All U Need to Know...

You don't have to Lose your Home...

2008-07-08T12:51:00.000-07:00

Contrary to popular belief, lenders "do not" want your home. Are you "upside down" in your house? Is your house currently worth less than the amount you owe? Are you losing sleep worrying about a possible foreclosure? Worry no more we're here to help. Even if you are 30, 60, 90+ days or more on your mortgage, we can help.

On most conventional loans, a lender stands to make up to 3x's the principal amount you borrowed over the life of a loan (if in fact you stay in that loan for the entire term) Therefore, it is bad business for a lender to have to foreclose on a home.

It's really simple. If you've had an unexpected life event that is causing you an unforeseen financial harship which will make it difficult to continue making payments on your home, or are in an "adjustable rate loan" and your payment is set to adjust or has alreayd adjusted and the appraised/estimated market value for your home has decreased to a point where it is less than what you owe on your loan, the lender/lenders are willing to analyze your current financial situation and make a decision on whether or not it is economically feasible to "write down" your balance and/or your interest rate/term thereby allowing you to stay in your home and avoid foreclosure.

It really is in everybody's best interest to avoid foreclosure and work together to find a common ground so that you are allowed to stay in your home that you have worked so hard to obtain and the lenders who have provided that opportunity are allowed to collect the interest and principal repayment on the loan.

Most homeowner's across the Nation do not have the time or possess the knowledge required to approach this stressful and time consuming task. That's where we can help.

We have a 95% success rate, with New Century, Home EQ, ABC Conduit, IndyMac, Countrywide and several more subprime lenders to modify loans, which have resulted in principal debt reduction and reduced interest rates and/or both.

Call now to begin the process of saving your home and securing your future at 916-253-9442 or email at patricks@wavecable.com.

7 must-do's for 1st time homebuyers

2008-04-03T08:53:00.000-07:00

Are you a first-time homebuyer eager to get into the market? Here are a few steps to take to help you decide whether you’re ready to take the plunge.

1. Check the selling prices of comparable homes in your area. Web sites like Zillow and Homegain can give you a general idea of what you should expect to pay. You can also do a quick search of actual Home Listings in your area on a number of Web sites, including the National Association of Realtors and www.dynastyfinancialonline.com for "FREE"

2. Use Bankrate’s mortgage calculator to get an idea of what your monthly mortgage payments would be if you bought today. You could also call us at 800-485-8740 for a "FREE" consultation. Based on your income and financial obligations we have "Rainman" standing by to give you advise without running your credit. A couple of questions and you will be able to know how much home you can afford and what your monthly obligations would be. IT’S THAT EASY AND IT’S FREE!

3. Find out what your total monthly housing cost would be, including taxes and homeowners insurance. In some areas, what you’ll pay for your taxes and insurance escrow can almost double your mortgage payment. According to the Insurance Information Institute, the average yearly premium can range from $477 a year in Utah to $1,372 a year for unlucky Texans. Again speaking to an experienced agent in your market will be able to give you an idea of what Insurance will cost you.

4. Find out how much you’ll likely pay in closing costs. The upfront cost of settling on your home shouldn’t be overlooked. Closing costs include origination fees charged by the lender, title and settlement fees, taxes and prepaid items like homeowners insurance or homeowners’ association fees. You can see what closing costs average in your state by looking at Bankrate.com’s annual. With the market in the turmoil it is in at the moment Closing Costs are important. Getting an accurate account is key. Taxes, homeowners insurance those are fees that generally stay the same...Lenders fees are key to know. These fees can be negotiated. Over paying on Lenders fees are unacceptable in this market. Closing Costs credits are key in this market to help you come in with less money.

5. Look at your budget and determine how a house fits into it. Fannie Mae recommends that buyers spend no more than 28-30 percent of their income on housing costs. Go much past 30 percent and you risk becoming house poor. Living with in your means is a key element to Home Purchasing. Buying too much has will have it’s downfall.

6. Talk to a reputable Realtor (www.dynastyfinancialonline.com) in your area about the real estate climate. Do they believe prices will continue falling or do they think your area has hit bottom or will rise soon? Call us for a "FREE CONSULTATION" at 800-485-8740.

7. Remember to look at the big picture. While buying a house is a great way to build wealth, maintaining your investment can be labor-intensive and expensive. When unexpected costs for new appliances, roof repairs and plumbing problems crop up, there’s no landlord to turn to, and these costs and can quickly drain your bank account.

