Archive for May, 2010

Monday, May 31st, 2010

foreclosed homes
Fiona Livnat asked:


Ranked as one of the most developed cities in America, Chicago has always been a choice residential location for families and real estate investors. But if you are a homebuyer, discouraged by the high property values in the city, the good news is that the recent influx of foreclosures in the real estate market has presented a great opportunity to purchase properties at highly reduced prices through Chicago foreclosed homes.

With its strong history of self-sufficiency, diversity, natural beauty and several other unique features buying a property through Chicago foreclosed homes has a lot of advantages as listed below:

Diverse economy – There’s not just one major industry that defines the city, which is spread out between many field of work that has resulted in a sound and healthy economy. The city is ranked as having the third highest gross metropolitan product in the country which makes it a great place for relocation through Chicago foreclosed homes.

Powerful business centre – The city is home to Fortune 500 companies such as Aon, Boeing, Tribune, Quaker Oats, Exelon, Sara Lee and many others. The headquarters of several global corporations are located here including McDonald’s, Kraft Foods, Walgreens and Sears as well as several banking and finance organizations thereby providing diverse business and employment opportunities.

Popular attractions – The city offers its residents a wide range of attractions from professional sports to historic museums to Navy Pier, appealing to a broad range of people and annually welcomes around 33 million visitors who come to the place for recreation and fun.

Wide housing options – Everyone from real estate entrepreneurs to first-time home owners find the city an ideal housing option with its wide range of choices from high-rise condominiums to single-family homes in diverse neighborhoods available at great bargains through Chicago foreclosed homes.

While searching for Chicago foreclosed homes to subscribe to a listing service in order to save time and compare prices efficiently.

Before you get in touch with the sellers getting a pre approved loan will be helpful in making a successful deal.

Always inspect the property personally in order to assess its value and estimate its renovation costs before making an offer.

Never forget that the seller is keen to dispose the property at the earliest and there is a wide scope of reducing the prices much further with proper talks and negotiation on Chicago foreclosed homes.



Sunday, May 30th, 2010

foreclosure
David Faulkner asked:


The good news for first-time buyers, or those interested in investing, in the Houston residential market is that there are many Houston foreclosures for sale. These Houston foreclosures include both Veterans Administration and HUD properties which have been taken back by the government, as well as residences now owned by the banks and financial institutions which once held the mortgages on them.

The types of Houston foreclosures in which you are interested will make a difference in how you buy them. Your purchasing process will be dictated by the institution which holds title to the property, so if you feel somewhat intimidated finding your way through the various rules and regulations, consult with a realtor experienced in handling the purchase of Houston foreclosures.

Locating Houston Foreclosures

Walk away from any so-called”professionals” who offer provide you, for a fee, with listings of Houston foreclosures; the information is freely available from plenty of sources. If, however, you would like to have a listing of homes in pre-foreclosure, on which the owners may be in default but which have not gone into actual foreclosure yet, you’ll have to pay for it.

A listing of Houston homes in pre-foreclosure may prove well worth its price, because it will direct you to highly motivated sellers who want to avoid having foreclosures on their credit histories.

Realtors who specialize in Houston foreclosures and Internet sites devoted to foreclosures can also supply you with listings.

Houston Foreclosures: A Wide Choice

If you’re looking at HUD or VA Houston foreclosures, you’ll have a better chance of qualifying as a purchaser if you intend to make the property your primary home. These foreclosures are not available as investment properties until the have first been through the auction process. If you do manage to get a HUD or VA foreclosure, you’ve probably landed a bargain, with favorable financing as the icing on the cake.

Bank-held Houston foreclosures, on the other hand, are available both to those looking for residences and those interested in investment properties. Homes in bank foreclosure are acquired more easily than government foreclosures, and can be purchased directly from the lenders, who can also arrange buyer-friendly financing.

If you’d like to make an entry into the Houston real estate market, begin by getting information on Houston foreclosure listings. With a little legwork, and some careful homework, you’ll be on your way to finding the residence or income property you desire, at a price that will give you a Texas-sized smile for a very long time!

If you are losing your home to foreclosure, just remind yourself that you are one among hundreds of thousands who are. Financial difficulties can assault and devastate best-prepared among us, and all that is left is to look forward and keep going.

There was a time when you thought, and your banker agreed, that you were a great bet to handle monthly payments on a mortgage for twenty or thirty years. You had that confidence once, and you can recover it. And when you do, you may find yourself surveying the foreclosures market to save money while putting yourself in your own home once again!



