Liar Loans - AGAIN?

Can't believe this is in Full Swing again. Where are the regulations, regulators, Congressional oversight, the transparency?
Why are these loans being offered again? This is what exacerbated the problem of No enforcement of regulations, and No Congressional Oversight, all the while, well connected politicians were reaping these loans, along with the 'folks'!! and it wasn't the top of the Food Chain that went to prison, just the average Joe.
Yes, this was just one of several facets that caused this Real Estate bubble to burst, so why quietly get this engine up and running again??
What ever you do, DON'T get caught up in this second round of deceit. It will only bode ill for you and your finances. A part of this puzzle that is not 'Found out' till after the signing of doc's are all the details no one bothered to tell the borrowers. Time/money triggers or Balloon payments that are the downfall of many a family.

There are plenty of loans out there for those that qualify. If you can't afford to own a home, that is just the way it is. Responsible spending, saving and just plain old living within your means should be the norm not these crazy gymnastics created by politicians for votes!

For honest, proven Lenders and Mortgage Brokers that won't sell you down the river for a commission, call me! I have worked with the BEST and have proven them out!!

http://www.bestsantacruzproperties.com/

Marlene Henderson, Broker/Owner

831-429-9091

Mortgage Help for Home owners

From the Sacramento Bee



42,000 of California’s jobless will get help with mortgages
The U.S. Treasury Dept. announced yesterday it is providing additional funding to a California program to help homeowners struggling to make their mortgage payments due to unemployment. The program, administered through the California Housing Finance Agency (CalHFA) will assist struggling borrowers make up to six months of mortgage payments. Lenders will be asked to match the government contribution.



MAKING SENSE OF THE STORY FOR CONSUMERS

The program aims to help 19,000 unemployed borrowers in California between its November launch and next July. An additional 23,000 borrowers will receive help over the next two years, according to CalHFA estimates.


To qualify for the program, borrowers must be unemployed and eligible for unemployment benefits, and live in the home tied to the mortgage. Borrowers must be fewer than 90 days behind on mortgage payments and meet low- and moderate-income guidelines. Income requirements can be found at http://keepyourhomecalifornia.com/income.pdf.

First Time Home Buyer Program W/Housing Authority - Santa Cruz, Calif.

MCC First Time Home Buyer Program now available!


Great news! The Housing Authority of Santa Cruz County just released the MCC (Mortgage Credit Certificate) allocation for 2010. But there are only 7 available!!!

What does this mean for a new home buyer?

A first time home buyer may qualify for this tax credit of 20%. For example, on a $400,000 mortgage the buyer will recieve about $4,000 a year from the government! That's over $300 per month.This program is by far the best first time buyer program, and not only puts money back in the pocket of the home owners, but also helps them qualify for the new mortgage.

Call me for the details on income and sales price limits

Marlene Henderson, Realtor, Owner/Broker - Ca/Nv
MoeBEST-Henderson Properties and
Property Management
Calif Lic. 00599374
831-429-9091 Office
831-419-9091 Air Phone

www.BestSantaCruzProperties.com

REO Buyer Financial Updates May 2010

Just got my current Residential REO Buyer Specialist Certification, put it to your BEST advantage!!

This is the latest info on REO Foreclosed homes that has come down the pipe through CAR (Calif. Assoc. of Realtors)

With a new supply of foreclosed home coming on the market expected in June according to Credit Suisse, CAR and many national banks are stepping up to the plate and 'training' agents/brokers on what each individual bank wants to see from a BUYER. The guide lines are similar but in this new day of personal responsibility the qualifying perameters are pretty --- well, REAL! And thats a good thing!!
Most of this is what used to be in the good ol' days.
Buyers/users are being required to have a minimum of a 660 credit score, this is down from a 720 recently.
Two years fully documented income and last quarter investment accounts.
If self employed
Two year tax returns
Rental income, corporation or partnership schedules, social security or other retirement income schedules for the past two year.

Qualifying Debt Ratios

The 'front' ratio for a conforming loan is 28%, 33 for a non-conforming loan, and 31% for FHA. There is NO ratio used in VA loans.

The 'Back' ratio or the total monthly debt of the buyer for a conforming loan is 36%, 40 for a non-conforming and FHA is 43%. VA in computed by a different manor and the ratio is 41%.
Mortgage Insurance come into play here also when a buyer puts down less than 20%.

Fixer-upper - REO's plenty of room in loans to rehad these and well, there are many other details and loan packages that have been devised to get these ones moving.

Just give a call, I give you the low down!

Deed in Lieu

There are so many tricky ways being tauted to stall the inevitable. Loosing your home. These are times to be wary of everything you hear and throughly check with agencies that have authority before getting your hopes to high!

Great article dispels many confused on the issue of 'Deeds in Lieu' give it a quick read and then you'll get it! http://tinyurl.com/yg3c3ju

Home Ownership Help - Finally!

The following article will coincide with the previous post. Slowly but surely agencies are being formed to help homeowners.

http://tinyurl.com/yhn4mzf

Loan Modification Help, Check here!

Check out this website to assess if you can get your loans modified. The list of modifying agencies and specifics are all here. BEWARE OF ANY INSTITUTION ASKING FOR MONEY UPFRONT! This is usually a SCAM!!
http://www.hopenow.com/

Reality of Current Loan Modification Programs

This is a very good summation of the current state of the modification programs. This is a very difficult time for many homeowners since the scenerio has mutated since the initial programs were set up. Take a close look and realize, yes, things are a'changin!

http://tinyurl.com/yfm2hq5

Loan modifying attorneys under investigation.