Having an experienced Agent on your side is key. It’s important to use an Agent you feel comfortable with and knowledable with the market and fully understands what your goals are and help you accomplish them. Visit us on the web at www.dynastyfinancialonline.comor call us TOLL FREE at 800-485-8740. We’re looking forward to taking the next step with you.
Are you a first-time homebuyer eager to get into the market? Here are a few steps to take to help you decide whether you’re ready to take the plunge.

Didn't make a Mortgage Payment in 2007? It's now TAX FREE

2008-03-06T09:39:00.000-08:00

Mortgage Workouts, Now Tax-Free for Many Homeowners; Claim Relief on Newly-Revised IRS Form

IR-2008-17, Feb. 12, 2008WASHINGTON — Homeowners whose mortgage debt was partly or entirely forgiven during 2007 may be able to claim special tax relief by filling out newly-revised Form 982 and attaching it to their 2007 federal income tax return, according to the Internal Revenue Service.Normally, debt forgiveness results in taxable income. But under the Mortgage Forgiveness Debt Relief Act of 2007, enacted Dec. 20, taxpayers may exclude debt forgiven on their principal residence if the balance of their loan was less than $2 million. The limit is $1 million for a married person filing a separate return.

Details are on Form 982 and its instructions, available now on this Web site.“The new law contains important provisions for struggling homeowners,” said Acting IRS Commissioner Linda Stiff. “We urge people with mortgage problems to take full advantage of the valuable tax relief available.”The late-December enactment means that reporting procedures for this law change were not incorporated into tax-preparation software or IRS forms. For that reason, people using tax software should check with their provider for updates that include the revised Form 982. Similarly, the IRS is now updating its systems and expects to begin accepting electronically-filed returns that include Form 982 by March 3. The paper Form 982 is now being accepted, but the IRS reminds affected taxpayers to consider filing electronically, which greatly reduces errors and speeds refunds.The new law applies to debt forgiven in 2007, 2008 or 2009. Debt reduced through mortgage restructuring, as well as mortgage debt forgiven in connection with a foreclosure, may qualify for this relief. In most cases, eligible homeowners only need to fill out a few lines on Form 982 (specifically, lines 1e, 2 and 10b).

The debt must have been used to buy, build or substantially improve the taxpayer's principal residence and must have been secured by that residence. Debt used to refinance qualifying debt is also eligible for the exclusion, but only up to the amount of the old mortgage principal, just before the refinancing. Debt forgiven on second homes, rental property, business property, credit cards or car loans does not qualify for the new tax-relief provision. In some cases, however, other kinds of tax relief, based on insolvency, for example, may be available.
See Form 982 for details.Borrowers whose debt is reduced or eliminated receive a year-end statement (Form 1099-C) from their lender.
For debt cancelled in 2007, the lender was required to provide this form to the borrower by Jan. 31, 2008. By law, this form must show the amount of debt forgiven and the fair market value of any property given up through foreclosure.
The IRS urges borrowers to check the Form 1099-C carefully. Notify the lender immediately if any of the information shown is incorrect. Borrowers should pay particular attention to the amount of debt forgiven (Box 2) and the value listed for their home ( Box 7).

Yet another Interest Rate Cut..Yawn!

2008-03-05T20:35:00.000-08:00

Isn't crazy how there was yet another Interest Rate decrease, but yet everyone is standing still?
How, I don't know maybe I'm venting or moody or I don't know, but it seems to me that Bernake, Greenspan, These Politicians etc...They say they are smart want to solve our Economy issues etc...Yet they cut the Interest Rate down and wonder why nothing is jump starting our Economy, World Economy and People confidence!

I'll tell you why...because we are in a "Credit Crunch" How are people supposed to re-fi or buy a home if the "Lenders" guidelines have tightened so much you can't stick a needle through it! Duh! This is simple, give a little slack to "Lenders" I'm not saying go all creative again and some stupid lending practices that existed before, but let's go back to common sense lending!

Lets go back to if you have a decent credit score and make enough money and can live within your means, then you buy a house! Not these stupid "I work at Taco Bell as a cashier and now I own a $500k home"! Let's go back to hey you qualify for a $150k mortgage and that what you can afford and presto, you have a new house!

How are people/consumers supposed to have confidence if if "Big Wigs" making decisions don't!
It's time for them to get their head out of their butts and do something and do something now, doing it next year is to late!

Lower Rates...Does that mean buy a Home?

2008-01-23T08:20:00.000-08:00

Tuesday was a big day for the Fed Reserve, they dropped the Lending Rate 3/4 of a point and with an another expected Rate drop early next week, what does it all mean?

Well, it means if you are thinking about buying a home and your credit score isn't higher 680 there is no way to get 100% financing.

So, if you are going to be in the market for a new in the next few months there is still time to fix some credit issues and be able to buy a home before summer ends or before.