Sunday, May 30th, 2010

foreclosure
Darewin Ocampo asked:


The current global financial crisis has kept bombarding and still continues to bombard the economy with predicaments massive enough to shake the foundations society, moreover the mortgage industry. Massive inflation and rising commodity prices as well as interest rates have kept flooding the people and have made payment of mortgage barely possible for ordinary homeowners. Such situation has caused an overwhelmingly huge increase in the number of houses being repossessed through foreclosure.

Many solutions as well as thousands of companies offering foreclosure solutions have popped out but prevention is still better than cure. Avoiding foreclosure is always better than getting foreclosure solutions. And to avoid foreclosure, one needs to know everything possible about foreclosure.

In the current situation of the economy, no one is safe from foreclosure. Even the people who never thought that their house can be at risk due to foreclosure can suddenly find themselves in out of their homes. Foreclosure can claim the home of anybody, regardless of financial income bracket. It never chooses and never forgives. And the worst mistake a homeowner could make is hiding or running away from foreclosure, because foreclosure when left unattended is simply devastating. Foreclosure can be avoided but a homeowner must act, and act boldly to do so, keeping in mind that time as well as the crashing economy, is against him.

Foreclosure is one of the legal resorts and safeguards a lending institution can take to mitigate losses. It is the act of repossessing a home when payments are not being made. One day of delinquent or late payment is enough for a lender to start foreclosure proceedings against a homeowner. But the official foreclosure proceedings normally begin after three months of delinquency. Most lenders usually threaten homeowners who are late in their payments with notices of foreclosure proceedings but only after they have actually hired or assigned attorneys to the case and filed the necessary foreclosure paperwork in the court are the homeowners under official foreclosure. The whole foreclosure process can last from three weeks to a whole year depending primarily on state foreclosure laws and it is greatly advised that homeowners check and gain understanding of them.

Once a homeowner is already 30 days delinquent on his payments lenders usually only accept the payment if it is made together with the one currently due. In other words, the whole payment for two months is needed to be cleared of delinquency. It is of wide practice for financial institutions to accept only whole payments and send back partial ones. This means once a homeowner gets a month of delinquency the late payments are likely to pile up and accumulate and will soon pull the homeowner down to default and ultimately foreclosure. Many months of past dew payments is like a powerful black hole in which one cannot get out.

But, different from what many homeowners believe, getting homeowners back on making regular payments and not repossessing homes serves the best interest for lenders. This is because cash is the most liquid asset and it is vital to sustaining a business’ day to day operations. The loss mitigation department of banks will usually keep trying to work things out to make a homeowner make regular payments again. And the best solution for both lender and homeowner is loan modification.

Loan modification is the process of changing the terms of a loan to ones more favorable to the homeowner in order that the said homeowner can afford to make regular payments again.

To learn more about loan modification please visit 24VIPINC and for high quality telemarketing loan modification leads please visit CallComLeads.



The increasing number of foreclosures and the shrinking home prices have brought a golden opportunity for prospective home buyers to materialize their long cherished dream. They enable the home purchase aspirants to own a home in the cost effective manner. But, before purchasing a foreclosed home, you should be aware of the pros and cons. Your knowledge and awareness not only make the home purchase cheap, but also help you to avoid future legal adversities.

Home foreclosures are the result of defaults in the case of secured or home equity loans. When the borrower fails to repay the loan amount, the lender repossesses the home pledged as security against the loan amount and sells it to have the lending money back. It is a fact that, the sale of foreclosed homes are sold in a despair and the price is usually lower compared to the newly developed and litigation free properties. So, you can easily have a cheap deal. If you invest some money, you can easily make it furnished for renting purpose or resale. That may offer you a fixed monthly income or a lump-sum profit at once.

Buying foreclosed homes becomes profitable if you perform some homework to calculate the investment returns before purchase. There may be slight variation in the assumed return amount. But, more or less you can have a picture regarding what you are going to get from the investment. On investment side, add the cost of repair with the value of the home. Lower is the repairing cost higher will be chances to have a decent profit. If the home needs large scale renovation to be ready for resale or renting purpose, the purchase decision should be take cautiously. The legal complications associated with the foreclosed home should also be taken into account. Complicated legal procedures associated with the property will not only ditch a wealth drain in future but also will affect your peace of mind. The first time buyers are strictly advised to calculate all the risks before going for such properties.

