mortgage: When Should The Buyer Of A Short Sale Lock In An Interest Rate? - 06/16/11 08:59 AM
The problem: An interest rate lock costs the buyer substantial non-refundable upfront money. The money will be lost if the house does not close on time. Yet, short sale timelines are long and unpredictable, to say the least.
What should all parties do in a short sale, as it relates to rate locks?
The listing agent should:  
Disclose in writing to the buyer, the buyer’s agent and the buyer’s loan officer that the short sale may take months and there is no guarantee of approval. Disclose in writing if the buyer locks in a rate it is at the buyer’s … (5 comments)

mortgage: This Cat Attended My Short Sale Listing Presentation - 06/16/11 12:44 AM
I’m used to having additional parties attend my short sale listing presentations. I welcome the opportunity to explain the process. The sellers often bring to the table advisors and supporters who are their;
Parents Children Siblings Grandparents Grandchildren Neighbors Friends Significant others who are not on the loan Financial advisors Legal advisors I enjoy the crowd. The more people the better. I am confident in my knowledge and confident in my answers. I have vast supporting documentation at my fingertips wherever I go.
The more questions I am asked the better it is. Questions lead to understanding. Short sales are complex … (11 comments)

mortgage: Can't Handle The Mortgage Payments Anymore? Stop The Insanity With A Short Sale - 05/30/11 03:07 AM
Are you having difficulty paying your mortgage payment?
Do you need to get rid of this house but you owe more than it is worth?
Do you feel that if you got rid of the high mortgage payment you could handle your other obligations?
Are you falling behind on bills just so you can make the mortgage payment?
Are you unable to pay your medical bills just so you can pay your mortgage?
Are you afraid you will lose the house to foreclosure and the bank will garnish your wages?
Are you borrowing money to keep your mortgage payment current?
Are … (5 comments)

mortgage: Does the house go away if I surrender it in bankruptcy? - 05/27/11 04:32 PM
When a borrower “surrenders” a property in a bankruptcy, the ownership doesn’t automatically revert to the bank.
“Surrender” means you are declaring that you do not intend to keep the property. The house and the liability of ownership remain with you, the owner, until you get rid of your ownership. Ask your bankruptcy lawyer exactly what "surrender" means.
How Do I Get Rid Of Ownership?
The house needs to be sold to a new buyer, or get foreclosed upon or conveyed by deed-in-lieu to the lender.
But I thought the bank takes the house in the bankruptcy...
It is a common misconception that the house somehow … (2 comments)

mortgage: Divorce - A Quitclaim Deed Does Not Release You From Obligation On The Loan - 05/24/11 03:59 PM
It's a common misconception that if "I give her/him the house" you are done with the responsibility for the loan.
If you are signed on the loan, the lender will hold you responsible for the payments whether you have an ownership interest or not. "Giving the house" is often referred to as a "quitclaim". In a quitclaim deed, you are resigning from ownership of the house, but it doesn't take you off the loan. It is sometimes erroneously called a quickclaim deed.
The lender wants to keep everyone on the hook for the loan payments
The lender got you and your … (7 comments)

mortgage: Divorce With One Spouse NOT on the Loan - How Does Short Sale Or Foreclosure Impact Credit? - 05/21/11 04:18 AM
Many times one of the divorcing spouses is NOT obligated or liable for the loan and therefore their credit may not be impacted. I'm referencing obligation to the lender, not obligation under the divorce agreement. Sometimes one of the spouses did not have had good enough credit while the other spouse had strong enough income and credit to qualify for the loan by himself or herself. Other cases could include a house and mortgage that was already in a spouse's name prior to the marriage. This is vital to know in a short sale situation.
How does a foreclosure or short … (2 comments)

mortgage: When a Short Sale Gets Your Debt Forgiven - 05/02/11 12:09 AM
One of the biggest fears of borrowers facing foreclosure is the bank’s right to pursue them for the difference after the foreclosure is done.
A Short Sale May Relieve You Of All Obligation on the Debt
Many borrowers do not realize that a short sale could lead to full forgiveness of the deficiency. That means the borrower can put the debt behind them and never have to worry about paying any of it back.
In a short sale the lender lets the house sell for an amount SHORT of the payoff.
A short sale provides the possibility of “forgiven debt.” If … (3 comments)

