Posts Tagged ‘Foreclosure’

City gets $7 million for foreclosure fix-ups

Friday, June 18th, 2010

KRQE asked:


The federal government will give the city of Albuquerque $7 million to buy and rehabilitate foreclosed home to resell to low-income families.

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.



Wednesday, May 19th, 2010

into foreclosure
Doug Smith asked:


When I first began as a “newbie” real estate investor back in 2002, I was confused by all of the websites that claimed to provide a listing of Houston foreclosures. I wasn’t sure which ones provided the most leads, which ones provided higher quality leads, which one provided more bang for my buck, and so on. It was a maze out there, and I was lost.

 

After spending several years in the business, it’s all much clearer. Here’s what I now know. In short, there are three categories of Houston foreclosures websites: 1) Those that offer actual foreclosures, 2) those that offer pre-foreclosures, and 3) those that offer “pre pre” foreclosures. Each category of foreclosures has pros and cons, and the category that works for one person may not work for another. It all depends on what your goals are. Let me explain the three categories in greater detail.

 

Category 1 – Actual Foreclosures: Foreclosures are properties that have already been foreclosed on. They’re usually owned by a bank or the government. They’re best for people who are looking for a home to live in, NOT investors. You’ll get less of a discount – maybe 10-15% off retail – but the whole process is easy. Look through the list, find what you like, and ask your Realtor to go show it to you. And then have that Realtor make the offer and handle the negotiations. Very simple. There are probably fifty websites that contain actual foreclosures, but three of the most popular ones are currentforeclosures.com, foreclosure.com, and realtytrac.com. These are national websites, but they are full of Houston foreclosures.

 

Category 2 – Pre-Foreclosures: Pre-foreclosures are properties that will head to the auction in one to three months. A notice has been filed at the courthouse. They’re best for real estate investors who are willing to do some work or spend some money in an effort to get a bigger discount. After you meet with a few sellers and make a few offers, you’re likely to find a property that you can buy at about a 30% discount. At least that’s what you should be shooting for. If you choose to mail to these lists, you’ll likely spend hundreds of dollars in postage. If you choose to knock on the sellers’ doors, you’ll likely spend dozens of your own man-hours. If you want the discount bad enough, these issues are tolerable. When I was first starting out and desperately needed the money, I pursued pre-foreclosures, but they’re too much trouble for me nowadays. I’ll let the new batch of “newbies” chase them! Quality pre-foreclosure websites in Houston are foreclosehouston.com and realdata.net. They’re both local.

 

Category 3 – “Pre Pre” Foreclosures: “Pre pre” foreclosure websites contain listings of properties that haven’t hit the official pre-foreclosure lists or the actual foreclosure lists yet. They are best for investors who want a 30% discount or so but don’t want to spend all of the money on postage or the man-hours knocking on doors. The advantage is less money and less time spent. The disadvantage is that there are generally fewer properties to choose from, so you’ll probably have to drive outside of your immediate zip code to find the one that gives you the profits you desire. Popular “pre pre” foreclosure websites are myhousedeals.com and propertyleadsnow.com.

 

The category of Houston foreclosures that you choose to pursue is up to you. It just depends on whether you’re an investor or an owner-occupant, and it depends on how much time or money you’re willing to spend. I’ve bought 41 houses, and 60% to 70% of those were “pre pre” foreclosures. Those are my preference, and that lead source inspired me to create www.myhousedeals.com , which I mentioned above. I encourage you to visit my site, but even if you don’t, you’ll be more than happy with the other sites I mentioned. They all provide great leads.

 

I hope I moved you a step closer to your goal of real estate riches. Until next time, happy (and profitable) investing!



 Buying a home is an emotional decision. A home is not only a place to live but it is more about you as a person and your lifestyle. That is why, many people wait for the right opportunity to get their dream homes. There are many ways to buy a home that may help you to realize you dreams. However, the need is to find the right way that will help you to get nothing but the best. A foreclosure is the best way to get homes that serves your purpose that too in quite reasonable costs without burdening your pocket.

How to Buy a Foreclosed Home?

 Gather Information:

In is important to gather relevant information related to foreclosed homes or properties. Check the background details of foreclosed properties and homes as it will help you save thousands of dollars. There are many websites through which you can get foreclosure information as and when a properties get its first notice of default.

 Check liens:

Before you made up your mind to make an offer to the seller, a cross-check to detect any kind of lien or claims should be done. Usually many buyers do not check these essentials and end up paying much more the price of the property or home.

Think carefully:

It is very important to decide why you are buying foreclosed home? Will you use it as a place to live or just put it on the rent? Think carefully and try to get the answer before you make any move.