Sunday, May 30th, 2010

foreclosed homes
Akhila Choudhary asked:




Thursday, May 27th, 2010

foreclosed homes
Fiona Livnat asked:


Through the years Naples has developed into one the most sought after choices for homebuyers and real estate investors in US. Now with Naples foreclosed homes available anywhere between 20-50% of the current market rates there has never been a better opportunity to buy a property in one of the best areas in Florida State.

Advantages of Naples foreclosed homes

•    Tourist hotspot – Due to its great weather and outdoor appeal the city has various tourist attractions like the Marco Island and the Everglades and a popular vacation area known as the Paradise Coast.

•    Good education facilities – The areas schools are a part of the Collier county school district and have some nationally ranked institutions like Saint John Neumann High School and the Hodges University.

•    Quality lifestyle – Ranked as one of the top five “Best places for a long life in the United States”, by CNN and Money Magazine the city has very good utilities along with well rounded residential communities making Naples foreclosed homes one of the best family residences in the county.

•    Thriving art scene – The city has a vibrant art scene with the Players and Kidzact youth theatre program, ranked as one of the top two community theatre companies in the United States. Other attractions include the Philharmonic Orchestra, and Theatre Zone Equity Theatre Company.

•    Pristine beaches – The city comprises of a 10 mile long beach area famous for its cleanliness and was voted the best beach in America by the Travel Channel. Some of the popular areas include the Clam Pass Beach Park, Vanderbilt Beach and Boulevard Beach.

Guidelines on buying

Buying a property through Naples foreclosed homes is not very difficult if one follows some important guidelines as listed below:

Before you begin your search for suitable foreclosures, it is very important to decide your budget as well as space requirements in order to get the best deals available.

You can begin your search for Naples foreclosed homes by looking through real estate, and bank websites listing foreclosure properties and then filtering the suitable ones according to the price range and sizes.

Looking up the local as well as the leading state and country classifieds is also a good source for getting information on Naples foreclosed homes.

You can also visit the Collier county office to get information about upcoming auctions for Naples foreclosed homes for sale.



Tuesday, May 25th, 2010

foreclosure
Otto Ruebsamen asked:


The real estate industry is reshaping a new market as a result of the real estate bubble burst and the sub-prime mortgage problem.  We are now witness to the emergence of a new phenomenon called a foreclosures home.

Investors and homeowners who can pass the stringent requirements of financial institutions may consider investing on a foreclosures home.  There are a lot of properties that are on the FHA foreclosure listings we can consider as “best buys.”  Another thing to watch out for is the impending occurrence of a second wave of foreclosures; this time in the prime property sector.

Best Practices When Buying Foreclosures Home

Buyers can follow either of three routes in buying foreclosures home.  One option would be to transact directly from the homeowners before the real property is foreclosed by the mortgage lender.  This approach is referred to as pre-foreclosures.

Another approach is through auction. Prospective home buyers are required to bid the highest to purchase a foreclosures home.

The third one involves direct transaction with the real estate company.

Buying Through Pre-Foreclosure

Pre-foreclosures can be an attractive approach under the following circumstances.  Prospective home buyers must have the available equity to close out the deal with the present owner of the real estate property.  You should also have access to complete information appertaining to the property; particularly the title, the mortgage structure and liens.

The owner of the home gives up his rights to the property by signing a deed in your favor.  You are in effect assuming the mortgage along with the rights to the real estate property.  You also have to pay all back payments or mortgage payments that are over due.

The auction approach may vary depending on the state where auctions of a foreclosures home are held.  It is essential to note at this point that this approach carries the heaviest risk.  This method, however, may also yield the greatest benefits to the winning bidder, as he stands to gain as much as 40% out of the transaction.

The downside of this approach is that buyers will not be able to do a thorough inspection of the property prior to the auction.  Winning bidders also have to pay in cash.  In some instances, you may also encounter problems with former owners of the property refusing to vacate the house.  In addition, you may also compete with real estate investors who are out to cash in on the purchase through resale as well.

Buying directly from the real estate company entails lesser risks when it comes to the actual condition of what you are buying.  You are afforded ample time to inspect the property.  You can also demand for a clean title and also add a stipulation in the contract that it is subject to getting a mortgage.  Brokers usually handle the sale of foreclosures home in behalf of the banks.  This approach is the safest amongst the three approaches, however, the downside would refer to lesser gains from the purchase of the foreclosures home.

Selecting the right method in buying foreclosures home would depend on the goals and circumstances of the buyer.



