Michael's Blog

Documentation waivers still exist......

Your mortgage guy — Sat, 13 Dec 2008 14:34:30 -0600

Just an FYI (especially for Minnesota), we still have the ability to issue (and are issuing) loan approvals based on income, asset and, on some refinances, even appraisal documentation waivers.....

I don't know of anyone else doing this....as a matter of fact, I was just referred a loan recently from a friend of mine at US Bank because they couldn't do a documentation waiver program-yes, I have the preliminary approval and the loan is locked!

The big difference is we don't have any chart like in the past that says "if this and this then it qualifies for that". It is a waiver program that is computer driven and it takes the whole file into consideration then gives us a decision and loan documentation requirements based on the the situation......I will say that, good credit still goes a long ways!

Just a heads up...if anyone has a situation where this may be valuable, it's definitely worth looking into-and I'd love to help!

Lender list now up to 311 Lenders........

Your mortgage guy — Sat, 13 Dec 2008 14:22:51 -0600

12/12/08 Here's the updated list from Mortgage Implode (www.ml-implode).

Sad to think of all of the people that these lenders closings effects...... and what a ripple effect it has (title, appraisers, the paper guy, coffee guy, the restaurant next door, etc).

"Imploded" lenders: The "imploded" status is somewhat subjective and does not necessarily mean operations are ceased permanently: it can mean bankruptcy filing, temporary but open-ended halting of major operations, or a "firesale" acquisition. The Companies include all types (prime, subprime, or a mix of both; retail or wholesale; subsidiaries and entire companies). Note: Companies listed here may still be operating in some capacity; check with them before making assumptions.