Few things to keep in mind:

1. Run your credit, know what your credit score is. Once you've run your credit you know your issues and what you need to do to fix. (That's where I come in, I have names of some companies that work with you to fix your credit, and I also have ways you can fix it yourself) You can be on your way to bringing up your credit score.

2. Tax season is coming and (let's keep our fingers crossed on that emergency surplus bill gets to us on time.) you are going to need to show your Lender that you have some money in the bank. You will need to have between 3-6 months Reserve, that's 3-6 months worth of Mortgage Payments.

3. Closing costs is some cases...Closing Costs are still being given out buy Banks/Lenders and Home Sellers, but you do want to have a little extra cash on you. Putting down 20% is ideal, but lets face it, not very many people have 20% to put down on a home, but doesn't mean you can't afford a home just because you don't have it on you.

With falling home prices, this really is the time to buy. Home ownership is never a bad investment, one thing to keep in mind is that if you buy a home you are going to have to plan on living in that home for 3-4 years to realize your equity gain. You will not see an equity gain in less than 1year as you did in 2003-2005.

There are still great deals out there and by the end of the 1st quarter and 2nd quarter foreclosures and defaults will have risen again, and Lenders/Home Sellers will start slashing prices and that is our expertise...Negotiating for you the get the deal of a lifetime...Home ownership!

What should the Feds do...

2008-01-18T15:24:00.000-08:00

People are predicting that Fed Chief Ben Bernake will cut rates next week when they meet again.

He's insinuated that something drastic needs to be done, do you think he'll drop the rate by another 1/8 or 1/2 point? Or do you think it needs to be more dramatic to see a change in consumer spending?

The last time the Feds dropped the Bank Rate, the Banks saw a little help but didn't help the consumer too much, nothing really changed for us the Consumer.

Do you think people will start buying homes or spending money on say entertainment, shopping etc... if The Feds were to lets say drop the rate by maybe a "Whole Point"? I found it hard to believe that if they were to drop rates and bring them back to what they used to be in say 2004 and 2005 that the "Whole Country" would crash and burn.

This new "Emergency Surplus" they have in mind of doing is only about $800 a family. what happens when the $800 is gone, which in most cases are gone in less than a week, with gas going up and groceries. They basically gave money for less than a month, to help out the travel industry, stores like Walmart, Shopping malls, but after that month is over then what? What are we supposed to do?

Recession is inevitable if something isn't done, not a band-aid, but a real solution.

10 Reasons to buy a Home Today!

2008-01-03T21:09:00.000-08:00

Why you should get excited about buying a home today!

1. Selection, selection, selection. There are in Northern California alone upwards of 40,000 resale homes on the market. Regardless of the price range a buyer desires, there are plenty of houses from which to choose. Just a few years ago the resale inventory dropped below 2,000 units. A buyer was forced to make compromises if they were going to locate the home of their dreams. There is a great selection of attached homes, condos, and townhouses. You can find large lots, small lots, and a lot that will accommodate your boat or RV. There are lots of options in this market.

2. No Bidding Wars. In 2005 we had one client that made an offer on ten homes. They lost the first nine to the 'feeding frenzy' that existed. Other buyers bid the properties up substantially from the original listing price. There were escalation clauses where buyers authorized their agents to outbid other offers by thousands of dollars. There is NO competitive bidding in this buyer's market.

3. You can make an offer. A few years ago when you made an offer, the only question was how high above the list price could the buyer reach in hopes of being the best offer on the table. Today the sell price list vs. price ration is about 96%. A seller will not be insulted if you 'make them an offer they can't refuse'.

4. Patience is tolerated. In the hot seller's market that existed everything was rushed. Find a house before other buyers did. Hurry up and make the offer. Today a buyer can take their time. Look at several homes and think about your decision for a few hours.

5. Due diligence is welcomed. In this market a buyer is encouraged to obtain a home inspection, termite inspection, and appraisal. In 2005 many buyers waived these contingencies in order gain an advantage with multiple offers.

6. There are plenty of specs. In the not too distant past buyer had to 'play games' if they wanted a new home. There were lotteries and waiting lists in order to obtain new construction. Some buyers slept in their cars in order to get to the head of the lines. Today, Builders have thousands of specs ready for immediate occupancy. Do you know with a Seasoned Real Estate, they can still negotiate with a builder and get a better price than walking in out of the street buy yourself!
7. Repair requests are welcomed. After a buyer completes a home inspection, they are allowed to submit a repair request to the seller. In the past a seller might insist the home was sold 'as is'. Many times, there were back-up buyers waiting for a primary buyer to upset the seller whose home was increasing in value almost daily.