Sunday, May 23rd, 2010

foreclosure
Amelie Mag asked:


Foreclosed homes are regularly set on the market by the two major home lenders: government agencies and banks. Be they government foreclosures or bank foreclosures, what matters most is that they can be purchased at expenses lower than their real market value. This is why homebuyers or investors generally are in haste as soon as a reliable foreclosure opportunity is listed. After having investigated the real estate market and its potentialities, homebuyers must move quickly if they want to grasp this temporary chance. In what follows we will see some of the basics and advantages of opting either for government foreclosures or for bank foreclosures.

The most popular government agencies that frequently market foreclosure properties are as follows: 1) the U.S. Department of Housing and Urban Development (you are probably already familiar with HUD foreclosed homes); 2) the U.S. Department of Veteran Affairs (for the well-known VA foreclosures); 3) local agencies of taxation; 4) the Federal Deposit Insurance Corporation (FDIC – the department dealing with foreclosure sales); 5) the Internal Revenue Service (IRS – once again the segment dealing with foreclosures). However, the market of government foreclosures is led by HUD foreclosures and VA foreclosures.

In any case, the point is that with government foreclosures one of the above mentioned government agencies is holder of the property’s title. As a rule, they will place any foreclosed property at auction. The buyer’s advantages are basically drawn from bidding opportunities generated by auction circumstances: the potential buyer’s chance to set a limit for the house value, the certainty over the time interval spent to acquire a property, the possibility to evade prolonged negotiations with the former homeowner. As with any auction, government foreclosures are purchased if the bidder’s offer is appropriate. Also, your involvement in government foreclosures auctions needs to be mediated by a certified real estate agent who is regularly rewarded a 6% bonus for having successfully sold the property. The real estate agent’s indemnity is an additional figure to the sum you place as a bid.

To what concerns bank foreclosures, there are three major ways of purchasing such properties. One of them is in pre-foreclosures. In this case, you will need to act promptly, because there is actually very little time up until a property in a pre-foreclosed stage is transferred to foreclosure terms. So before properties actually become bank foreclosures, the active, smart homebuyer/investor – who has previously undergone a serious investigation of an area’s real estate market – will know to move in the direction of negotiating directly with the distressed homeowners. If pre-foreclosure attempts fail, the next step is an auction.

With bank foreclosures, the auction is required by the banks whose lends haven’t been acquitted on time. In such circumstances, the homebuyer/investor could try to overpass the bank’s bidding offers. Yes, the bank will also bid in such auctions, interested in stepping further along the process of profitably selling foreclosures. If the auction is won by the bank, the property becomes an REO (real estate owned) foreclosure property. This is the third way in which you could purchase bank foreclosures. When you are interested in REOs, you will negotiate directly with the bank. The main advantage of the potential homebuyer/home investor is that this is the most certain manner (and one of the fastest) of acquiring a foreclosed property. You will need to make an offer, but be careful: the offer should be commonsensical, don’t expect a bank to accept a discount of 50%, even if we are talking about foreclosures. Most often, you will get a 10%-20% lower price for an REO foreclosure.

In the end, the key toward purchasing foreclosures, no matter the entity selling them, is given by two stages: careful real estate market investigation and promptness in action when the time comes to place your offer. Remember that the market of foreclosures, no matter how advantageous, is highly competitive, since many homebuyers/investors are interested in it.



California Loan Modification Fraud Lawyer & Foreclosure Consultant Fraud Attorney – Damages For Scams, Ripoffs, Frauds And Statutory Violations

Sunday, May 23rd, 2010

foreclosure
R. Sebastian Gibson asked:


News Alert – On October 11, 2009, Governor Schwarzenegger signed into law Senate Bill 94 which took effect immediately upon his signature. This law now prohibits any person, including real estate licensees and attorneys from demanding or collecting an advance fee from any consumer for loan modification or mortgage loan forbearance services affecting dwellings with one to four residences. Advance fees inadvertently collected after October 11, 2009 must be refunded. Agreements entered into before October 11, 2009 are not affected and the below rules still apply to those prior agreements. If you already entered into an agreement with a licensed real estate broker for loan modification or other mortgage loan forbearance services prior to October 11, 2009 and that broker had received a “no objection” letter from the California Department of Real Estate, they are permitted to continue providing those services to you according to the terms of the contract. However, they are not permitted to collect any further advance fees from you. The California Department of Real Estate website states, “If you are approached by any person requiring up front fees for these services, do not pay them.”

 

Today, everywhere you look, there are commercials, billboards and roadside signs by entities offering to help you prevent a foreclosure of your home. Known as Foreclosure Consultants, some, if not many of these services and the persons whom they employ may be acting in violation of the strict regulations in California which regulate this growing industry. Others, may be outright frauds and scam artists.