Since the Loan Modification Program was announced and there was no set plan/program for these modifications to be implemented the following has been an all to common occurance.




The State Bar of California has recently launched numerous investigations against attorneys for misconduct related to loan modifications. In a rare move, the State Bar has released the names of 16 attorneys under investigation, by opting to waive investigation confidentiality in favor of public protection. These attorneys have allegedly taken fees for promised services, but failed to perform those services or even communicate with their clients who face the possible loss of their homes. Their non-attorney staff may also be under investigation for unlawfully practicing law.

Not all attorneys engaged in loan modifications are unscrupulous. However, this announcement from the State Bar serves as a good reminder for REALTORS® and their clients to be careful when dealing with attorneys and others for loan modifications. Scam artists may intentionally associate or affiliate themselves with attorneys in an attempt to lend credence to their fraudulent schemes. The list of attorneys currently under investigation is available at http://calbar.ca.gov/state/calbar/calbar_generic.jsp?cid=10144&n=96395.

Get Accurate Information

With all the different 'Stories' going on around, this is the straight scoop.
Too many people hear parts of the facts and run with it or just stop listening because they get overwhelmed.
If you are looking for mortgage advice, seek a reccommended professional. Don't have one, call me I've got some GREAT reccommendations!



NEW FEDERAL LAW AFFECTING DISTRESSED PROPERTIES
On May 20, 2009, President Barack Obama signed into law the Helping Families Save Their Homes Act of 2009 to help homeowners and lenders avoid foreclosure. Previously included in this bill was a measure to allow bankruptcy judges to modify mortgage loans for principal residences, but the U.S. Senate did not pass this "cram-down" legislation. The Helping Families Save Their Homes Act of 2009 contains various new laws to address the national foreclosure crisis. Major provisions that may affect California REALTORS® and your clients include the following:

Longer Stay for Tenants of Foreclosed Homes: Effective immediately, an REO lender or buyer who acquires title through a foreclosure sale must give at least a 90-day notice to terminate a bona fide tenant as defined. A 90-day notice to terminate is sufficient for a month-to-month tenant or if a new owner will occupy the property as a primary residence at the end of the 90 days. Otherwise, a tenant with a one year or other fixed-term lease with a remaining lease term exceeding 90 days can stay in the premises until the remaining lease term ends. This new 90-day notice requirement applies to foreclosures of a federally-related mortgage loan or residential real property, except for properties under rent control, rent-subsidized programs (such as Section 8), or other state laws that provide additional protections for tenants. This law expires on December 31, 2012.

Notification of Transfer of Mortgage Loans: The Truth in Lending Act now requires a lender to whom a mortgage loan is sold or otherwise transferred to notify the borrower in writing of such transfer within 30 days. The notice must include the new lender's identity, address, telephone number, authorized representative's contact information, and other relevant information. This measure should help alleviate the problem borrowers may face in determining who owns their mortgage loans.

Hope for Homeowners (H4H) Revamped: The new law loosens the H4H program requirements to help homeowners refinance out of their troubled mortgages and into more affordable, fixed-rate FHA-insured loans. Originally launched in October 2008, the H4H program intended to help 400,000 distressed homeowners, but in the program's first seven months, it apparently only helped one family stay in its home. The maximum loan-to-value ratio for an FHA refinance is 96.5% of the appraised value. If refinance proceeds are insufficient to pay off existing liens, the existing lienholders must voluntarily agree to a short payoff, but a new inducement is an opportunity for them to share in the homeowner's equity. Other changes to the H4H program include monetary incentives for both the participating servicers of the existing loans and originators of the FHA refinance. Millionaire borrowers (with net worth over $1 million) are now excluded from the program. HUD will establish the requirements and standards to implement the H4H program as revised.
Other provisions of the Helping Families Save Their Homes Act include a 4-year extension of the $250,000 FDIC deposit insurance to December 31, 2013, protection for loan servicers who establish qualified loss mitigation plans from liability for an alleged breach of duty to maximize mortgage values for their investors, $130 million for foreclosure prevention counseling and education, and $2.2 billion to strengthen homeless programs.

Easing of Refi Guidelines by FED.

This is "Hot of The Press" according to Calif. Assoc. of Realtors and will effect many homeowners in this situation. So it is time to revisit your "qualified lender" and get the Ball Roll'in to modify your loan that is causing havoc in your life.


Reporting from Washington and Los Angeles -- The Obama administration eased eligibility rules Wednesday for its Home Affordable Refinance program, lifting the maximum loan-to-value ratio to 125% from 105%.

The shift, which regulators had hinted was coming, is aimed at making refinancing available to more people whose homes are worth less than their mortgages.


HARP is open to homeowners whose loans are owned or guaranteed by Fannie Mae or Freddie Mac, the mortgage finance giants now under government control. It covers first mortgages only.

The refinance program, launched this year, has gotten off to a slow start, in part because the maximum 105% loan-to-value ratio was too low to include many homes that have fallen sharply in value.


The new 125% maximum means an eligible homeowner with a $375,000 mortgage can refinance if his or her house is worth at least $300,000. But the borrower still must be able to afford the new loan. Income requirements are an increasing problem as unemployment soars and many workers are dealt pay cuts.


Treasury Secretary Timothy F. Geithner said the move to raise the loan-to-value limit was "a crucial step in our broader efforts to get America's housing market and economy on the path to recovery."

But refinance activity in general remains vexed by the jump in mortgage rates from their generational lows in April. Refi applications to lenders have tumbled since mid-May as rates have surged, according to Mortgage Bankers Assn. data released Wednesday. Despite a down-tick in rates in the last two weeks, refi activity hasn't rebounded.