you do a Short Sale to purchase another home using FHA financing.

Some say it is 3 years or longer, some say as soon as 1 year after!! One year?? Is that truth? According to the rumor, as long as you do not have late payment history for the last 12 months – you are good to get a FHA loan. Is this truth?

So I put that question to the test with a FHA loan expert yesterday – while at a FHA class. I was told that we must remember that Short Sales are reported on your credit as if it was a foreclosure (in most cases) – unless this negotiated prior to closing the short sale. And even then, there is no promise that the bank will keep their word.

So if it is reported like a foreclosure…. 1 year will definitely turn into at least 3 years of waiting. So Homeowners: Nothing is that certain as to how this will all turn out and if you are getting out of a bad deal, I’d suggest you put it in your mind that it will be at least 3 years before you can become a homeowner again.

If that changes, it would be all good.

CHECK OUR WEBSITE: http://www.motheranddaughterrealtyteam.com

Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

In Stockton, CA - Can you make a deal buying a NEW Home?

Thu, 26 Nov 2009 23:54:23 -0600

While most First Time Home Buyers are shying away from the new homes and are only looking for the foreclosed - bank owned or short sale properties in search of a deal... NEWS FLASH! there still may be a few good deals in the new homes in the Stockton, CA area. Surely not as many homes available, but it may be worth checking out. It is true it is hard to find new constructed homes in this area since most builders are not building right now.

Some would ask are there really any deals when you purchase a new home? Don't forget you get the tax credit until mid 2010. And doesn't everyone want a new home?

I found that most builders have their building project on hold due to the market conditions. The lots are vacant and weeds are taking over. However, there are a few available homes in the Riverbend community in Stockton, CA - builder is KB Homes and they say they build to order.

Riverbend is located in the 9212 zip code area of Stockton, CA. It might be well worth it to check out this community to see what incentives KB is offering to 1^st time home buyers or up-graders. They advertise that their homes start from $233,000!

I recommend you give me a call before you go New Home searching - and we can take a stroll over to KB to see what they are offering.

Real Estate Market Info		Community Information for 95212
Median Home Sale Price	$376,975	Population	13,521
Annual Turnover Rate	19.55%	Median Age	40
In current residence 5+ yrs	33.35%	Median Household Income	$49,982
Median years in residence	3.28	Households with Children	29.37%
Homes Owned	82.48%	Median Travel Time to Work	17.6 minutes
Homes Rented	10.74%
Homes Vacant	6.78%

*Based on zipcode 95212

CHECK OUR WEBSITE: http://www.motheranddaughterrealtyteam.com

Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

Not enough equity to sell your property.... and cover the closing costs! Ask for a Short Sale!

Mon, 23 Nov 2009 20:22:08 -0600

If you are wondering if you can ask for a short sale from your lender if you are not really under water, but want to sell your property to get out from under the mortgage, you would not be able to get enough out of the sale to cover the closing costs. This is still worth you trying to get a short sale approval if you really want to sell the property.

The same short sale rules would apply:

List the property
Get an offer
Submit the offer with a HUD, financial statement, W2, pay stubs, hardship letter

Before you get started, get yourself a real estate agent to handle your short sale. Make sure you hire an agent that know about short sales.

CHECK OUR WEBSITE: http://www.motheranddaughterrealtyteam.com EMAIL: info@motheranddaughterrealtyteam.net

Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

Loans for Teachers and First Time Buyers

Mon, 23 Nov 2009 20:03:11 -0600

Thanks Michael Bloch this is great information for Teachers to read. I am passing it on.

Rosemary Brooks

Patrick Williams & Associates

866-543-0461

Via Michael Bloch (Lifestyles Real Estate):

As a former second grade teacher in Watsonville, one of my goals in Real Estate has always been to help teachers buy homes. One of the upsides of the drop in home prices has been that I have been able to help more teachers and other local buyers purchase their first home. Along with the reduction in prices there has also been an extreme tightening of lending guidelines, which has made it difficult to qualify for a loan. To get conventional financing buyers now need 20% down. However, there are several programs that can help teachers and other first time buyers. Here are some examples with brief descriptions. If you would like more information or have specific questions about any of these programs, please let me know.