 

The focus of these foreclosure consultants is anyone who is behind on their mortgage payments, which is now estimated to encompass one out of every ten homeowners. However, those who seek to defraud the public have their focus especially on the elderly, the newly unemployed, those whose properties are entering foreclosure and those whose payments have recently spiked upwards.

 

If you’ve been the victim anywhere in Southern California of real estate fraud or the target of an unscrupulous loan modification service, foreclosure consultant or someone acting on your behalf to modify your mortgage or cure your problems who is in violation of the strict regulations discussed in this article, call the Law Offices of R. Sebastian Gibson at any of the numbers on our website at http://www.SebastianGibsonLaw.com .

 

If you are a licensed real estate broker or agent and have either been wrongly accused of being in violation of the laws and regulations governing loan modification services and foreclosure consultants, or acted as such without being aware of these strict regulations and need legal defense, we urge you to call us at any of the numbers which you can find on our website.

 

To help you wade through the regulations in California on such services, here are some of the most important regulations. Keep in mind, that there is some overlap between foreclosure consultants and loan modification services. For that reason, the laws and regulations governing both services are included.

 

California Civil Code Section 2945 regulates foreclosure consultants. There is an additional requirement with respect to loan modification services, as discussed below. As with many code sections, the restrictions are complex and many. But here are the primary ways in which foreclosure consultants and loan modification services are regulated.

 

First, no foreclosure consultant and no real estate licensee is allowed to collect any advance fees for services as a foreclosure consultant once a Notice of Default has been recorded against your property. California lawyers are exempt from this prohibition.

 

Second, even if a Notice of Default has not been recorded against your property, in order for a real estate broker to assist you in obtaining a loan modification, or to otherwise negotiate a possible resolution to your problem, the broker must have you sign an agreement that specifically states what services will be performed, when they will be performed and how much you must pay.

 

Third, a broker may not have you sign any such loan modification agreement until it has been submitted to the Department of Real Estate for review and the broker has received permission from the DRE to use it and collect an advance fee.

 

Fourth, licensed real estate brokers who provide loan modification services without collecting fees in advance are not required to receive the DRE’s permission so long as their services are fully completed before they are paid by you.

 

Fifth, foreclosure consultant contract must allow the homeowner the right to cancel the contract until midnight of the third business day as defined in Section 1689.5 of the California Civil Code.

 

Sixth, foreclosure consultant contracts must provide an additional notice to the homeowner in 14-point boldface type stating when fees can be taken and notifying the homeowner that the consultant cannot ask you to sign any lien, deed of trust or deed.

 

Seventh, it is a violation for the foreclosure consultant to claim, demand, charge, collect, or receive any compensation until after the consultant has performed each and every service the consultant contracted or represented he or she would perform.

 

Eighth, it is a violation for the foreclosure consultant to charge any fee or interest which exceeds ten percent per annum of the amount of any loan which the foreclosure consultant may make to the owner.

 

Ninth, it is also a violation for the foreclosure consultant to take any wage assignment, consideration from any third party, acquire any interest in the residence in question, take any power of attorney, induce the owner to sign other contracts which are not in compliance, or enter into an agreement to assist the owner to obtain surplus funds prior to 65 days after the trustee’s sale has been conducted.

 

Tenth, an action may be brought against a foreclosure consultant for any of these violations and judgment shall include actual damages, reasonable attorney’s fees and costs, equitable relief and exemplary damage of at least three times the compensation received by the foreclosure consultant. The foreclosure consultant may also be punished by a fine of up to $25,000.00 or imprisonment for up to a year or both for each violation.

 

The reason for these regulations are many. Foreclosure consultants have, in many cases, been found to charge high fees, require the payment to be secured by a deed of trust on the residence, and then have either performed no service or worthless services. Some foreclosure consultants have then been known to purchase the homes at a fraction of their worth shortly before the homeowner loses their home.

 

Additionally, some foreclosure consultants have required payment of exorbitant fees for services such as to obtain the remaining funds from a foreclosure sale when the homeowner could have obtained those remaining funds from the trustee of a trustee’s sale directly for minimal cost if the homeowner had sufficient time to receive notices from the trustee regarding how and where to make a claim for excess proceeds under Civil Code Section 2924j.