mortgage: Can the Seller Talk To Their Lender While Their Realtor Is Negotiating The Short Sale? - 04/02/11 03:51 AM
Can the seller talk to their foreclosing lender while we, their Realtor team, are negotiating a short sale for them?
Absolutely yes!
As your short sale Realtors in Louisville, we are representing to your lender the facts of your hardship, and providing them all the supporting information they need to make a decision on your short sale. It is a lengthy and complex process.
We Want To Reduce Your Fear Of The Unknown
We know that it is stressful to be “upside down” on your mortgage and to be struggling with payments. Our goal is to help you avoid foreclosure and … (2 comments)

mortgage: Short Sale Gridlock - 1st Mortgage Waiting On The 2nd, The 2nd Waiting On The 1st - 02/27/11 03:54 PM
Litton Loan is the first mortgage, Citi is the second.
Citi won't approve a short sale settlement amount until they get a copy of the payoff to Litton and the amount of losses Litton will incur.
Litton says they won't approve the short sale until Citi approves their settlement amount.
Litton waiting for Citi. Citi waiting for Litton.
We escalate to management.
We wait.
Litton still waiting for Citi. Citi still waiting for Litton.
We escalate to management.
We wait.
Repeat the process.
Then a stroke of luck, someone at Citi is off work that day
We escalate to the same … (1 comments)

mortgage: Can I Short Sale My House With Structural Damage? - 02/26/11 03:01 AM
Yes, you can short sale your house even with structural damage. Indeed, the lender may be more inclined to settle your loan because of the structural damage.
The bank does not want to own your house.
But who will want to buy my house with structural problems?
Someone will. Price fixes everything. The price will have to come down as an incentive for someone to take the risk and do the work.
But I owe too much on my house...
Once we, your short sale Realtors, submit the buyer’s offer to your lender for approval they will send an appraiser to … (19 comments)

mortgage: Speechless Sunday - Pet Picture "As Good As It Gets" - 01/30/11 03:53 PM
As a short sale Realtor in Louisville KY I visit many families in financial distress. It is always heartwarming to see how much comfort their pets bring them. As I sit at their kitchen table or dining room table sifting through foreclosure documents, mortgage statements and hardship letters, the mood always gets better when a cute doggie saunters in looking for a tummy rub.
For the doggie - this is as good as it gets.
These pictures were taken on one such occasion.


mortgage: Hanging On Too Long When Can’t Afford Payments – Avoid Foreclosure With a Short Sale in Louisville - 01/27/11 06:10 PM
When the house becomes a money pit liability, emotions must be set aside and the house must be liquidated in the least damaging way possible. Running up more debt or using medicine money and food money to make the mortgage payments just doesn’t work out in the long run.
Rather than let a foreclosure devastate you financially and emotionally, a short sale is usually the best option.
What is a short sale?
A short sale occurs when a house sells for an amount short of the full amount owed to the lender. Hence the word “short” in short sale.
What … (4 comments)

mortgage: Make Your Mortgage Less Scary This Halloween With A Short Sale In Louisville - 10/31/10 03:40 AM
You didn't cause this national crisis. You are in survival mode and working to provide for your family.
Stop letting the bank push you around! You didn’t cause this housing crash! You didn’t cause this lousy job market! Enough with this struggle! You’re doing what you can, every month, every week, every day. You are using survival money to pay your mortgage. And what do you get in return from the banks?
Robo-calls from collectors Threatening and confusing notices Letters from lawyers Loan modification offers that are failing nationwide on a massive scale Sheriff at your door If you can’t handle … (0 comments)

mortgage: Are Short Sales a Legitimate Solution? The Answer is a Resounding Yes! - 10/28/10 03:40 AM
A short sale can enable an “upside down” house to be sold with no cost to the seller. The lender usually forgives all the shortfall.
Sellers sometimes think if it’s too good to be true then it can’t be true. Is it legit? YES!
Why would the bank forgive tens of thousands of dollars?
Many articles have been published illustrating that save 13% to 26% in a short sale compared to a foreclosure. It is very costly and risky for the banks to foreclose on a house. They do not want to own and operate houses, they want to settle and … (0 comments)