CALSTRS- This is a program which works with the California State Teacher Retirement System (CALSTRS) to provide fixed rate loans with 3% down. The buyer gets two loans. One for 80% of the value of the home, and another for 17% of the value of the home. Both of the loans are fixed rates for the life of the loan. In addition, the second loan of 17% has no payments due for the first 5 years of the loan. Many refer to this as a "silent second". This gives buyers 5 years to get used making mortgage payments while getting ready for a higher payment in five years. The increased payment is defined from day one, so there are no surprises. The interest rate is fixed at today's competitive and historically low rates.

FHA- These are government insured loans through the Federal Housing Administration. You do not need to be a teacher or first time buyer to qualify. The main advantages are the low down payment (3.5%) and looser credit restrictions. However, they do collect quite a bit of prepaid interest, insurance, taxes and there is often a high onetime fee, which all makes closing costs high relative to the size of the loan. There is also mortgage insurance required for these loans, which adds to the monthly expense. I will often negotiate the deal so that the seller is paying the majority of the closings costs since many buyers need their savings for the down payment as well as reserves funds and extra money for any repairs or improvements that the property needs.

CALHFA- The California Housing Finance Agency is also offering the CAL-30 loan. This loan only requires 5% down, and is also a 30 year amortized, fixed loan. I recently received a bulletin saying that through monies from the Federal Government and approval from Governor Schwarzenegger there should be funds available for first time buyers. I had stopped recommending this program awhile ago because they had run out of funds to loan money. It appears that they will be funded again, and I am having a local lender look into the pros and cons of the loan with today's underwriting standards.
If you have any questions or know anyone interested in more information on fixed rate loans with low down payments, please let me know.

Michael Bloch

Realtor, GRI

Lifestyles Real Estate

Santa Cruz, California

mbloch@lsre.net

831.588.1588

Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

Wachovia (aka World Savings) Fast Track For Short Sales and Loan Modifications

Mon, 23 Nov 2009 20:00:37 -0600

I just submitted a short sale request to Wachovia and do have the contact for the Fast Track manager. This is a great post, so thank you Michael Bloch and it is well worth the re-post.

Rosemary Brooks

Patrick Williams & Associates

866-543-0461

Via Michael Bloch (Lifestyles Real Estate):

Wachovia (aka World Savings and Golden West) currently has the most aggressive program to help homeowners avoid foreclosure. Today I attended training at the Santa Cruz Board of Realtors put on by a Wachovia Short Sale Manger from Santa Clara In the current world of processing nightmares for short sales and loan modifications, there is finally one lender is "getting it". It's not rocket science. When lenders have to foreclose on a home they lose a tremendous amount of money. However, if they work with the homeowner to keep them in the home with a loan modification or allow them to sell short, they are saving huge amounts of money from the bottom line. Wachovia has streamlined their loan modification process and short sale process, making it a quicker and smoother process. They are calling this the FAST TRACK. This means that if you know anyone with a World Savings, Golden West or Wachovia loan that is underwater or having some kind of hardship, we can help them get answers relatively quickly. This also means that if you are buying a short sale, and the seller's lender is Wachovia, you will most likely have an answer sooner than later. Wachovia says they will have it approved in 45 days or less.

What is also very exciting to actually have a direct contact with a Short Sale Manager at Wachovia. (Wachovia took over World Savings and Golden West so this applies to those loans as well) We have all been transferred through the never ending maze of a customer service phone tree, only to become increasingly disgruntled. Multiply that frustration tenfold when dealing with a large bank like B of A on a short sale. I know have the name, phone number, email, and physical address of an actual person that can make actual decisions on short sales!

Unlike most lenders, Wachovia is not requiring extensive documentation from the property owner to do a short sale. They only require a hard ship letter from the seller and a phone interview. If it is for a loan modification they will also want to see proof that the owner has the ability to pay. This is smart as many other modifications end up in back in default because they can't afford their modified terms.

Wachovia is also sending out letters to certain homeowners letting them know that their home was "pre-approved" for a short sale. If you get one of these letters, please contact me I can help you understand what it means.

If you or anyone you know would like help with getting qualified for a loan modification or short sale, please contact me and I will be happy to assist you at no cost to you.
Michael Bloch

Realtor, GRI

Lifestyles Real Estate

Santa Cruz, California

mbloch@lsre.net

831.588.1588

Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

How To Add MP3 Files to your Blog

Mon, 23 Nov 2009 19:35:25 -0600

Brad Andersohn is awesome! Check out this on how to set up your MP3 on your blog.