 

Among the services foreclosure consultants are known to offer, legitimate or otherwise, are to stop or postpone foreclosure sales, obtain forbearances from beneficiaries and mortgage companies, assist in getting reinstated, obtain extensions of time, obtain waivers of acceleration clauses, assist in obtaining loans and advances, avoiding or ameliorating the impairment of the owner’s credit, saving the home from foreclosure, and assisting in obtaining the remaining proceeds from the foreclosure of the residence. If a foreclosure consultant promises any of these services, he or she is bound by Civil Code Section 2945 discussed above.

 

If you are dealing with a loan modification service, even one with a contract which has been submitted to the DRE and the broker has received permission to use it and collect an advance fee, if the real estate broker does not follow the strict procedures for handling the advance fee as contained in California Business & Professions Code Section 10146, the agent will be presumed to have violated Sections 506 and 506a of the Penal Code and the homeowner may recover treble damages for amounts misapplied and shall also be entitled to reasonable attorney fees in any action to recover those amounts.

 

Representatives of foreclosure consultants must be bonded real estate licensees. Foreclosure consultants must also be bonded and registered with the California Department of Justice (and submit advertising and promotional materials) and the homeowner must be provided with written proof that the consultant’s representative has a valid California real estate sales license, and is bonded in an amount equal to at least twice the fair market value of the property in question. If the foreclosure consultant performs any activities which include negotiating loans or performing services in connection with real property loans, the consultant must also be a real estate licensee.

 

While real estate agents are in some respects exempt from the foreclosure consultant regulations contained in Civil Code Section 2945, they are subject to it’s regulations under certain circumstances and it is in those circumstances that a real estate agent can be in violation of the Act. If they collect fees once a Notice of Default has been recorded, if they collect advance fees before acts have been performed, if they acquire an interest in a residence in foreclosure, if they assist the owner in obtaining the remaining proceeds from the foreclosure sale, or if they make a direct loan for a residence in foreclosure, they may be in violation of the foreclosure consultant laws.

 

A real estate broker cannot collect an advance fee under California Business and Professions Code Section 10026 unless the broker has submitted to the California Department of Real Estate an advance fee agreement for approval.

 

A loan modification contract, even one with a licensed real estate broker, for their assistance in working out a loan modification or negotiating another resolution of your problem must still state what services will be performed, when they will be performed and exactly how much you must pay. If the fees are to be collected in advance, the contract must be pre-approved by the Department of Real Estate.

 

At the Law Offices of Sebastian Gibson, we specialize in the field of real estate and stand ready to assist you if you have been the victim of any type of real estate scam. If you have lost money or your house to a foreclosure consultant or loan modification service as a result of their wrongdoing, we can assist you in pursuing the parties who victimized you and in some instances, we may be able to seek not only any moneys paid to them, but also, in some cases, your other actual damages, equitable relief, reasonable attorney’s fees and costs and punitive damages of three times the compensation received or misapplied by the foreclosure consultant or loan modification service who contracted with you.

 

If you have a business or real estate legal matter in Palm Springs or Palm Desert, in Ontario or Rancho Cucamonga, Temecula or Murrieta, Newport Beach or Huntington Beach, Anaheim or Santa Ana, El Cajon or Carlsbad, Palmdale or Victorville, Long Beach or Santa Monica, Ventura or Oxnard, or anywhere in Southern California, our Palm Springs, San Diego, Orange County, Inland Empire, Los Angeles, Santa Barbara and San Luis Obispo law firm has the knowledge and resources to be your Business Lawyers and Real Estate Attorneys. If you’ve been the victim of a real estate, business, loan modification or foreclosure scam or fraud, be sure to hire a law firm with experience in loan modification, foreclosure and real estate fraud in California and who will endeavor to ensure that your rights are properly represented.

 

To learn more about the statutes which regulate loan modification and foreclosure consultants, or for legal representation, call the Law Offices of R. Sebastian Gibson at any of the numbers on our website at http://www.SebastianGibsonLaw.com .



Saturday, May 22nd, 2010

foreclosure
Otto Ruebsamen asked:


The present economic turmoil that we are in right now has created several investment opportunities in the real estate industry sector.  With the misfortune for most of us come the great opportunities for others from a real estate foreclosure list.

The depressed condition in the real estate business and the sub-prime mortgage meltdown has led to the creation of a new phenomenon in the real estate industry-a long foreclosure list.

Those with enough equity should explore investment options available through a real estate foreclosure list.  However, they should be able to see through the foreclosure list the ‘best buys’ from the ‘bad buys.’

Tips for First Time Buyers from a Foreclosure List

Once we recognize the vast investment opportunities from a foreclosure list, the next thing to do is to look for the right real estate property to buy.