mortgage: In Foreclosure? Look Beyond the Obvious For Real Options – The Short Sale - 10/17/10 03:15 PM
Examples of non-obvious solutions that were better than the obvious ones:
Did you ever think you knew what was wrong with your car but the mechanic instantly found the real problem and solved it? Did you ever think you knew what the doctor would say but her diagnosis and treatment were different? Were you ever sure you knew how to fix your computer but the computer expert knew the real solution? Well, it’s the same with avoiding foreclosure. The obvious solutions aren’t always the best solutions. For example, the obvious solutions to avoid foreclosure are:
Bringing the payments current.
But, if … (4 comments)

mortgage: Don’t Lose Sleep Over Your Mortgage – Lose Your Mortgage! - 10/11/10 04:18 PM
You may be losing sleep if you are:
“Upside down” on your mortgage. The sheriff served you with foreclosure papers. You’re behind on payments. You anticipate falling behind on payments. Must move but owe too much. You are not alone. This economy has been grinding up good, hardworking Americans.
My advice:
Look into selling your house via a short sale. In a short sale your lender accepts an amount short of what you owe.
Get that overwhelming debt out of your life.
This is real.
We have helped many in Louisville, KY and surrounding counties.
Don’t Lose Sleep Over Your Mortgage … (4 comments)

mortgage: Pre Foreclosure Short Sales: The 2nd Mortgage Doom Loop - 10/06/10 12:27 AM
Recent Trend in Short Sales:
2nd position mortgage holder demands $X dollars more than the 1st mortgage holder is willing to allocate 1st position mortgage holder is unwilling to allocate more Seller doesn’t have the extra money to bring to closing Doom Loop Scenario #1
Buyer is unwilling or unable to pay the extra $X dollars on the seller’s behalf Buyer walks. Takes time to get a replacement buyer, the market continues to decline. 1st mortgage company loses much more than the $X dollars they withheld from the 2nd. Doom Loop Scenario #2
Buyer is willing to pay the extra $X … (2 comments)

mortgage: HUD/FHA Short Sale: Homeowner Wants to Stay Current, HUD Says “NO! You Must Default!” - 10/01/10 08:47 AM
Case Study in Louisville, KY:
Homeowners want to do the right thing and stay current on payments until the short sale is done.
Homeowners don’t feel right to fall behind.
Homeowners are willing to postpone a critical relocation in order to stay current and not have to pay simultaneous rent and mortgage payments.
Homeowners want to preserve their credit so they can get back into home ownership as soon as possible.
HUD says “NO! You Must Default!”
HUD Says What?
I always go to the source document.
Here’s an excerpt from HUD Mortgagee Letter 2008-43:
PFS … (5 comments)

mortgage: Foreclosure and Loan Modification Notices to Borrowers = Scary and Incomprehensible Gibberish - 09/26/10 04:12 PM
As a short sale Realtor, I have many kitchen table conversations with borrowers in foreclosure. I often get handed a stack of letters and asked to decipher what the lender is saying. Although crystal clear to the professional, to the end consumer the verbiage is often confusing, cryptic, ambiguous and frankly incomprehensible.
Why Not Use Simple English?
Complex banking terminology is used instead of simple English. Borrowers get denial letters for requests they never made. The list goes on.
Many borrowers get so scared and perplexed by the process they just don’t know who to turn to and who to believe.

mortgage: Top 44 Reasons Sellers Don’t Do a Pre Foreclosure Short Sale Even If They Need To - 09/24/10 12:37 AM
If you are a homeowner with an “underwater” mortgage or an “upside” down house, please know that millions of Americans are experiencing the same confusing and stressful dilemma.
Please be aware that under many circumstances there are solutions favorable to you. You have options and there are answers to each one of the concerns listed below.
It is extremely important that you consult with a Louisville short sale Realtor who specializes in pre foreclosure situations.
I have compiled this list of concerns as a result of hundreds of consultations and kitchen table conversations with sellers in need.
Homeowners Lose Their House … (6 comments)

Dave Halpern, Louisville Short Sale Expert (Keller Williams Realty Louisville East (502) 664-7827) Rainmaker large

Dave Halpern

Louisville Short Sale Expert

Louisville, KY

More about me…

Keller Williams Realty Louisville East (502) 664-7827

Address: 1230 S. Hurstbourne Lane, Louisville, KY, 40222

Office: (502) 664-7827

Mobile: (502) 664-7827

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