Imploded* Lenders^TM

311. BankUnited - Wholesale
310. Solstice Capital Group - HSBC
309. MortgageIT
308. HCL Finance Inc. - Wholesale
307. LIME Financial Svcs. - Wholesale
306. Mortgage Network Inc. - Wholesale
305. Fortes Financial - Wholesale
304. HSBC Mortgage Corp. - Wholesale
303. CBRE Realty Finance
302. Franklin Bank, SSB
301. Mortgage Lion, Inc. - Wholesale
300. HMS Capital, Inc.
299. American Sterling Bank - Wholesale
298. CTX Mortgage Co. - Retail
297. Equity One Commercial
296. Coldstream Financial Svcs.
295. Banco Popular North America - Wholesale
294. Ace Mortgage Funding, LLC
293. E-Loan
292. Gateway Bank, F.S.B. - Wholesale
291. First Call Mortgage Co.
290. Downey Savings and Loan - Wholesale
289. Prospect's Metrocities Mortgage - Wholesale
288. ComCor Mortgage - Wholesale
287. Chevy Chase Bank - Wholesale
286. Washington Mutual - Retail and Warehouse
285. Hometown Commercial Capital
284. Mid Atlantic Capital LLC
283. Kemper Mortgage, Inc.
282. Liberty Mortgage Funding Co.
281. Freddie Mac
280. Fannie Mae
279. Pacific Community Mortgage, Inc. - Gold Reverse, Inc.
278. Homecomings Financial, LLC
277. Thornburg Mortgage
276. CSB Mortgage
275. Carteret Mortgage Corporation
274. Accredited Home Lenders, Lone Star Funds - Wholesale
273. Western Residential Mortgage
272. Liberty Home Lending
271. Equipoint Financial Network, Inc.
270. Ideal Mortgage Bankers, Ltd. - Wholesale
269. Silver State Bank - Wholesale
268. Irwin Union Bank & Trust Co. - Wholesale
267. SunTrust Bank Equity Wholesale
266. Wachovia Mortgage, FSB - Wholesale
265. Lehman Brothers SBF
264. IndyMac Bancorp
263. Mortgages Ltd.
262. Wilmington Finance - Wholesale
261. Accredited Home Lenders, Home Funds Direct
260. Assured Lending Corp. - Wholesale
259. Homewide Lending Corporation
258. Vanguard Mortgage & Title, Inc.
257. Chase Home Equity - Wholesale
256. Chase Subprime - Wholesale
255. Evergreen Investment & Carnation Banc
254. Casa Blanca Mortgage/Shearson - Wholesale
253. Guaranty Bank - Correspondent
252. Citi Residential Lending
251. Montgomery Mortgage Capital Company
250. E*Trade Wholesale Lending
249. Shearson Financial Network, Inc.
248. American Bank Mortgage Group - Wholesale
247. AmeriBanc Corp.
246. Washington Mutual - Wholesale
245. Century Bank, F.S.B. - Wholesale
244. Diversified Mortgage, Inc.
243. National Wholesale Funding
242. Centennial Mortgage and Funding, Inc./Award Mortgage
241. Fidelity Home Mortgage Corp.
240. LMI Funding, Inc.
239. Millennium Mortgage - Wholesale
238. Origen Financial, Inc. (Correspondent)
237. CitiMortgage - Home Equity Wholesale
236. Bear Stearns Residential Mortgage
235. East West Mortgage Co. of VA
234. New Vision Residential Lending
233. Washington Savings Bank, F.S.B. - Wholesale
232. Macquarie Mortgages USA Inc.
231. Global Mortgage, Inc.
230. Unique Mortgage Solutions (UMS, LLC)
229. First Franklin - Merrill Lynch
228. First National Mortgage Sources
227. Resource Mortgage (Wholesale)
226. KH Financial
225. Lydian Mortgage
224. OMG Wholesale Lending
223. Saxon Mortgage (Wholesale)
222. Beazer Mortgage Corp.
221. Allpointe Mortgage (Broker Program)
220. Popular Warehouse Lending
219. Allied Lending Corp. (Wholesale)
218. BF Saul Wholesale Lending
217. Community Resource Mortgage
216. Lehman/Aurora Loan Services
215. Residential Mortgage Capital
214. Maverick Residential Mortgage
213. Countrywide Financial Corp.
212. First NLC Financial Services
211. First American Bank (Wholesale)
210. Soma Financial
209. National City Corp. (Wholesale)
208. Heartland Wholesale Funding
207. Homefront Mortgage Inc.
206. PNC Bank H.E.
205. Family First Mortgage Corp.
204. First Fidelity Financial
203. BSM Financial
202. 1st Choice Mortgage
201. Wescom Credit Union
200. Coast Financial Holdings/Coast Bank
199. WaMu (Subprime)
198. First Madison Mortgage
197. Southern Star Mortgage
196. TransLand Financial
195. Secured Bankers Mortgage Company (SBMC)
194. ComUnity Lending
193. Delta Financial Corp
192. BayRock Mortgage
191. Empire Bancorp
190. Option One - H&R Block
189. Citigroup - FCS Warehouse
188. Charter One (Wholesale)
187. Wells Fargo - Home Equity
186. Paul Financial, LLC
185. Webster Bank (Wholesale)
184. Fieldstone Mortgage Company
183. Tribeca Lending Corp. (Wholesale)
182. WAMU Comm. Correspondent
181. Marlin Mortgage Company
180. Countrywide Specialty Lending
179. UBS Home Finance
178. MortgageIT-DB (Retail)
177. Edgewater Lending Group
176. ResMAE Mortgage Corp.
175. Citimortgage Correspondent (2nds)
174. AMC Lending
173. Liberty American Mortgage
172. Exchange Financial (Wholesale)
171. FirstBank Mortgage
170. Bank of America (Wholesale)
169. Diablo Funding Group Inc.
168. Honor State Bank
167. Spectrum Financial Group
166. Priority Funding Mortgage Bankers
165. BrooksAmerica Mortgage Corp.
164. Valley Vista Mortgage
163. New State Mortgage Company
162. Summit Mortgage Company
161. WMC
160. Paragon Home Lending
159. First Mariner Wholesale
158. The Lending Connection
157. Foxtons, Inc.
156. SCME Mortage Bankers
155. Aapex Mortgage (Apex Financial Group)
154. Wells Fargo (various Correspondent and Non-prime divisions)
153. Nationstar Mortgage
152. Decision One (HSBC)
151. Impac Lending Group
150. Long Beach (WaMu Warehouse/Correspondent)
149. Expanded Mortgage Credit Wholesale
148. The Mortgage Store Financial
147. C & G Financial
146. CFIC Home Mortgage
145. All Fund Mortgage
144. LownHome Financial
143. Sea Breeze Financial Services
142. Castle Point Mortgage
141. Premium Funding Corp
140. Group One Lending
139. Allstate Home Loans / Allstate Funding
138. Home Loan Specialists (HLS)
137. Transnational Finance Wholesale
136. CIT Home Lending
135. Capital Six Funding
134. Mortgage Investors Group (MIG) - Wholesale
133. Amstar Mortgage Corp
132. Quality Home Loans
131. BNC Mortgage (Lehman)
130. First National Bank of Arizona
129. Chevy Chase Bank Correspondent
128. GreenPoint Mortgage - Capital One Wholesale
127. NovaStar, Homeview Lending
126. Quick Loan Funding
125. Calusa Investments
124. Mercantile Mortgage
123. First Magnus
122. First Indiana Wholesale
121. GEM Loans / Pacific American Mortgage (PAMCO)
120. Kirkwood Financial Corporation
119. Lexington Lending
118. Express Capital Lending
117. Deutsche Bank Correspondent Lending Group (CLG)
116. MLSG
115. Trump Mortgage
114. HomeBanc Mortgage Corporation
113. Mylor Financial
112. Aegis
111. Alternative Financing Corp (AFC) Wholesale
110. Winstar Mortgage
109. American Home Mortgage / American Brokers Conduit
108. Optima Funding
107. Equity Funding Group
106. Sunset Mortgage
105. Nations Home Lending
104. Entrust Mortgage
103. Alera Financial (Wholesale)
102. Flick Mortgage/Mortgage Simple
101. Dollar Mortgage Corporation
100. Alliance Bancorp
99. Choice Capital Funding
98. Premier Mortgage Funding
97. Stone Creek Funding
96. FlexPoint Funding (Wholesale & Retail)
95. Starpointe Mortgage
94. Unlimited Loan Resources (ULR)
93. Freestand Financial
92. Steward Financial
91. Bridge Capital Corporation
90. Altivus Financial
89. ACT Mortgage
88. Alliance Mortgage Banking Corp (AMBC)
87. Concord Mortgage Wholesale
86. Heartwell Mortgage
85. Oak Street Mortgage
84. The Mortgage Warehouse
83. First Street Financial
82. Right-Away Mortgage
81. Heritage Plaza Mortgage
80. Horizon Bank Wholesale Lending Group
79. Lancaster Mortgage Bank (LMB)
78. Bryco (Wholesale)
77. No Red Tape Mortgage
76. The Lending Group (TLG)
75. Pro 30 Funding
74. NetBank Funding, Market Street Mortgage
73. Columbia Home Loans, LLC
72. Mortgage Tree Lending
71. Homeland Capital Group
70. Nation One Mortgage
69. Dana Capital Group
68. Millenium Funding Group
67. MILA
66. Home Equity of America
65. Opteum (Wholesale, Conduit)
64. Innovative Mortgage Capital
63. Home Capital, Inc.
62. Home 123 Mortgage
61. Homefield Financial
60. First Horizon Subprime, Equity Lending
59. Platinum Capital Group (Wholesale)
58. First Source Funding Group (FSFG)
57. Alterna Mortgage
56. Solutions Funding
55. People's Mortgage
54. LowerMyPayment.com
53. Zone Funding
52. First Consolidated (Subprime Wholesale)
51. EquiFirst
50. SouthStar Funding
49. Warehouse USA
48. H&R Block Mortgage
47. Madison Equity Loans
46. HSBC Mortgage Services (correspondent div.)
45. Sunset Direct Lending
44. Kellner Mortgage Investments
43. LoanCity
42. CoreStar Financial Group
41. Ameriquest, ACC Wholesale
40. Investaid Corp.
39. People's Choice Financial Corp.
38. Master Financial
37. Maribella Mortgage
36. FMF Capital LLC
35. New Century Financial Corp.
34. Wachovia Mortgage (Correspondent div.)
33. Ameritrust Mortgage Company (Subprime Wholesale)
32. Trojan Lending (Wholesale)
31. Fremont General Corporation
30. DomesticBank (Wholesale Lending Division)
29. Ivanhoe Mortgage/Central Pacific Mortgage
28. Eagle First Mortgage
27. Coastal Capital
26. Silver State Mortgage
25. ECC Capital/Encore Credit
24. Lender's Direct Capital Corporation (wholesale division)
23. Concorde Acceptance
22. DeepGreen Financial
21. American Freedom Mortgage, Inc.
20. Millenium Bankshares (Mortgage Subsidiaries)
19. Summit Mortgage
18. Mandalay Mortgage
17. Rose Mortgage
16. EquiBanc
15. FundingAmerica
14. Popular Financial Holdings
13. Clear Choice Financial/Bay Capital
12. Origen Wholesale Lending
11. SecuredFunding
10. Preferred Advantage
9. MLN
8. Sovereign Bancorp (Wholesale Ops)
7. Harbourton Mortgage Investment Corporation
6. OwnIt Mortgage
5. Sebring Capital Partners
4. Axis Mortgage & Investments
3. Meritage Mortgage
2. Acoustic Home Loans
1. Merit Financial

Reminder: FHA Down Payment Changes 01/01/09

Your mortgage guy — Sun, 07 Dec 2008 10:28:48 -0600

Don't forget-because it's just around the corner, that FHA down payment changes go into effect on January 1st. The changes will be.....

Down payment minimum of 3.5%. Currently it is 3% total but in most areas it is 2.25% down with .75% being able to come from closing costs. Not anymore.....now it is 3.5% plus whatever closing costs are involved unless seller pays them subject to 6% seller contribution maximum).
The loan amount included the upfront Mortgage Insurance (UFMIP) can not exceed 100% of purchase price or appraisal-whichever is less.

Acceptable gift funds may still be used (relative, employer, etc.....just not the non-profits) and cash out refinances are still at 95% Loan to Value

FHA Maximum Loan amounts are DECREASING for the Twin Cities 11 county metro area
- Currently: $365,000
- Revised $318,550

Outside of the Twin Cities metro area the maximum loan amount will remain unchanged @ $271,500

Don't get to the closing table only to find out things are no loner approved.....Double check with your lender to make sure your approval and/r pre-approval letter is still valid!

BTW, rates have dropped so please keep me in mind!

1/1/09 Twin Cities FHA loan Limit decrease ......