Businesses would be where to look for the real estate foreclosure list.  The mortgage lender and the financing companies have a complete foreclosure list.  You can also get the foreclosure list from an agent or brokers who handle the foreclosed properties on behalf of the mortgage lender.  Finally, the internet can give a lot of sites with the information about foreclosed properties for sale.

The essential aspect of this business option is the information available and how you effectively use them when making your decision. Some buyers of real estate properties from a foreclosure list even go a bit further by contacting the present owner of a real property which is about to be included in the foreclosure list.  You should be very cautious with pre-foreclosure approach, as it might lead you to more complications and problems.

The best thing to do at the moment is to focus your attention on real estate properties that are on the foreclosure list already.  What is good about these properties on the foreclosure list are that they can give you the best possible deals especially for those prime real estate properties you would not normally get at discounted prices.

In general, the foreclosed real estate properties are sold at prices that are lower than the real value as mortgage lenders are pressed to dispose of these assets to ease their liquidity problems. A good buy would normally constitute to about 5 percent to 50 percent of the fair market value of the real property.

When you are finally at the stage of doing some serious scouting for the prime property to buy, decide whether it is going to be a buy to keep or a buy to resell.  There are some houses that would require simple repairs before it is again ready for the selling block.   However, if you intend to keep a particular property included in the foreclosure list, you have to consider the long term requirements of the structure as far as repair of damages and the defects are concerned.

Buyers are also advised to do an extensive research for information related to the particular real estate property you are interested in.  There may be some properties that despite the repairs that are put in by the buyers, it may not fetch any substantial increase in its price in the market.  It is essential to seek the services of an assessor to give you a fair estimate of the value of the real estate property in the foreclosure list.



Stop Foreclosure

Thursday, May 20th, 2010

foreclosure
John Chase asked:


Stop Foreclosure

Here is a list of 10 things that might help you stop foreclosure, before you even get a foreclosure warning or a ‘late payment’ letter.  It’s not a ‘to do’ list, it’s actually a ‘NOT to do’ list…but follow this like it’s the 10 commandments, because each and every one of these offenses has the potential to send you hurtling over the edge of financial despair.

1. Do NOT fail to accrue savings for an emergency.

Many wants and needs face each of us each day. Every dollar we earn seems to have its path determined before it comes to our hand. This often results in people putting aside little or no savings for a rainy day. Yet, rainy days do happen, that fact we know. I would love to see homeowners with six months of mortgage payments in savings. As a minimum people should have one to three months of mortgage payments as a reserve to help stop a foreclosure.

2. Do NOT get caught without a Home Equity Line of Credit in place.

If something comes up forcing you to stop a foreclosure you will need money fast but the options may be gone by then. At least 90% of foreclosures could be prevented or delayed if home equity lines of credit were previously activated. Setting up an equity credit line can often be done for no cost and can lock in rates as low as 4%. In most cases you pay nothing each month if you do not access the line. No one ever expects sudden health problems, loss of a job or emergency requiring funds fast. By definition, these unforeseen events might prevent obtaining a loan once they occur. By setting up a home equity credit line before you ever miss a mortgage payment, you will have money when you really need it. No reason to fill out an application again, just write yourself a check. When things get back in order, pay back the line and then use it again the next time. Just be careful not to use the line for frivolous purposes and you will love your home equity credit line – especially if you never have to use it.

3. Do NOT miss a mortgage payment.

This may seem like a “no-brainer”, but every foreclosure traces its origin to missing one mortgage payment. Keep these things in mind here:

1. Skipping a mortgage payment ranks as a far more serious issue than missing a utility or credit card payment. Consider not spending on non-essentials, ignoring a different bill or using savings before letting a mortgage obligation pass.

2. Once you have missed a mortgage payment you have started down a slippery slope and missing a second, third or forth payment becomes easier from a psychological point of view.

3. Once you have missed a mortgage payment, your credit suffers an immediate blow, which may stop you from getting the loan you need to save your house. While some foreclosure prevention loans remain options deep into the foreclosure process, how much you can borrow decreases with each corresponding decrease in your credit score. Often the difference between what you could have taken as proceeds from a foreclosure prevention loan or refinance before you miss your first mortgage payment and the loan available after missing several payments means the difference between keeping or losing your home.