8. Few, if any investors. It is estimated that one third of all sales in 2005 were to investors. These non-owner occupied buyer caused the market to inflate and affordability to decline. Mortgage fraud became commonplace. It's a great time to buy without having to compete with hundreds of prospective landlords.

9. Location, location, location. Today's buyers can find homes closer to work. In this market, reasonably priced homes are within biking or walking distance to schools, rapid transit lines, and relatives.

10. Real Financing is available. The 'wink, wink' zero down, no doc, adjustable, sub-prime loans are gone. Fixed rates are back. FHA financing, first time homeowner bond programs, special loans for teachers, and police officers are back in business. It's a great time to buy real estate!

We're here to answer your questions, so call or email us. www.dynastyfinancialonline.com or 800-485-8740

Another "Rate Cut" This is a good thing!

2007-10-31T12:42:00.000-07:00

I guess Happy Halloween to consumers...The Fed decided to cut the rate by a .25 point, 2nd time in the past 6 months!

This really is a good thing, we are already in a "Buyers Market" but with so much negative talk and rising gas prices and the cost of energy going up, consumers are Leary about moving forward toward home ownership...this is still the best time, and I'll tell you why!

1st of if you think about during the housing frenzy potential home owners were over bidding on homes and were raising the prices of houses and it benefited the Seller, well now in a role reversal Home Sellers are fearful because some homes have been on the market without 1 person walking in or making any offers. This is the best time to get yourself a Great Realtor (negotiator) that will go to bat for you!

The one thing to know about Real Estate is, yes the market isn't at it's best right now, but when you own Real Estate, Real Estate is "NEVER" a bad investment! Real Estate is always consistent, there maybe a lull, but you know it will always rise.

We all know that consumers are scared to buy, but why buy when the market gets hot again, why not take advantage of when you can get the better deals!

I would rather go to "Neimans" when they have their "White Sale" and buy sheets at $200.00 then buy during a non-sale and buy those same sheets while they are $1000.00. This is where we are now. Buy now and get the deal of the Century or buy later when it's too late and your over bidding on homes!

Lenders have tightened up a bit but there is still 100% and 30yr fixed loans!

Beware of this Scam

2007-10-04T10:35:00.000-07:00

This is a very important message to new investors or if you are trying to buy a house and want to get something "Cheap" There really is not "Cheap" way of getting a home....There are companies out there that you might here on late night t.v. promising you can own a home for pennies on the dollar. " bought a house for $10,00.00" Then in the background there is a huge country cottage estate. Not so, these tactics were once used in the early 80's, but doesn't get you into a home today.

You'll spend thousands of dollars on a "Coach" or on books and membership fees etc... to walk you through this guaranteed program. They insist that using a "Realtor" is a bad idea. Why? You don't pay a Realtor, the person who is selling pays a "Realtor." I have heard Realtors will not be truthful and tell you the ins and outs of foreclosures, well maybe you haven't found the right Realtor, a Realtor that is knowledgeable in foreclosures, short sales, pre-foreclosures, there are many Realtors out there that have specialize in certain aspects of Real Estate, it's up to you to do your homework and ask questions.

The "Red Flag" that should go up is giving someone money upfront...or someone saying lets "strip someones equity" this practice is not only unethical but also illegal. Changing title of someones name and giving them little or no money and you take over payments and keep the equity is a classic example of equity stripping...this again is unethical and illegal.

Just imagine if you or a family member were going through rough times and are approached by someone who claims they are here to "Help you" but in reality are deceptive and using unethical practices to gain your trust and "Steal Away" someones property.

There are ways of "Getting a good deal" in Real Estate, it takes patience and the right Realtor on your side. There are foreclosures, short sales, and sellers, probates, bankruptcies...etc

Don't get caught up by the hype...if it seems to good to be true, it's most likely not true.

California Foreclosures up 48% in August!

2007-10-01T12:48:00.000-07:00

For the eighth consecutive month California led the nation in foreclosure activity, reporting 57,875 foreclosure filings in August, a 48 percent increase from the previous month and more than four times the number reported in August 2006, according to the latest RealtyTrac U.S. Foreclosure Market Report. With one foreclosure filing for every 224 households 2.3 times the national average the state foreclosures rate ranked second highest in the nation.

RealtyTrac publishes the largest and most comprehensive national database of foreclosure and bank-owned properties, with over 1 million properties from nearly 2,500 counties across the country, and is the foreclosure data provider to MSN Real Estate, Yahoo! Real Estate and The Wall Street Journal, Real Estate Journal.