Your mortgage guy — Wed, 19 Nov 2008 14:55:55 -0600

Twin Cities Area!

Our FHA loan limits for a 1 unit home is currently $365,000 but effective 1/1/09, they will be dropping down to $318,550.

FHA is still a great program which is insuring most of the riskier, over 80% mortgage paper currently.

If you have a buyer looking in/around the $400k range, let them know about this.....

Not many people realize this but, the loan amounts are higher for multiple unit FHA homes (FHA insures 1-4 primary residence units)....see my table below!

2008 Limits 2009 Limits

1 unit $365,000 $318,550

2 unit $467,250 $407,800

3 unit $564,800 $492,950

4 unit $701,900 $612,600

This is a good program to utilize (and the MI should be tax deductible for you!)......

PATRIOTISM! New Law Authorizes Veterans' Salutes during National Anthem

Your mortgage guy — Sat, 08 Nov 2008 09:12:42 -0600

Posted at 12:25 PM on Thursday, October 30, 2008 by District 9 Web Admin

WASHINGTON (Oct. 30, 2008) -- Veterans and active-duty military not in uniform can now render the military-style hand salute during the playing of the national anthem, thanks to changes in federal law that took effect this month.

"The military salute is a unique gesture of respect that marks those who have served in our nation's armed forces," said Secretary of Veterans Affairs Dr. James B. Peake. "This provision allows the application of that honor in all events involving our nation's flag."

The most recent change, authorizing hand-salutes during the national anthem by veterans and out-of-uniform military personnel, was sponsored by Sen. Jim Inhofe of Oklahoma, an Army veteran. It was included in the Defense Authorization Act of 2009, which President Bush signed on Oct. 14.

I wanted to pass this along to our readers! Please remember the men and women serving our country overseas-and at home!

Michael Schindler

Life Member VFW Post 9060

Fed Cuts rate, Prime now 4%!

Your mortgage guy — Wed, 29 Oct 2008 14:52:28 -0500

My Notes

Wow! So much has happened recently....so, in trying to keep positive about this industry, I will say that there are some great housing deals out there for buyers. Other than that, well, you read the paper....(which BTW, is bad because it's all negative press)

With so that negativity all around us, lets look at a few positive's.....

We are alive
Most of us are somewhat healthy
Housing prices are low
Now's a great time to buy real estate!

Gas-Everyone can thank me for gas prices coming down. I sold my Durango right after I filled up the tank at $3.89-now look at us a few weeks later! if I hadn't of sold, gas would have still been in the $4 range (Murphy's law) :)

Prime back down to 4%

Greenspan still doesn't admit that, in one hand he was warning how so many people had adjustable rate mortgages and they could be in trouble when they reset...yes, on the other hand, he raised rates 14 consecutive times and THAT my friends is what caused the sudden housing bust-Yes, there was a correction coming (slowly) but with all of those mortgages resetting so high and at the same time, it had like a tsunami effect..... Just look back to some of my other newsletters with me denouncing his decisions to continue to raise rates.......

Definitions

Federal funds rate is what banks charge to one another for overnight loans. The federal reserve board controls the federal funds rate.
Prime rate is simply the fed funds rate + 3% and is tied mainly to credit card and home equity rates
Mortgages are traded on the stock market in bond portfolios-market supply and demand dictate first mortgage rates NOT what the federal reserve board does.

Reverse for PURCHASE Mortgage is here!

Your mortgage guy — Fri, 17 Oct 2008 15:42:07 -0500

YES!

We have it!

Realtors, if you don't know about them, get to because this is a very special product! As the baby boomer generation begin to reach age 62 (age requirement for a reverse is age 62), this product will help them move to their next level (buying a home without spending all of their cash and without a mortgage payment EVER).

Some benefits of the Reverse Mortgage program include:

NO income qualifying
NO monthly mortgage payments
NO limitations on use of funds
Minimal credit requirements
Loan proceeds may be tax free (consult tax professional)
Homeowner stays on title
Insured to never owe more than home is worth!

Reverse PURCHASE benefits also include:

NO source of funding
NO Mortgage Insurance Premiums
NO Monthly mortgage payments
Larger loan amounts than traditional reverse mortgages

The way to determine which option for the buyer is best is to run a customized evaluation of the individual situation.

This product is going to be a big part of the real estate markets for some time to come. A reverse mortgage takes various factors into account so it doesn't have cookie cutter one size fits all guidelines. It is customized and takes into account house value, clients age and desired loan to value for starters.

Just know it's a product that is out there and, if you have buyers age 62 and older, this may be a very beneficial product for you!

Michael

Oh Oh now the Bond Programs in danger!

Your mortgage guy — Thu, 16 Oct 2008 10:08:52 -0500

We know that the bond programs are the only source of down payment assistance in many areas. None of the new bond programs have been able to begin because there are no buyers for these bonds.

For most of the 2000's, Fannie Mae and Freddie Mac were the major or only buyers of mortgage revenue bonds. That is no longer true. They aren't buying and there are no other investors.

This email is in regards to new bond programs. The bond programs that currently have money will continue to have funds until everything is reserved. So there is no worry with loans in the programs pipeline.

Please contact your voices in Washington -- your senators and representatives.

Here's how to email them

U S Senate
http://www.senate.gov/general/contact_information/senators_cfm.cfm

U S Congress
https://forms.house.gov/wyr/welcome.shtml
On this site, find your rep then go to their website for their email address

Thanks for your help...

Michael Schindler

What are you doing?

Your mortgage guy — Tue, 14 Oct 2008 08:21:57 -0500

So, in this "buyers" market, to sell a home, it is no longer the practice of just putting it on the MLS and waiting for a buyer.

Outside of listing it, what are you doing as a Realtor to attract potential buyers to your listings?

Sign in yard
Place on MLS
Flyers (refilled as needed-hopefully...color.....a plus!)
Open houses-if so, how often?

(If you can comment on the post then I can edit and add to this list)

Does anyone talk over with the potential seller a detailed marketing plan when vying for a listing?

I want to personally list a home soon but I want someone to tell me how they are going to stand out from the crowd and help me sell my home faster and at a market rate (or close to). I've asked a couple of realtors this and they had no plan for me other than put it on the MLS and maybe the three items I listed above.

What makes a full service realtor stand apart from one of the flat fee listing services that are now offered?

Is that somewhat abnormal to ask or.......?

Citimortgage............

Your mortgage guy — Thu, 09 Oct 2008 06:51:41 -0500

Here's some news - this represents 9,000 jobs eliminated at CitiMortgage.

(Taken from: National Mortgage News)

CitiMortgage Making Huge Cuts in Wholesale/Broker Network

CitiMortgage, the nation's fourth largest residential wholesaler, is making deep cuts in its table funding unit, cutting 500 account executive jobs, and slashing its broker network to 1,000 from a current head count of 9,500.

Just FYI....... down goes another one :(

Fed Rate Cut Prime now 4.5%!!!!

Your mortgage guy — Wed, 08 Oct 2008 07:41:39 -0500

BREAKING NEWS

WASHINGTON - The Federal Reserve and six other major central banks from around the world slashed interest rates Wednesday in an attempt to prevent a mushrooming financial crisis from becoming a global economic meltdown. The Fed reduced its key rate from 2 percent to 1.5 percent.