Via Brad Andersohn ~ Community Manager (ActiveRain):

How To Add MP3 Files to your Blog

Marie Westerman, a REALTOR® member here from Georgia emailed me this morning and asked, "Brad how can I put a MP3 into a blog?" Knowing that there are probably other members wondering how to do this, here's a quick tutorial that will show you How To Add MP3 Files to a Blog Post.

VERY IMPORTANT TIP: Keep in mind that MP3 audio files should never be setup to "AutoPlay" on your Blog. Let your readers and listeners select if they want to hear it or not. If you set them up to "autoplay", you might scare the crap out of somebody when they load your post at 1:00am and their computer speakers are up full blast! lol~ This is the quickest way to get someone to close their browser on you!

Here's an MP3 player that is used for ODEO.com audio files and it works well here on AR. I used a funny example of an MP3 file just to make this Blog post a bit more fun and interesting. (It is NOT the actual AR Support Answering Machine)

Click the button on the player to listen.

This is the code you will need to place in the HTML tab when creating a new post. All you need to do is find the .MP3 file on the web that you want played, then replace the URL or web address you currently see in the HTML code highlighted below. Just erase the one that is there and replace it with the URL where YOUR MP3 file is located. For this type of MP3 embed, the file must be on the Internet housed on a server somewhere.

To use the embed code above, here's a site where you can copy the code to paste to your blog since the one above is only an image/screen shot and can't be copied and pasted. Click here to get the code.

Getting a bit more practical, here's an actual MP3 worth Listening to. It's a podcast MP3 by Marissa Mayar from Google talking about innovation at Google. This is the type of MP3 or Audio file that might bring more value to your readers listeners.

There are some other ways to embed sound files, MP3 files, podcasts etc. This should be a good start and easy way for anyone wanting to add "optional" audio to their Blogs and posts. Thanks for asking Marie, I hope this helped. Happy Blogging and Listening! :-)
If reading or listening just isn't your thing, here's a video that might help you more.

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Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

How healthy is your drywall?

Sun, 22 Nov 2009 15:37:55 -0600

CHINESE/DEFECTIVE DRYWALL

During the time much of the United States was experiencing building material shortages, some homes were built or renovated using defective drywall imported from or manufactured in China. Defective drywall reportedly emits levels of sulfur, methane and/or other volatile organic compounds that cause corrosion of air conditioner and refrigerator coils, copper tubing, electrical wiring, computer wiring and other household items as well as create noxious odors which may also pose health risks.

When purchasing REOs remember, the Seller has made no inspection for and has no knowledge of the presence of Chinese/defective drywall affecting the Property, unless otherwise stated in the Counter Offer.

You may get a disclosure to sign with this wording on it. This is not talked about much but it can cause some health problems. Make sure you have a home inspection and see if they can verify what kind of drywall you have -- especiallly if it is exposed.

CHECK OUR WEBSITE: http://www.motheranddaughterrealtyteam.com EMAIL: info@motheranddaughterrealtyteam.net

Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649

Smooth Sunday - just days before Thanksgiving!

Sun, 22 Nov 2009 14:14:54 -0600

This Sunday is my Smooth Sunday. This is the beginning of a good week and a time set aside for giving thanks for life. For some reason I am really feeling it this year.... smooth and its Sunday (makes smooth Sunday). Kids are out of school next week, Turkey is waiting to be dressed all up, cakes and greens, macaroni salad, green beans, sweet pototoe pies are waiting to be baked and I am feeling especially "smooth" today.

While I have had my share of "no so good days", months, years and yes decades -- I still have much more to be thankful for. I am soooo Thankful for being able to work with my daughter in Real Estate and we get along too!! We are the Mother and Daughter Realty Team....How precious that is.

If I could change things I would have my husband, mother, brother, unlces, aunties right here with us to listen to me say how thankful I am, to come over and enjoy Thanksgiving Dinner and day with us. But... my smooth thoughts tell me they are right here with me daily and that they all stay busy getting God to keep his hands on me and the family.

So yeah, today is a "Smooth Sunday" for me and I am so very thankful for all that God has provide me including what I felt was my "bad days" because all the experiences have made me the woman I am -- it all made me, be me.

Thank you Jesus and I am so excited about Thanksgiving and the trimmings -- and then there's Black Friday right after.

So MUCH to be THANKFUL for!

Rosemary Brooks

Patrick Williams & Associates

Mother and Daughter Realty Team

PH: 866-543-0461

FAX: 866-815-1649