This is the third major spike in Californias foreclosure activity we have seen so far this year, bringing the states total to 364 percent above the level reported just a year ago, said James J. Saccacio, chief executive officer of RealtyTrac. Many factors are contributing to this phenomenon including falling home sales numbers, home prices that have turned negative statewide and a larger inventory of unsold housing.

The Golden State far outdistanced second place Florida, which reported 33,932 foreclosure filings for August. Ohio reported the third highest foreclosure total for the month with 17,793 filings. Texas came in fourth, with 16,970 foreclosure filings, while Michigan rounded out the nations top five, reporting 15,565 filings in some stage of the foreclosure pipeline. The remaining states in the nations top 10 for total foreclosure filings in August were Georgia, Arizona, Colorado, Illinois and Nevada.

Five counties account for more than half of states foreclosure total
Five California counties accounted for 59 percent of all activity in the state for August.
1. Los Angeles County reported the highest county total in the state, with 11,876 foreclosure filings for the month.
2.Riverside County came in second, with 7,266 foreclosure filings.
3.Sacramento County reported the third highest total, with 5,284 foreclosure filings.
4.Fourth highest county total was reported in San Bernardino County, with 4,876 filings, followed closely by
5.San Diego County, with 4,845 filings entering some stage of the foreclosure pipeline.

Northern California counties dominate highest foreclosure rates
Four out of the five top counties with the highest foreclosure rates in the state were in the northern half of the state in August. Leading the pack was
1.Stanislaus County, with a rate of one foreclosure filing for every 79 households 2.9 times the state average and 6.5 times the national average.
2.San Joaquin County posted the second highest rate, one foreclosure filing for every 81 households 2.8 times the state average and 6.3 times the national average.
3.Merced County had the third highest rate for the month, one foreclosure filing for every 82 households 2.7 times the state average and 6.2 times the national average.
4.The fourth highest rate was posted by Riverside County, with one foreclosure filing for every 96 households, followed by Sacramento County, which posted a rate of one foreclosure filing for every 100 households.

State a major contributor to national total
California accounted for 24 percent of the 243,947 foreclosure filings nationwide in August. The national total represents a 36 percent increase from the previous month and is up 115 percent from August 2006. The nations foreclosure rate increased to one foreclosure filing for every 510 U.S. households for the month.

The RealtyTrac Monthly U.S. Foreclosure Market Report provides the total number of foreclosure filings both nationwide and by state over the preceding month. RealtyTracs report includes properties in all three phases of foreclosure: Defaults Notice of Default (NOD) and Lis Pendens (LIS); Auctions Notice of Trustee Sale and Notice of Foreclosure Sale (NTS and NFS); and Real Estate Owned, or REO properties (that have been foreclosed on and repurchased by a bank).

If you are late on your mortgage payments and don't know what to do, call us we're the experts...We can go over your options. You may think you are out of options but you have several...We can also put you in touch with "Foreclosure Attorneys" and "Bankruptcy Attorneys" You still have rights! We want to make sure your rights have not been violated! We're here to help you! Our advise is always "FREE" it always helps to talk it over with an expert!

You do not have to go through this alone!

call, email or visit us on the web at www.dynastyfinancialonline.com or 800-485-8740.

Woo-Hoo, Party!!!!

2007-09-19T12:04:00.000-07:00

Well, it happend Bernake and the Fed's lowered the rate a .50%. That was more than some people and myself included were expecting!

Now, with a drop in rates and we're still in a "buyers market" there is no stopping a buyer from getting the best deal out there!

Fall and Winter are soon approaching and we all know that home sales die-down during the winter months, so why not take this time to let us/me hagle and negotiate "The Deal of the Century" for you. that's my job to help you find the home of your dreams and negotiate a most excellent price!

100% Financing is still available with credit scores as low as 500, and 30 year FIXED rate(NO Option Arms or 2/28 here) really good, applie-pie 30 year Fixed Loans...with NO PREPAYS!! Doesn't get any better than that!

Have any questions call me or e-mail me...I am always available! Just Giddy with the news of Lower Rates!

Today is an exciting Day...what will happen next.

2007-09-17T09:22:00.000-07:00

I'm sure more of you are aware of the big day tomorrow. September 18th is the day we will find out of the Fed's decide to lower the rates...some are predicting a .5% drop, some are saying not at all!

I think if something is not done soon, we are heading toward a recession! Which, I feel if we enter into a recession, we are not looking at a couple of years like in the 80's but I think we're looking at over 5yrs! That will be touch on Americans.