The Prime rate is now 4.5%

FDIC limit increased to $250,000

Your mortgage guy — Sat, 04 Oct 2008 10:56:40 -0500

This information was emailed to us earlier today..... I hope you find it beneficial

The U.S. Congress has approved, and the President has signed into law, a plan to help stabilize the financial markets. This plan, among other things, temporarily increases Federal Deposit Insurance Corporation (FDIC) coverage from $100,000 to $250,000 on traditional deposit accounts (checking, savings, trust, money market savings and CDs). This increase applies to both new and existing accounts and is temporary through December 31, 2009.

Bank of America strongly supports these efforts by Congress and the Treasury to ensure the continued flow of credit to both large and small businesses and to consumers. Credit availability is essential to the functioning of our economy, and the asset purchase program established in the bill will help restore liquidity to the credit markets. The legislation, in combination with other recent policy actions, is intended to address the current blockages in financial markets that threaten the country's economic vitality.

Answers to potential questionsAll traditional types of Bank of America deposit accounts (checking, savings, trust, money market, CDs) will now be insured up to $250,000, temporarily through December 31, 2009. As previously stated, Bank of America and Countrywide Bank account holders continue to be insured separately at both banks up to these FDIC limits.

How are Bank of America customers and their accounts affected?

What changes should Bank of America customers expect as a result of this legislation?

Bank of America continues to operate business-as-usual. The only change resulting from the bill's passage is the increase in the FDIC limits.

What accounts are covered by this insurance increase?

All new and existing traditional types of Bank of America deposit accounts (checking, savings, trust, money market, CDs) are eligible.

When do the changes to FDIC limits take place?

These changes are effective as of October 3, 2008.

Do these increases in FDIC limits affect IRA accounts?

No. IRA accounts continue to be covered up to $250,000.

Where can someone go for more information about FDIC coverage?

Customers can contact the FDIC at 1-877-ASK-FDIC (1-877-275-3342) or by visiting www.fdic.gov.

NOTE:

In times of financial stress, customers are more vulnerable to false and malicious rumors circulated from a variety of sources, including the internet. Increased vigilance is required by all associates to be aware of possible rumors and false information that may cause customer concern. Associates should only provide customers with information distributed through authorized bank communication channels.

IMPORTANT: The FDIC rules can get very complicated when a customer has multiple accounts - please refer customers to FDIC resources (see above) for more thorough explanations.

Countrywide Short Sale Process to Follow

Your mortgage guy — Fri, 03 Oct 2008 11:15:45 -0500

I have heard a lot of realtors talk about the short sale process and, while every lender is bombarded with requests currently, we were told last week at our regional meeting that Countrywide receives 100,000 short sale requests A MONTH. So obviously, that department is overloaded with work. That said, if you set reasonable expectations with your cliets and follow the steps that has been laid out by the lender you are dealing with, you will make it through the process without too many hang ups. To make the process as fast and easy as you can for everyone, when submitting a short sale request, include a full package of everything that is required by the lender.

Below is the Countrywide process. If you have anyone that is looking at buying a foreclosure or short sale, please keep my services in mind!

Countrywide Short Sale - Borrowers

In a short sale, Countrywide Home Loans allows a property to be sold for less than the amount owed on the mortgage and takes a loss. The borrower's credit rating may be hurt in a short sale, but for less time than in a foreclosure.

The Short Sale Support Team handles inquiries from borrowers, their agents, or CHL associates. Each potential short sale is reviewed on a case by case basis. At this time, short sales are only being considered the borrower's primary residence.

The approval of a Short Sale in a specific case can only be discussed between the homeowner, seller, or their agent and CHL's Short Sale Support Team.

Steps to Receiving Approval for a Short Sale - Borrowers

Step

Action

The borrower or their authorized Agent must contact the Short Sale Call Center at (866) 880-1232.

The Short Sale Call Center explains the Short Sale process and requests needed documentation that must be faxed to CHL to begin the process.

Note:

The borrower must show hardship, documented with a hardship letter.
The loan must be delinquent (or the borrower must supply documented eminent hardship).

The borrower or their Agent must fax the required documentation to the Short Sale Department at (888) 491-4947:

Minimum required documents to start the short sale process:

Signed Purchase Contract
Listing agreement
Preliminary HUD-1

Within 2 days of the Short Sale Department's receipt of the faxed documents, the Short Sale Department orders the interior appraisal and provides the Agent with a confirmation of receipt.

Within an additional 3 days of the Short Sale Department's receipt of the faxed documents, an appraiser will be assigned. The appraiser contacts the borrower or their Agent to schedule an appointment to conduct the appraisal.

Approximately 10 to 15 days after the appraisal is ordered, the Appraiser provides the results of the appraisal to CHL.

Upon receipt of the appraisal, CHL will conduct an analysis to determine if the Short Sale Offer is aligned with Market Value.

Note:

As the Short Sale Department is making the assessment of Market Value, some items may be negotiated:

Purchase price
Requesting changes to the HUD-1
Participation from the borrower via cash and/or Promissory Note
Request for the borrower to sign a deficiency letter
Any combination of the above

In order to determine the potential of the negotiated items above, CHL may require additional information to be submitted which may include, but is not limited to:

Explanation of hardship
Most recent month's income verification (or P&L statements for the last 3 months, if self-employed)
Most recent month's bank statements
Most recent year's tax returns

Once all parties (including additional lien holders) have agreed to the negotiation, CHL and/or its investors/insurers will render a decision within 5 business days.

The Short Sale Department will communicate the decision to accept or decline the short sale to the borrower and/or their Agent within 48 hours of the decision.

Maple Grove TH For Sale FHA Assumable!!! NO MONEY DOWN!!!

Your mortgage guy — Fri, 26 Sep 2008 20:40:17 -0500

Great location townhome...seller is retiring and moving north so quick occupancy is available!

You have the opportunity to assume this home's mortgage which can save you not only thousands of dollars in costs, but you can buy this home without a down payment!....

2 bedroom/1.75 bath with finished walk out lower level (family room) and a 2 car garage
Comes with a Huge Deck off the dining area and a nice fireplace in lower level!

FHA Appraised value on 05/01/08 is $173k!

30 year fixed mortgage!...Payments of $1,343 includes taxes!

Look at the others in the area and remember, this one is offered with no down payment and very low closing costs!

Additional information and pictures can be seen at:

www.homesbylender.org/osseo

Please call (612) 221-5746 or email me for additional information or to arrange a showing!

FHA- Not the reason you are thinking but, the new BIG advantage for YOU

Your mortgage guy — Fri, 26 Sep 2008 10:15:03 -0500

With about 70% of mortgages currently going through FHA, what will happen in a couple of years (or even now) for mortgage lenders when it's time to sell these homes? Realtors-listen up, if you are doing your homework, this is an opportunity to make your listings stand out for you!

