Posts Tagged ‘Loan’

Mangled Mortgage – Everything You Need to Know About Foreclosures, Short Sales, and Loan Modifications

“If you plan to be involved in real estate over the next several years, you
need to read this book.”
Tipper Williams, President, International Management Systems

“This is a comprehensive guide for anyone who needs to understand the distressed housing situation. A great read!”
Ross Costanzo

“Our team sold several hundred foreclosures last year, and this book gives you everything you need to know to do the same.”
Jennifer Young, Owner, Jennifer Young Homes.

This book was written for real est

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Price: $ 19.95

Short Sales & Loan Modifications: A Practical Guide For Real Estate Agents and Investors

This book is a practical guide for Real Estate Agents and Investors to process and manage short sales and loan modifications. At a time when foreclosures are at an all time high, now is a great opportunity to cash in on this market. With short sales and loan modifications becoming increasingly more difficult, this book provides detailed instruction every step of the way in processing the case and negotiating a successful and profitable result. The agent or investor does not need any prior kno

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List Price: $ 15.99

Price: $ 14.42

HAFA is a government-subsidized Home Affordable Foreclosure Alternatives program for distressed homeowners to sell their homes to avoid foreclosure, even if the sales price is not enough to pay off their existing mortgage loans. Under HAFA, a participating lender will pre-approve the terms of a short sale and give the borrower at least 4 months to market and sell the property using a licensed real estate professional.

The eligibility requirements for a HAFA short sale include the following:

• Property must be borrower’s principal residence;

• Loan must be a first trust deed originated before 2009;

• Loan must be delinquent or default must be reasonably foreseeable;

• Current unpaid principal balance must be $729,750 or less for single-family home (or higher amounts for 2-to-4 units); and

• Borrower must be eligible for, but unable to complete, a loan modification under the Home Affordable Modification Program (HAMP).

The government incentives under HAFA are as follows:

• $1,500 to borrower for relocation expenses;

• $1,000 to servicer for each successful short sale; and
$1 to investor for every $2 paid to extinguish junior liens, up to $1,000 maximum.

Dates Effective:  April 5, 2010 to Dec. 31, 2012.

For more information and to see if you can qualify for this program, fill out the Confidential Property Analysis form on this site or give us a call or email and we can help.

-J

I recently got this question from a client of mine that was in this very situation.  House upside down with a loan to value difference close to $100k and wanted to avoid a foreclosure.  We got her house listed, and got a full priced buyer.  The bank approved the short sale (and a check to the seller at close as well BTW) and everything was set to go.  Then the question came up.  How will this affect my SSI payment?

No one I talked to knew this answer so I got on the phone with the good old US government and the nice people at the Social Security Department and guess what?  It turns out that a short sale has no affect on regular social security payment, HOWEVER, IT DOES AFFECT SSI.  As a matter of fact, in the year that the 1099-c is issued for the forgiven debt (even though there is no ACTUAL income and it is exempt from federal tax consequences on an owner occupied home), it will count against them for SSI eligibility in regards to the financial limits required to qualify.  What does that mean?

Well it means no short sale for this client and welcome to one more foreclosure in America.

I’m pre approved for the Veterans home loan through my bank. I really like this short sale house but my realtor told me “Doing a VA loan with a short sale in our present market environment is quite difficult.” Is he just being lazy or are their some strings attached with the VA home loan that I can’t do a short sale. Thanks in advance for responding.

I was curious, how long after a short sale in the state of Florida can you qualify for a new loan at a reasonable interest rate? My boyfriend has had the short sale, and I have not, and would be a first time home buyer with excellent credit. When do you think we could qualify with his situation?
I know. The spam sucks!!!!!!!!!

What if your economic situation change and you decided to short sale a house after a loan modification has been approved. Is it still possible?

We are thinking of looking into doing a short sale. I know we need to talk to the mortgage company about this but just wondering, how does it work with interst only loans? Our 1st mortgage is at $284,000 and a HELOC at $55,000. Zillow shows the house valued at about $339,000. We are currently making monthly payments but we are currently about a month & a half behind (on the 1st mortgage) and working with the mortgage company to get caught up but our payments are too high and will continue to be a struggle so we would like to get out of the house and possibly get into a rental & possibly buy again in a few years.
Thanks for all your input. My next question is, who do I talk to first about this? Do I tell my mortgage company we are thinking of doing this or do I talk to a realtor first?
It is the same lender for both loans. Thanks!!
You all have been very, very helpful. I feel like I’m really getting a good grasp of this stuff. My next question is, how do I go about finding a realtor who really knows about short sales? Do I just call a realtor and ask? Or is there a way I can search for them in my area? I live in Illinois.