I guess, we should keep out fingers crossed and hope that tomorrow a.m. the Fed's decide to lower the rate and then lower again at the end of the year. It would be nice for this "buyer's market" to be an advantage for people to save their homes and also for people who are still interested in buying a home to make that next step toward homeownership.

When we rebound the one thing to look at is...yes homes prices have gone down in the last year, but with inflation, the cost of putting up a home never depreciates, always appreciates! Why not get into a home before it's too late!

There are still great products out there, and still a true 100% with fixed rates and competitive!

SHORT SALE..THERE IS A LIGHT AT THE END OF THE TUNNEL!

2007-08-29T14:51:00.000-07:00

With so many Foreclosures on the rise and more and more homes on the market...what's a Short Sale to do!

*Missed some mortgage payments?
*Want to Stay in your home?
*Thinking of Short Selling your property?
*Need an experienced Negotiator on your side? Yes!

We work with Foreclosure Attorneys that help us, help you with the Law on your side.

You have rights. When you are requesting a Short Sale every potential buyer who looks at your property or send an offer should be taken seriously by your Lender.

Short Sales are not a "New Fad" Short Sales were once quite popular in the 80's and a lot of these Lenders have new supervisors or managers whom are not familiar or experienced in Short Sales or do not know how to negotiate- but really are just glorified "Debt Collectors" You do not want to lose a potential buyer because of a slow Lender or an inexperienced clerk/manager who has your file.

Have questions or want to know your rights or don't know what your next move should be call us at 916-746-8790 or email us dynastyfinancial@hotmail.com or visit us on the web at www.dynastyfinancialonline.com

Our advise is always "FREE!"

Why are YOU still paying rent?

2007-08-24T08:59:00.000-07:00

Do you know that rates are at their all time low...You can still get a 30yr fixed in the 6% range!

So, why aren't more renters buying? Well, if you are interested in buying your 1st home and stop renting to someone else, this is still the best time to buy!

Homes are still sitting on the market for 3-6 months and homeowners are getting a little leary, and even Bank Owned Property, Banks are getting leary and are consiering fixing up some properties, and giving closing costs...all we do is ask!

There is still 100% financing available for people who have a credit score of as low as 500. Again, you are also looking for a home that you can afford and be able to make payments on!

If you are still on the fence about buying a home, let me tell you why now is a great time to buy! Most homes on the market right now, don't think they will sell until next year because summer is ending school has started and the holidays will be coming up soon! When a potential buyer pops up during the months of Sept-Jan, most sellers jump at the chance, and make some concessions because, this is their last chance until March- April when spring and summer are arriving!

This is a perfect opportunity to dive right in and get the best deal possible!

If you are ready to take a step toward "homeownership" and would like to talk to someone about your options call us we're always available at 916-746-8790 or 800-485-8740.

Not just a Sub-Prime Meltdown

2007-08-13T10:50:00.000-07:00

The last couple of months have been really volatile...Daily news articles about the Real Estate bomb and Mortgage Melt-Down and merging banks and Bank Closures...is it really because of people who had poor credit or because of sub-prime loans?

I don't think so...I think it's nice to have someone to blame, but how about the in the United States. We as a society "like to live" outside our means! We like to go on the nice vacations or buy the nice cars or t.v.'s in all the rooms of our homes! It's really the old adage of keeping up the "the Jones"!

It really isn't the only people who bought a home with 100% financing, it's also the people with 700+ credit scores that refinanced themselves to death with the booming market, with every refinance and money taken out it was for example: $400k home with a mortgage of $2300 a month, then your home appraised at $600k because homes in your area went on the market and were selling like crazy, so now your $400 house is worth over $600k and now you owe $600k and instead of a mortgage you could afford at $2300 a month you now are paying $3600 a month! This is where the problem started and where we are right now!

We have to ask ourselves is it responsible lending? or responsible borrowing? Yes, there are some Brokers out there that have taken advantage of clients, but because we didn't ask the questions or because we wanted that money right now and didn't want to start the process all over again! We didn't ask for our "Good Faith Estimate" to know exactly what we were getting and believed on a hand-shake this slick person on the phone telling us no problem, everything is great and switched it on us at the last minute.

I talk to people on a daily basis who qualified for $250k mortgage, but wanted the huge house in a top neighborhood, but didn't want to hear they only qualified for $250, but want to buy the $450k house and don't like to hear they can't afford it!

There are still options for people who want to buy a home and don't have the best credit, you just have to have the realization that you need to start somewhere and it doesn't have to be a $500k house. The market will rebound and home prices will go up, so why not make a smart move...get into a home you can afford and wait the 3-4 years and live in your home and then move up! Save a little money be sure you want to buy and then take the step..it's a big one, but having the right people on your side to help you succeed makes all the difference in the world!