Here's a thought for Realtors and sellers (and for buyers to look for).......When you have an FHA loan, it is ASSUMABLE. Countrywide, for example, charges a $525 processing fee and you have to qualify to assume this existing FHA loan (deed transfer charges as well but that's about it). Here's some advantages:

You take over the loan where it is meaning if it's a 2 year old mortgage (on a 30 year mortgage), you only pay for 28 years!-there's some value for the seller in the negotiations!
The current interest rate is ASSUMED-this is good no matter what the market is doing....... Now, if the rate is higher than market and you want to lower it, you can do an IRRL (streamlined refinance). This is done with no appraisal, no job or income verification, no assets, no credit being pulled! (no kidding!)-just need past 12 months of clean mortgage history!
If current market rates are higher than the note rate, then the interest rate has additional value to the buyer for negotiations! (if curent rates are at 7% and you have a 5% mortgage, that has a lot of value to the buyer-they are getting a loan rate at lower than the current market)
There is NO down payment requirement
The closing costs are minimal (processing fee and title transfer-these charges will vary by lender and state/county)
You have a lot more flexibility in the negotiations (no closing costs or down payment to worry about in most cases).
The only thing you really have to work out is the sales price-are you setting it above current mortgage amount and, if not, how will the Realtor get paid (from the seller or buyer)-and if there's equity the buyer will have to come in with the difference to even everything out but in this market.............

***Homeowners, thinking about selling in the next year or two? maybe you should look into refinancing with a 95% cash out FHA mortgage now. Pull 95% of the equity out, have a good interest rate (I recommend a low cost closing cost option for this), be able to market it as an assumable-again, low closing costs, no down payment, etc.......

Realtors, take note of this concept.........If there are 10 town homes on a block all pretty similar but one has an FHA assumable mortgage offered that requires no down payment and very low closing costs........which one of these properties will stand out to today's buyers? You can also sell this house for more money because of the assumption flexibility.

BTW, Guidelines have changed so much not that, if a buyer won't be able to qualify for an FHA assumption, you might be wasting your time with them anyway.......

I'll be honest, as a mortgage person, this stinks for us because, if someone is educated on this concept, with 70% of current loans going to FHA, we will lose a lot of purchase mortgage opportunity in the very near future......(or we should anyway-if htis concept is utilized)

Seriously, think about this........this is an advantage that sellers will have in the marketplace-as well as your buyers!....and this is to your advantage as well! We all know (especially in a flooded buyers market) you need something that will make your listing stand out........Well, here it is! (I would even ask to see the sellers loan papers when you are listing a home just to verify whether or not they do have an FHA loan....some may not even remember or realize they have one)

Good luck and hang in there everyone, the market has some great buying opportunities!

(BTW, this also applies for VA loans-but FHA is so much more widely used in most areas.....)

Oh....if your clients have any questions about this or anything else, I'd be more than happy to assist them and answer any questions they (or you) might have.

Important ARM announcement!

Your mortgage guy — Fri, 26 Sep 2008 08:32:47 -0500

Just an fyi......

I just received a letter on one of my rentals about my ARM adjusting 10/01/08 and it is going DOWN 2%!!!

The index's have come back down (our thanks again to Alan Greenspan for jacking them up in the first place)!

So, if you have an ARM, the sky isn't falling like it was, say a year ago.....

It's still important if you have long term plans but, short term people, I think you are in pretty good shape!

It's important to review your mortgage and make sure you have what you think you have. A lot of people I have met with thought they had 30 year fixed rates only to find out after they brought their original loan documents in, that they indeed do not.

Do you have a Countrywide Option Arm?

Your mortgage guy — Fri, 26 Sep 2008 08:28:21 -0500

In our ongoing effort to meet the needs of our customers, Countrywide will waive prepayment penalties (PPP) to facilitate the refinance of all Countrywide-owned Pay Option ARMs. Note: Countrywide Home Loans or Countrywide Bank, FSB must be the current holder of the subject loan. If the customer's loan is held by another investor, Countrywide is not authorized to waive the PPP.

Approximately 50,000 PayOption ARMs out of the existing Countrywide servicing portfolio have been identified as eligible for this waiver. Countrywide Loan Servicing will contact all qualifying customers to explain that the prepayment penalty has been waived.

If you have one of these, you probably already received a letter about this but, since we all get so much junk mail, you might not have opened it.........

Please let me know if you need any help with this-or have any questions.

Again, this pertains to Countrywide Option Arm customers. I will gladly also look at and give a mortgage review for any other mortgage holders from any company.

Happy Friday!

Failed banks

Your mortgage guy — Fri, 26 Sep 2008 08:08:51 -0500

The FDIC is often appointed as receiver for failed banks. This page contains useful information for the customers and vendors of these banks. This includes information on the acquiring bank (if applicable), how your accounts and loans are affected, and how vendors can file claims against the receivership.

This list includes banks which have failed since October 1, 2000.

Bank Name	Closing Date	Updated Date
Washington Mutual Bank, Henderson, NV and Washington Mutual Bank FSB, Park City, UT	September 25, 2008	September 25, 2008
Ameribank, Northfork, WV	September 19, 2008	September 19, 2008
Silver State Bank, Henderson, NV En Español	September 5, 2008	September 5, 2008
Integrity Bank, Alpharetta, GA	August 29, 2008	August 29, 2008
The Columbian Bank and Trust, Topeka, KS	August 22, 2008	August 22, 2008
First Priority Bank, Bradenton, FL	August 1, 2008	August 1, 2008
First Heritage Bank, NA, Newport Beach, CA	July 25, 2008	July 25, 2008
First National Bank of Nevada, Reno, NV	July 25, 2008	July 25, 2008
IndyMac Bank, Pasadena, CA	July 11, 2008	July 11, 2008
First Integrity Bank, NA, Staples, MN	May 30, 2008	July 25, 2008
ANB Financial, NA, Bentonville, AR	May 9, 2008	July 25, 2008
Hume Bank, Hume, MO	March 7, 2008	July 25, 2008
Douglass National Bank, Kansas City, MO	January 25, 2008	July 25, 2008
Miami Valley Bank, Lakeview, OH	October 4, 2007	July 25, 2008
NetBank, Alpharetta, GA	September 28, 2007	July 25, 2008
Metropolitan Savings Bank, Pittsburgh, PA	February 2, 2007	July 25, 2008
Bank of Ephraim, Ephraim, UT	June 25, 2004	April 9, 2008
Reliance Bank, White Plains, NY	March 19, 2004	April 9, 2008
Guaranty National Bank of Tallahassee, Tallahassee, FL	March 12, 2004	July 25, 2008
Dollar Savings Bank, Newark, NJ	February 14, 2004	April 9, 2008
Pulaski Savings Bank, Philadelphia, PA	November 14, 2003	July 22, 2005
The First National Bank of Blanchardville, Blanchardville, WI	May 9, 2003	July 25, 2008
Southern Pacific Bank, Torrance, CA	February 7, 2003	July 25, 2008
The Farmers Bank of Cheneyville, Cheneyville, LA	December 17, 2002	October 20, 2004
The Bank of Alamo, Alamo, TN	November 8, 2002	March 18, 2005
AmTrade International Bank of Georgia, Atlanta, GA En Español	September 30, 2002	September 11, 2006
Universal Federal Savings Bank, Chicago, IL	June 27, 2002	April 9, 2008
Connecticut Bank of Commerce, Stamford, CT	June 26, 2002	July 25, 2008
New Century Bank, Shelby Township, MI	March 28, 2002	March 18, 2005
Net 1st National Bank, Boca Raton, FL	March 1, 2002	April 9, 2008
NextBank, N.A., Phoenix, AZ	February 7, 2002	July 25, 2008
Oakwood Deposit Bank Company, Oakwood, OH	February 1, 2002	July 25, 2008
Bank of Sierra Blanca, Sierra Blanca, TX	January 18, 2002	November 6, 2003
Hamilton Bank, N.A., Miami, FL En Español	January 11, 2002	July 25, 2008
Sinclair National Bank, Gravette, AR	September 7, 2001	February 10, 2004
Superior Bank, FSB, Hinsdale, IL	July 27, 2001	July 25, 2008
The Malta National Bank, Malta, OH	May 3, 2001	November 18, 2002
First Alliance Bank & Trust Company, Manchester, NH	February 2, 2001	February 18, 2003
National State Bank of Metropolis, Metropolis, IL	December 14, 2000	March 17, 2005
Bank of Honolulu, Honolulu, HI	October 13, 2000	March 17, 2005

Last Updated 09/25/2008

The FDIC's "problem list" grew to 117 institutions from 90 at the end of the first quarter.