Carefully select the seller:

Since there are many sellers out there offering their homes, you as a buyer have to decide who can help you to get the most satisfactory deal. Carefully select the right home and make the best deal.

Prepare for paper work:

Buying a foreclosed home is not as easy as it may sound. It may involve some legal formalities. So, get prepared for everything. There may be a background check too.

Participate in public auctions:

Participating in public auction is the best thing you can do to get a profitable deal. You can judge the home, compare prices and get it.

Wednesday, April 28th, 2010

foreclosed homes
Akhila Choudhary asked:




Forestalling Foreclosure

Thursday, March 18th, 2010

MoneyTalksNews asked:


Home foreclosures are reaching record levels in many parts of the country. And it’s no wonder, since most people who can’t make their payments do the opposite of what they should. If you’re behind in your mortgage, heed this expert advice from money reporter Stacy Johnson.

Wednesday, March 3rd, 2010

foreclosure
Shane Barker asked:


The death of a loved one is never easy. Not only is it emotionally disturbing, but financially as well. So if you’re suffering from depression caused by the loss of a loved one, you hardly have time to notice your mortgage bills sitting their on your kitchen table. When you are not able to pay these mortgage bills, you might be in danger of losing your house as well.

Foreclosures happen when monthly payments for mortgage loans are not met. When a month has gone by since your last bill was sent to you and you still are unable to meet the monthly dues, a notice of a foreclosure will be sent to you.

What is a foreclosure?

In mortgage deals concerning real estate property such as a house, the house is held as a security for the payment of loans. This means that the mortgagor (the owner of the house) ‘trades’ his or her house for a lump sum or an amount loaned by a bank but the mortgagor still maintains ownership of the house by paying mortgage bills. In the event that the mortgagor is unable to pay these bills or satisfy any other requirements that are specified on the bond or deal, a foreclosure can happen. A foreclosure is essentially a legal step that the lender makes when a loan is defaulted. The lender does this to recover the amount owed by the mortgagor. The foreclosure process begins when the lender issues a public notice of a default called a Notice of Default or Lis Pendens.

Foreclosures usually end in three ways: 1) through a pre-foreclosure, 2) through a public auction and 3) repossession

What is a pre-foreclosure?

In a pre-foreclosure, the debtor reinstates the loan either through a mortgage modification process wherein he or she pursues another mortgage package or agrees to pay the amount of debt he or she has in a span of time set by the bank or as stated in mortgage laws governing the area. This period is called a redemption period. It usually lasts only a month after the petitioning for the foreclosure.

How does a foreclosure end through a public auction?

A foreclosure can be settled through a public auction if both parties (the bank or lender and the mortgagor) agree to settle their dispute through a public auction. During the redemption period, the debtor puts up his or her property for sale in an auction to pay off his or her remaining loan balance. In this case, the debtor is agrees to sell his or her property and the rights to it to the highest bidder of the public auction.

What is repossession?

Repossessions happen when the mortgagor has exhausted all means of paying this or her debts to bank or lender. The bank or lender will take over the ownership of the house to compensate for the financial loss it has incurred throughout the mortgage period. A repossession greatly damages a person’s credit history.

A foreclosure that ends in any one of the abovementioned ways can destroy one’s credibility and can hamper a person’s borrowing power. Either that or you lose any money you would have earned in selling the property. Fortunately, there is hope. There is a company in California that purchases properties directly from the owners. Cashout Options is the company that will provide you with suitable foreclosure solutions and present to you a viable and hard to resist all cash offer. Cashout Options has experts that will help you in stopping foreclosures and save you from incurring a dent in your credit history. It has an outstanding group of personnel to supply you with the adequate foreclosure assistance that you need. With its short sale services, you can be assured that you will get the best and fastest deals while still avoiding foreclosures. By filling up an online request form, Cashout Options will try to get in touch with you in as fast as 48 hours and will provide you with all the foreclosure help that you need.



A&E – FLIP MY FORECLOSURE SCAM PART 1

Sunday, February 28th, 2010

john67elco asked:


Isnt everything the last 5 years seem to be about some big money real estate scam? Here is an A&E “Flip This House” scam that was shown to viewers. Part 2 of this story is located HERE www.youtube.com

Foreclosure Alley – P1

Thursday, January 21st, 2010

RemiG2006 asked:


10.01.08

Tuesday, December 22nd, 2009

foreclosure
Groshan Fabiola asked:


For most of us in the middle class, building a home is a lifetime project. Most of us plough the major part of our savings into making the dream home where we can hope to be safe, and comfortable. But what if those very dreams are threatened by foreclosure? We can stop foreclosure in many cases. With some foreclosure help, you’ll know what to do in the situation to prevent foreclosure from snatching your home.