4. Do NOT fail to ask for help.

Some say, “A friend in need is a friend indeed” but when it comes to trying to stop a foreclosure, pride must take a back seat. Fear, shame and embarrassment just touch the edge of the deep emotions that affect someone losing their home to foreclosure. The last thing someone in foreclosure wants to do is admit to a parent or sibling that they have gotten into such trouble. Yet no one other than a parent, sibling or close friend would stand by your side and help you through an experience as difficult as a foreclosure. Remember these items:

1. People will learn of your situation when it hits the papers or when you have to move out of the house, wouldn’t you rather they heard the news from you first?

2. Most people whom you care about will be more understanding than you expect and will not try to make you feel like a failure.

3. You may be surprised at what kind of help will be offered and the difference it can make in saving your home from foreclosure and making you feel better about the whole situation.

5. Do NOT ignore the lender.

Somehow getting behind on a mortgage comes with a built in belief that phoning your lender constitutes a sin or that a call to a lender will result in their ripping your head off right through the chord. In truth, most lenders appreciate knowing why you are having trouble and like updates on how things are going, especially when your problems have justified reasons like health issues or the loss of a job. Treat letters from your lender as wake up call from a concerned neighbor rather than a threat from a bully. Remember – banks want to help get you back on track, they want their payments not your house. If you do not think you can talk to them yourself about a plan there are professional foreclosure negotiators who can help if you have fallen behind.

6. Do NOT deny you have a problem.

The technique most commonly employed to deal with a foreclosure or financial crisis remains the “ostrich” method of ignoring the problem. A related option involves reacting to the issues by losing hope and giving up. Following these paths will surely lead to never stopping the house foreclosure. From the time one evens thinks a payment will be late only a limited amount of time exists until the foreclosure auction and with each passing day more options become unavailable. Face the problems, deal with them, and find solutions.

7. Do NOT think you have no options, Do NOT fail to take advantage of them.

You may believe, or your lender may lead you to believe, that you must pay them in full or lose your home to foreclosure. In fact, many options exist which will allow you to keep your house and stop the foreclosure proceeding without paying all of your arrearage at once. Some choices may even reduce what you owe on your property by tens of thousands of dollars. Almost everyone has some options and the sooner you act the more options you have. As the foreclosure date gets closer, options continue to become unavailable until by the foreclosure date only payment in full or a bankruptcy filing remain. Read more about what foreclosure prevention options you have and take action as fast as you can.

8. Do NOT spend what money you have on other bills.

After missing mortgage payments for 3 or 4 months a mortgage company may “call” or “accelerate” the home loan. Once this happens they no longer take a single monthly payment, instead insisting all back payments be made at once. While other options short of paying all arrearage may be negotiated, the biggest mistake people make at this time involves allocation of what little cash they do have. It almost seems natural since the mortgage company says they do not want your money, and the second mortgage company, credit cards and others call everyday demanding money, the proper thing to do it pay the others. If there are ten people calling, making nine happy means fewer calls for you and less headaches in the short run. In the bigger picture this represents a critical mistake. At some point you will need those funds to save the house. Many methods exist to stop a foreclosure but they will all require money. Ask yourself this, “Would you rather lose your credit cards or loose your house?” If you want to keep the house and you cannot pay what they want just save what you can, you will likely need it for whatever steps you might take to save your home. For much more on this subject read “Who to pay when you can pay everyone”.

9. Do NOT stop making payments.

You’ve missed a mortgage payment. Now comes the second month and you get a bill for two payments. Part way thought the month you have the money for one payment, but the bill says you owe two so you do nothing. Think carefully before you fall into this trap. There will come a time when the bank will demand you pay all you owe them and they will take no less. Until the bank refuses to take your money consider making what payments you can. This will show the bank you intend to pay them and show them efforts are being made. More importantly if over four months you made only two payments you may be only 60 days behind, while that may not make the bank happy, it may not meet their criteria to start a foreclosure. Keeping in touch with the bank and making some payments can delay the start of foreclosure many months. Hopefully during that extra time you can solve the underlying problems and avoid ever having a foreclosure. On the other hand, if you have no hope of ever keeping the house anything you pay to stay longer should be viewed more like rent, which may or may not make sense depending on your personal circumstances.

10. Do NOT miss bankruptcy filing deadlines.

Proper filing of a Chapter 13 Bankruptcy always stops a foreclosure in its tracks. When a Chapter 13 plan to pay back creditors meets approval from the court and the debtor pays all the payments under the plan the foreclosure never starts up again. Failure to make payments gives the creditor the option of restarting the foreclosure when it left off before the Chapter 13.

1. Points to remember: You must file on time; failure to meet a filing deadline could result in losing your home.

2. You must make all payments required under the plan; otherwise creditor can start the foreclosure back up.