Wamu gone...... :(

Your mortgage guy — Fri, 26 Sep 2008 08:03:41 -0500

This isn't just the mortgage division, that was shut down a while ago, this is the whole bank :-(

Here's a bit of the news feed.........

Rescue falters; feds seize WaMu

By Charley Blaine and Elizabeth Strott (posted on msn.com)

Stocks are likely to open sharply lower Friday after a deal to rescue the nation's financial system fell apart in Congress.

The worry will be elevated because, late today, federal regulators seized troubled Washington Mutual (WM, news, msgs), which had been the nation's largest savings and loan, with more than $300 billion in assets. WaMu's failure is the largest in U.S. history.

Mortgage crisis kills WaMu

WaMu's closing came after the market closed, with the stock down 25% to $1.69.

It represents the demise of what once was the largest U.S. thrift but came to symbolize many of the worst excesses of the mortgage boom. Regulators said WaMu has suffered an exodus of $16.7 billion in deposits since Sept. 15, leaving the Seattle savings bank "with insufficient liquidity to meet its obligations."

JPMorgan Chase (JPM, news, msgs) will pay $1.9 billion to acquire Washington Mutual's deposits and most of its branches, as well as other operations. JPMorgan will also sell $8 billion in common stock to raise its capital position.

The deal isn't expected to result in any hit to the Federal Deposit Insurance Corp.'s bank-insurance fund, The Wall Street Journal said. But it's likely that another arm of government would have to pick up the tab. Some analysts have worried that a WaMu failure could cost more than $20 billion.

With mortgage losses mounting, and its stock price plunging, WaMu has been scrambling over the past month to find a solution; last week it put itself on the auction block. JPMorgan was looking at the bank -- and had been for months. Citigroup (C, news, msgs) and Wells Fargo (WFC, news, msgs), Spain's Banco Santander and Toronto-Dominion Bank (TD, news, msgs) of Canada also had looked at taking WaMu over.

WaMu had 5,400 branches in 23 states; JPMorgan expects to close about 10% of the total.

$7500 First Time Homebuyer Tax Credit

Your mortgage guy — Sat, 13 Sep 2008 12:20:37 -0500

In our quest to continue to provide excellence to you, please find below the key points of the First Time Homebuyer Tax Credit that became law through the H.R. 3221 Housing and Economic Recovery Act of 2008. Please feel free to contact me should you have further questions. If this information is not applicable to you, feel free to pass it on to your friends and family. We appreciate your trust.

Feature	H.R. 3221 Housing and Economic Recovery Act of 2008
Amount of Credit	Ten Percent of the cost of home, not to exceed $7500. *Examples:* •Ø If a home costs $65,000, the allowable credit would be $6,500. •Ø If a home costs $120,000, then the allowable credit would be $7,500.
Eligible Property	Any single-family residence (including condos) that will be used as a primary residence.
Refundable	Reduces income tax liability for the year of purchase. Claimed on tax return for that tax year. Individuals should consult a professional tax advisor for exact tax calculations. *Examples:* •Ø If an individual's actual tax liability was $5,000, then after the tax credit is applied the purchaser would receive a total refund of $2,500. The refundable amount is the difference between the $7,500 tax credit and the amount of one's tax liability. •Ø If an individual's actual tax refund was $2,000, then after the tax credit is applied the purchaser would receive a total refund of $9,500.
Income Limit	Individuals whose Form 1040 filing status is single (or head of household) are eligible for the tax credit if their income is no more than $75,000. Individuals who file a joint return may have no more than $150,000 in income. Individuals with incomes between $75,001 and 94,999 (single) or $150,001 and $169,999 (joint returns) are eligible for a partial tax credit. Individuals with incomes greater than $95,000 (single) or $170,000 (joint return) are not eligible for this tax credit.
First-time Homebuyer Only	Purchaser (and purchaser's spouse) may not have owned a principal residence in three years previous to purchase.
Recapture	A portion (6.67% of credit) is to be repaid each year for 15 years. If home is sold before 15 years, then remainder of credit is due in the year of the sale. •Ø If a homebuyer claims the $7,500 credit in 2009 on their federal income tax return for a closing that occurred in 2008, then the credit is received in 2009, so repayment begins in 2010 with an annual repayment amount of approximately $500 a year. •Ø If the homeowner dies, their heirs do not have to pay back the remaining balance. •Ø If the house is sold before fifteen years have passed and the home's appreciation is less than the amount needed to be to paid back, the loan is forgiven. •Ø If the home is turned into a rental or investment property, the pay back balance is due in that year.
Effective Date	Purchases on or after April 9, 2008 until July 1, 2009

If I can be of further assistance or answer any questions, please do not hesitate to contact me at 612-221-5746. Michael

GMAC Mortgage now gone as well

Your mortgage guy — Wed, 03 Sep 2008 12:06:22 -0500

This is directly from GMAC's website.......

Press releases GMAC Financial Services and ResCap Announce Further Streamlining of Mortgage Operation Strategic origination channels remain open; commitment to servicing customers unchanged

FORT WASHINGTON, Pa. (Sept. 3, 2008) -- GMAC Financial Services and its subsidiary Residential Capital, LLC (ResCap) today announced additional initiatives to further optimize the mortgage business as the downturn in the credit and mortgage markets persists. In response to these conditions, ResCap has enacted a plan to significantly streamline its operation, reduce cost, adjust its lending footprint and refocus its resources on strategic lending and servicing.

On Sept. 2, 2008, a plan was approved that included closing all 200 GMAC Mortgage retail offices, ceasing originations through the Homecomings wholesale broker channel, further curtailing business lending and international business activities, and right-sizing functional staff support. In addition, the company is evaluating strategic alternatives for the GMAC Home Services business and the non-core servicing business. These collective actions will reduce the ResCap workforce by approximately 5,000 employees, or 60 percent. Approximately 3,000 employees will receive notification this month with the majority of the remaining 2,000 reductions expected to occur by year-end.

"While these actions are extremely difficult, they are necessary to position ResCap to withstand this challenging environment," said ResCap Chairman and Chief Executive Officer Tom Marano. "Conditions in the mortgage and credit markets have not abated and, therefore, we need to respond aggressively by further reducing both operating costs and business risk."