One important thing you need to remember is that to stop foreclosure, you are going to have to repay back that loan. All the measures that you can take will only help to delay, or reschedule the repayments. They will not give you a free ticket to keep your home. So seek foreclosure help only if your intent is to ultimate repay the loan.

Here’s another reason why you will want to avoid foreclosure. Foreclosure not only takes away your property it also lowers your credit ranking. Once you’ve gone through foreclosure, it will be harder for you to get loans. That’s why it is even more important for you to seek foreclosure help and stop foreclosure to save your credit rating.

The first thing that you should do to stop foreclosure is talk to your lender. Most lenders don’t want to go for foreclosure because it’s a tedious process and often results in a loss for them. They’d rather have you repay the loan. If you explain your financial predicament to the lender, and also give them a reasonable time period in which you can start repaying your loan, you won’t even need foreclosure help as the lender might agree to reschedule your payments.

The second thing you need to do is to continue living in the home that threatened by foreclosure. If you live in the house, the lender will find it harder to foreclose. So to stop foreclosure, and to force the lender to be more generous with the deal they give you, live in the house. That’s what you’ll hear when you seek professional foreclosure help.

One of the most viable options to re-work your debt is to ask for special forbearance. If you can show conclusive evidence to your lender that there’s a negative change in your financial position, or your living expenses have gone up, the lender might give you this options and you’ll be able to stop foreclosure. Under this system the lender will temporarily reduce your repayments or even suspend them for a while. You’ll also have to show the lender that you’ll be able stick to the new plan.

The second option is to modify your mortgage and increase the loan’s term. Stretched over a longer term, the monthly installments will go down. You’ll have to convince the lender that you’ll stick to the new payment plan to stop foreclosure. So if you think you can repay your loan over a longer period of time, contact your lender for foreclosure help.

The third option is to seek a little help from FHA insurance fund. The lender can ask the insurance fund to pay some amount on your behalf to bring your mortgage to current levels. You’ll have to sign an promissory note and pay back FHA later. The amount that FHA gives you is interest free. Seeking foreclosure help this way is viable if you really wan to stop foreclosure.

For more resources about stop foreclosure or even about foreclosure help please review this page http://www.delaybankforeclosure.com



Wednesday, November 25th, 2009

foreclosed homes
Samanta asked:


When you are looking for the perfect residence for your family and yourself, one of the things that you need to consider is the possibility of purchasing a foreclosure home.  These homes are real estate properties that were in the possession of a particular family or person but who, for whatever reason were unable to continue the payments on their mortgage loans, consequently, the lending institutions repossessed the property and are entitled to sell it a second time so that the initial investment can be recovered as much as possible.

What makes of the foreclosure selling and buying interesting and attractive is the fact that the lenders are forced by law to sell the properties at a lower price than the commercial value.  Nonetheless, they are offered in open auction, so it is not unheard nor uncommon for lenders to have their own staff strategically positioned and bidding on the property so that it can reach a more attractive price for them.

Still, buying a foreclosed homes for sale can be a good and intelligent investment if you happen to bump into a high-level real estate property that is being auctioned at a lower price.  In terms and regards to the homeowner who is loosing his or her home it certainly will be a nightmare and something no one wants to experience; it will end up damaging the credit score and impeding the delinquent homeowner to purchase or request a new mortgage loan for a period of at least 2 years.

As the buyer, it can, as it has been said, a good investment, since it is a property that can be bought for a fraction of its real cost and then sold out for the full value, making a real neat gain.  It could also be the beginning of a real estate administrative investment portfolio in which the real estate property will lease the houses and make a constant and productive gain for the benefit of  those families who have been foreclosed and a constant benefit for the current real estate owner.

Of course, not everything is golden and beautiful if you are looking to buy a foreclosed home; sometimes the families that once lived in the foreclosed home will see with anger and resentment the problem to which they are loosing their home and will end up trashing the property.  This means that you, are the new buyer will take on the property “as is”, and in some occasions, the need of repairs of the property and the consequential costs will make them over-priced.

In addition to this problem is the natural consequence of the family that is being foreclosed, most of the lenders will put a foreclosed property on the market for sale once it has been vacated, but this is not necessary.  There are occasions where the property is up in the market when it has not yet been vacated and the new owner will have to deal with such events.

So if you are considering on buying a foreclosed property, the first thing that you need to make sure of is that you can solve and deal with all the potential problems that it has and see that these are as few as possible.