You may not use our company to find your next dream home but here are some tips to know when you are getting the right loan!

1. Is the Loan Agent a Licensed Individual
2. Is the Company a Licensed Broker
3. Always Always ask for a "Good Faith Estimate"
4. How many points are you paying? What goes to the broker and what is going to the Lender?
(you shouldn't be paying any more than 1point to a broker) (if buying down your interest rate you are buying it down directly from the Lender)
5. Do you have a pre-payment penalty and how much to get out of that pre-pay.
6. Know the Terms of your Loan
7. If in doubt...always always ask questions!

don't be afraid to say "no" and walk away!

Women...more like to receive sub-prime Loans? How to avoid being a statistic!

2007-07-11T13:24:00.000-07:00

Women are more likely to receive sub-prime loans…how to avoid being a statistic!

In a recent study done by the Consumer Federation of America revealed that women are more likely to receive sub-prime loans and high cost loans with higher interest rates, than men. More than 1 in 10 women receive these high cost sub-prime mortgages.

Women of color are the most likely to receive sub-prime loans and white men are the least likely to receive sub-prime loans at every income level and the gap grows with income.

So, how do you avoid being a statistic or how do you know you are being taken advantage of.

Here are some important questions to ask and what you need from a Loan agent:

1. Ask what your credit score/Get a copy of your report if you can.
2. Ask about the Loan Program they are offering. Have them give you the pro’s and con’s of the Loan.
3. Ask if you have a Pre-Payment Penalty on your Loan.
4. Ask for a “Good Faith Estimate” and ask them to explain the charges.
5. Ask to be informed if things change.

There is a difference between getting pre-approved and pre-qualified for a mortgage loan. Getting pre-approved means they ran your credit and based on your credit score they will find a lender and basically say “you’ve be pre-approved” Now, being pre-qualified, they have submitted your loan to a lender and the Loan Agent will know what they are charging and receiving from that lender. Once you have been pre-qualified, you WILL want that “Good Faith Estimate”

This will tell you if you have a pre-payment penalty, how much they are making from you and the lender, and also will tell you where all the fees YOU are paying go to.
Now, if you have a Real Estate Agent and you are getting closing costs, this should go to paying transfer fees, title fees, and/or bringing down your interest rate, not lining the pocket of a Loan Agent for them to make even more money!

I have had many many men and women contact me informing me that their Loan person starting telling them they had to pay more fees to the Lender or Escrow is asking for more money and it’s going to cost more points to get a different interest rate…this is a sign you should re-think that Loan Person.

If you Loan Agent has a problem explaining his/her fees this should be a “RED FLAG” Whether you have signed your loan pages, you have 3 days to think about it, and if it does not feel right call the Loan Agent and the Lender and have your loan Rescinded!

The Refinance process should take no longer than 10-14 days. On a purchase you can take up to 30 days, but if you have a diligent Loan and Real Estate Agent, the home buying process once you have chosen your desired property should take no longer than 15-20 days! If your Home Loan does not feel right rescind your loan and your Real Estate Agent can explain to the seller the complication and they will wait for you!

One thing you should always remember “DON’T BE AFRAID TO ASK QUESTIONS.” It is the job of the Loan Agent or Realtor to make your life easier! You want your home buying experience to be stress free and the right Loan and Home for you!

If you have any questions or would like to start the process of finding your dream home call me! I am always here to answer questions or be of service!

I look forward to working with you!

Dynasty Financial Tel: 916-746-8790 or visit us on the web at www.dynastyfinancialonline.com

Sleazy Debt-Collector Tactics

2007-07-10T10:24:00.000-07:00

It may or may not be your debt, but it is your problem. Collection agencies are bulling consumers.

Bulling the innocent:
Regulators say collection agencies increasingly are harassing and badgering consumers into paying money they don’t owe. More and more people complain to the Federal Trade Commission about debt collectors than about any other industry, and consumer attorneys are saying: a booming trade in old, poorly documented debts are fueling the problem.
The FTC charged that as much as 80% of the money collected by large Credit Agencies came “From consumers who never owed the original debt in the first place”

Collectors cross the line:
Debt collectors protest that most firms are ethical, law-abiding and provide a needed service that helps reduce borrowing costs for all consumers. BUT the new economics of debt collection can encourage belligerent campaigns, including dogges pursuits of innocent consumers.
Because old liabilities cost collectors as little as .25 cents for each $100 in face value, companies can make a profit if they can get debtors to repay even a tiny fraction. Along the way, some collectors realized they also could squeeze money from people who didn’t even owe it.
Some people pay because their finances are so disorganized they don’t realize the debt isn’t theirs. Others are coerced into paying by illegal threats of lawsuits or ruined credit.