ResCap will incur a charge expected to range from $90 to $120 million that reflects the 3,000 workforce reductions and related operational streamlining initiatives. The charge will include costs related to severance and other employee-related costs of approximately $50 to $60 million and facility closure costs of approximately $40 to $60 million. The majority of the charge is expected to be reflected in the third quarter and result in future cash expenditures of approximately $55 million. Potential charges related to the remaining 2,000 workforce reductions have not yet been determined.

The workforce reductions will include a range of administrative and managerial positions. All eligible employees affected by the workforce reduction will be provided severance packages and outplacement assistance.

ResCap will continue to originate loans in the U.S. and internationally where there is a secondary market to sell the loans. The company will originate products through its correspondent and direct lending channels. ResCap's commitment to servicing loans is unchanged by the actions announced today, and the company will continue to expand and enhance its industry-leading servicing platform, including further development of high-touch special servicing operations to help preserve homeownership and support investors that own distressed and special situation loan portfolios.

About GMAC Financial Services
GMAC Financial Services is a global, diversified financial services company that operates in approximately 40 countries in automotive finance, real estate finance, insurance and commercial finance businesses. For more information, go to http://www.gmacfs.com/ .

About Residential Capital, LLC
Residential Capital, LLC, an indirect wholly owned subsidiary of GMAC Financial Services, is a leading real estate finance company. ResCap's businesses cover the U.S. residential finance industry, from origination and servicing of mortgage loans through their sale or securitization in the secondary market. ResCap operates in selected international markets and also provides capital to other originators of mortgage loans and residential real estate developers.

Forward-Looking Statements
In this announcement and comments by GMAC LLC ("GMAC") and Residential Capital, LLC("ResCap") management, the use of the words "expect," "anticipate," estimate," "forecast," "initiative," "objective," "plan," "goal," "project," "outlook," "priorities," "target," "intend," "evaluate," "pursue," "seek," "may," "would," "could," "should," "believe," "potential," "continue," or the negative of any of those words or similar expressions is intended to identify forward-looking statements. All statements herein and management comments, other than statements of historical fact, including without limitation, statements about future events and financial performance, are forward-looking statements that involve certain risks and uncertainties. While these statements represent our current judgment on what the future may hold, and we believe these judgments are reasonable, these statements are not guarantees of any events or financial results, and ResCap's actual results may differ materially due to numerous important factors that are described in the most recent reports on SEC Form 10-K for ResCap, each of which may be revised or supplemented in subsequent reports on SEC Forms 10-Q and 8-K. Such factors include, among others, the following: securing low cost funding for ResCap; our ability to maintain an appropriate level of debt; recent developments in the residential mortgage market, especially in the nonprime sector; disruptions in the markets in which we fund ResCap's operations, with resulting negative impact on our liquidity; the impact on ResCap of the continuing decline in the U.S. housing market; changes in U.S. government- sponsored mortgage programs or disruptions in the markets in which our mortgage subsidiaries operate; changes in our contractual servicing rights; costs and risks associated with litigation; changes in our accounting assumptions that may require or that result from changes in the accounting rules or their application, which could result in an impact on earnings; changes in the credit ratings of ResCap; changes in economic conditions, currency exchange rates or political stability in the markets in which we operate; and changes in the existing or the adoption of new laws, regulations, policies or other activities of governments, agencies and similar organizations.

Investors are cautioned not to place undue reliance on forward-looking statements. ResCap undertakes no obligation to update publicly or otherwise revise any forward-looking statements, whether as a result of new information, future events or other such factors that affect the subject of these statements, except where expressly required by law.

Contact:
Jeannine Bruin
215-734-6467
jeannine.bruin@gmacm.com

Gina Proia
917-369-2364
gina.proia@gmacfs.com

Please Help save Down Payment Assistance programs!

Your mortgage guy — Tue, 26 Aug 2008 14:06:56 -0500

		Support Down Payment Assistance Support H.R. 6694 UPDATE 8-25-2008
I copied and pasted this email I just received...Please take a moment to send an electronic letter asking them to save the down payment assistance programs! These aren't the reason for the current market condition but they are being used as scapegoats. These programs are used with fully underwritten loan programs (FHA) and are not the no ratio, stated, no doc loan programs that helped put the US where it is today!

	Just a few short weeks ago President Bush signed into law legislation that contained a provision to eliminate charitable down payment assistance, effective October 1, 2008. BUT IT"S NOT TOO LATE... ...The very next day Congress introduced bipartisan legislation H.R.6694 that would reauthorize, reform and save charitable down payment assistance. H.R.6694 must be passed by September 30th and we need your help! It's time you tell your elected officials in Congress that you support downpayment assistance and urge them to support H.R.6694. Today, AmeriDream has added a new page to our website: "Upcoming Events" - Forums' for you to voice your support of Downpayment Assistance in your communities, to your elected officials. This page will continually be updated and serve as a resource for our supporters to find Events, Rally's and Town Hall meetings happening in your communities. Please take the time to join AmeriDream, other industry professionals and homebuyers to support such a critical issue. Together we need to educate your elected officials on the impact the prohibition of non-profit downpayment assistance will have on your community, the entire home buying chain, and the economy. Click here for statistics in your state. Since 1999, downpayment assistance programs have helped more than one million HUD approved individuals and families become homeowners, using absolutely NO taxpayer dollars! Click here for talking points and to learn more about Downpayment Assistance and H.R.6694. Watch our featured video Thank you again for your continued support of AmeriDream and Affordable Homeownership Opportunities. We look forward to seeing you at a local event soon. www.SupportHomeownership.com


AmeriDream, Inc. \| 200 Professional Drive \| 4th Floor Gaithersburg, MD 20879 \| Phone: (301) 977-9133 Toll Free: (866) 263-7437 \| (866) AMERIDREAM www.ameridream.org This message is an advertisement from AmeriDream, Inc. To stop receiving email advertisements from AmeriDream, please Click Here to be immediately removed from our list. We apologize for any inconvenience. Thank you.

Choosing a Realtor?

Your mortgage guy — Sun, 10 Aug 2008 12:27:02 -0500

Here is what I personally look for when choosing a realtor when I buy or sell homes-and what I tell my clients when they are in need of a realtor:

(my background is, I am a mortgage representative, I periodically buy and sell homes and have rental properties so I work with realtors on a daily business)

Area expertise-Just because you "know someone" in the business doesn't mean they are the best choice for your transactions-no matter what your relationship is with them. Be careful to not put friendship or relative status in the way of your $$$-after all, it's not a friendship transaction, it's business. You want someone that is very familiar to the area you are looking at-whether buying or selling.

Marketing Plan-The days of showing up, throwing it on the MLS and waiting for offers to come in are over. I want a marketing plan from a realtor when I interview them-yes, I interview them, they work for me and I will be hiring them to perform a service for me. I want to know just what the plan is if they earn my listing-how they are going to market it, are they going to do open houses and if so, how will they spread the word to create traffic?, With the internet being the place 90% of people start looking, how will they incorporate the internet into marketing my home?, Signage-will it include flyers (one of my biggest pet peeves is an empty brochure box)?, Traditional marketing methods-will they advertise in local real estate books, etc. A realtor gets paid to sell my house, I want to know what their proactive plan will be to do this. I do not believe getting a listing and throwing it on the MLS and waiting deserves a full commission (and their are places out there that will do that for you for about $500 if that's all you need) but, if you aren't on the same page from day one and you don't set expectations (or have any) then you aren't doing your personal due diligence.

Cost-You sometimes get what you pay for. A full service agent with a full service commission package should be just that, full service so I expect when you use a discounted service provider, you should expect lesser service-but that's not always the case. This you will find out in your interview with them. One thing to think about is......if the difference between selling in a timely manner and not is, for example, maybe only 1%, think about what is most important-and that should be your bottom line number after you sell (assuming you sell). To me, the realtor commission is truly secondary-who cares how much the cost if you can't get it sold.....The best way to save money is to use a realtor who can get the job done.

Full time status-this one doesn't bother me as much because I do know some very capable realtors that are part time-and they normally don't have as many listings so you can get more attention but, for me, this goes back to #2.

Accreditations-It's good to know that a realtor has taken the time and cares enough to work on continuing education and furthering their education in the field but it's honestly really not something I put too much weight in. Their job is to find me a buyer or help me find a home and negotiate the purchase agreement.

# of current listings the realtor has-if you have a lot of listings, how can you possibly work your hardest to sell my home? You can't......I want to feel that the agent is working their hardest for me and isn't pre-occupied with too many other "irons in the fire" so to speak.

Walk through-Are they there to just get the listing or will they walk through with you and give you recommendations on what you can do to make your home more marketable? I want honest feedback. Too many times I've met clients at their house after they have listed their homes and there are so many little things they could do to make the house more appealing-with the realtor not saying anything to them. Because I do buy and sell investment properties, I analyze homes a lot based on what I would do if I were to buy and "flip" it. I don't know if it's a requirement to do this but, it's something I personally expect as part of their service.

I believe a realtor can be a vital part of selling your home-but choosing the wrong one can also be a liability and add you grief and disappointment. Take your time to think the process out in the beginning and figure out what your expectations will be on your realtor-and on yourself. Remember that, this is a different market-it's a buyers market so they have lots to choose from so you have to stand out to them. You have to be pro-active in selling your home- it has to be well advertised, it has to have "curb appeal", it has to be realistically priced, and you should be educated enough to be able to offer some form of financing assistance if the buyer needs it-but make sure you factor this part into your bottom line.

6 signs of a crummy real-estate agent

Your mortgage guy — Sun, 10 Aug 2008 11:05:04 -0500

I saw this article today and wanted to post it on active rain and see what other professionals thought of it-both good and bad comments, would you add or delete anything, etc.

____________

Does your agent never get in touch, fail to offer advice, or work only part time? These are some of the red flags that tell you to ditch this agent and run to find a new one.

By Luke Mullins, U.S. News & World Report

While a savvy real-estate agent can certainly help you sell your home more efficiently, not all brokers are created equal. And in today's feeble real-estate market, it's all the more important that an agent go the extra mile on behalf of home sellers.

But how can a homeowner tell if an agent is doing everything he or she can to get the property sold or is simply going through the motions? To answer that question, U.S. News recently spoke with a handful of industry professionals and compiled a list of six distinct signs that may indicate that an agent is not 100% committed to the effort.

1. Out of touch. Just as in a marriage, communication is a key component of the relationship between a homeowner and an agent. If the communication isn't there, the relationship won't work. So if your agent doesn't return your phone calls in a timely fashion or disappears without warning for weeks at a time, you should probably find someone else. Some real-estate agents will block out a single window of time - say, between 4 and 5 p.m. - in which to return all of their phone calls for that day, says Jay Thompson of Thompson's Realty in Arizona. "I've never really understood that," he says. "That's not necessarily good if your seller or buyer wants to talk to you at 8 o'clock in the morning - they end up waiting a whole day."

2. No advice. Let's face it; even homeowners who have been through several real-estate transactions can benefit from a little advice from their agent. But if an agent doesn't offer any advice, it could be an indication that he or she is not fully engaged in the process. "We're not shy people," says Elizabeth Blakeslee of Coldwell Banker Residential Brokerage in Washington, D.C. "If an agent doesn't suggest fixing drippy faucets or reducing clutter - that sort of thing - then they are just going to put [the property] in the Multiple Listing [Service] and throw up a sign and hope." Not exactly the pathway to value in today's sluggish market.

3. Insists on affiliates. Real-estate agents who insist on clients using a particular lender or affiliated company for the transaction should also trigger alarm bells. "That's a huge red flag because odds are they are probably getting a cut on a referral fee," says Joshua Dorkin, the founder and chief executive officer of BiggerPockets.com, a Web site that specializes in real-estate information and networking. "Frankly, you should be able to use whoever you want to use."

4. Part-time gig. Just because a real-estate agent has a license doesn't mean it's his or her full-time job. And while some part-time agents are certainly capable, "when you put food on the table for your family selling real estate, you approach things differently," says Mike Sannes of Keller Williams-Big Bear Real Estate in Big Bear Lake, Calif. "If your real-estate agent is actually a waiter, waitress or [another profession], then you are probably not going to be happy with where their priorities are."

5. Keeps it in the family. A real-estate agent who shows buyers only properties that are listed with his or her brokerage could be subordinating the client's best interests. Since selling agents earn a separate commission off a real-estate transaction, agents who make listings just from their company available may be trying to steer that commission to the brokerage as well. "[If] I only showed you my listings or [the company's] listings, that's a huge red flag because there is a lot of the inventory that you are not considering," Sannes says. "By limiting [the inventory], you are not doing your job representing a buyer."

6. Behavior problems. Every real-estate agent is licensed by the state in which he or she practices. State agencies, meanwhile, keep the records of all disciplinary actions taken against their agents. By getting in touch with the agency that oversees the real-estate industry in your state, you can find out if there is a disciplinary action on your agent's record. (Contact information for state agencies is available through the Association of Real Estate License Law Officials.) "It's like when you hire a contractor, you go to the state contractor board," says Barbara Cook of Keller Williams Realty in San Diego County, Calif. It's also a good idea to check with the state agency simply to ensure that your agent is in fact licensed - as scam artists have been known to pose as real-estate agents to perpetrate fraud.

Please help try to save the Down Payment Assistance Programs!

Your mortgage guy — Mon, 28 Jul 2008 09:30:08 -0500

Going away OCTOBER 1st.......

I think it's going away this time-which will deal yet another blow to people who can't afford a down payment (especially minority lending). If FHA comes out with a 100% loan, it may be fine but, in this environment I think bringing out this kind of product now may be too bad of press.
What people don't understand is, the DAP's are used with FHA loans but are "full doc" loans just with no money down-they aren't the reason the market tanked-the economy/gas prices along with the reduced documentation programs that were made available is the main reason for the market meltdown.
It just stinks that, like in a lot of cases, the people that have the power to make major decisions (like to cut the DAP programs) aren't necessarily the people who know the ins and outs and what the best soutions for the problems are.

There are so few 100% or no money down type programs available now, the markets have really changed over the past year or so. Now I agree that there were a lot of "silly' loan programs made available to everyone but this isn't one of them. This isn't a stated, reduced doc, or no doc type of program, it is used with an FHA loan so it is a fully underwritten product-meaning the buyers fully qualify for the loan amount-they just don't have the funds for a down payment.

www.getdownpayment.com

Please, no matter if you are a lender, realtor, buyer, seller, etc...... take a minute to go to this website click on take action and help us voice continued support for this program before it goes away for good.

Thanks everyone!

Michael