Why are they allowed to do this?
Collectors are nothing if not persistent! Some consumers endure collection attempts from a string of different companies as one collector sells its uncollectible debt to another. “Why are they allowed to do this?” “What can we do to stop these scoundrels?” Advise an attorney who specializes in Debt Collection. Many consumers have no idea of their rights in such situations.

Your rights and how to use them:
Under the “Fair Debt Collection Practices Act”, collectors are supposed to advise consumers that they have a right to dispute the debt, but that if consumers don’t do so promptly—and in writing—the collector can assume after 30 days that the debt is valid. Once collectors are notified that they’ve contacted the wrong party or that the consumer denies owing the debt, the companies are supposed to provide proof of the debt’s validity. If they can’t supply the proof, collectors are required by law to cease. Of course, some collectors simply ignore laws designed to protect consumers. But debt experts say your chances of getting collectors to back off improve when you know your rights and assert them forcefully.

If you’re contacted about a debt you don’t owe:

*Know your rights
*Get name of collector, it’s address and telephone number
*Send a certified letter, return receipt requested, make it clear they have contacted the wrong party.
*Contact regulators, typically State’s Attorney general office.
*Monitor your credit report
*Consider a law suit, contact “National Association of Consumer Advocates.

TIPS FOR DEALING WITH A DEBT COLLECTOR

*Know how the collection process works:
*Know your rights
*Ask questions and learn specifics
*Assert your privacy
*Start and keep a file
*Put everything in writing
*Clarify payments
*Pay proper party
*Don’t be coerced
*Examine balances, interest charges and other fees charged

*Military members contact local Judge Advocate General’s office: http://www.tradoc.army.mil/opja/la/sscra.htm
*Don’t be fooled
*Seek help, but be careful
*Seek legal help

A debt Collector can contact you by phone, but cannot call you before 8 a.m. and after 9 p.m. Use obscene language, make negative comments about your character, or make religious or ethnic slurs.

A debt collector cannot, claim to be an attorney or government employee when it is not, send you documents that look like legal papers when they are not. State that forms sent to you are not legal documents when they are, say that you committed a crime.

A debt collector cannot, threaten you with violence, say you will be arrested if you don’t pay, is not truthful about money owing, or garnish your wages or sell your property if it is not legal to do that.

A debt collector cannot, tell others you owe a debt or discuss details of the account to a neighbor, friend, employer, spouse.

Websites and address to keep handy

Ca. Attorney General’s publication on “collection agencies”
www.caag.state.ca.us/conusmers/general/collect.htm

Federal Law:
Fair Debt Collection Practices Act
www.ftc.gov/os/statutues/fdcpa/fdcpact.htm

Fair Credit Reporting Act
www.ftc.gov./os/statutes/fcra.htm

Fair Credit Billing Act
www.ftc.statutes/fcb/fcb/pdf

Fair Debt Practices
www.lefinfo.ca.gov

Soldiers and Sailors
http://www-tradoc.army.mil/opja/la/sscra.htm

Ca. Attorney General
Public Inquiry Unit
P.o. Box 944255
Sacramento CA 94244-2550
Tel: 800-952-5525 & 916-322-3360
Web: www.ag.ca.gov/consumers/mailform.htm
www.dca.ca.gov.legal/dc_1.pdf
www.dca.ca.gov/legal/dc_2.pdf

State Attorneys General Offices
www.naag.org

Consumer Protection Office
www.consumeration.gov/state.shtml

American Collectors Association
P.o. Box 39106
Minneapolis, MN 55439-0106
Tel: 612-926-6547
Fax: 612-926-1624
e-mail aca@collector.com
web: www.collector.com

Complaints about members:
www.accainternational.org/intcontent.aspx click on contact ACA

California Association of Coolectors
P.o. Box 254490
Sacramento Ca 95865-4490
Tel: 916-929-2125
Tel: 800-316-2262
Wed: http://www.calcollectors.net

You don't need to take this lying down! Another thing you can do is go to your local "Radio Shack" and buy a tape recording device and record your conversations when the collections agencies call. You must though inform them that they are being tape recorded, if they don't wish to be recorded then they can hang-up, most won't care and continue to talk and incrimminate themselves! If you have the proof they are being abusive or threatening then you have your proof. You can go to any of the above agencies to file your complaint and inform them you have them on tape and they will listen. You can probably have that debt wiped out! The original agency that has that account will not want you to sue and will want to make a settlement!

Are Home Auctions the Saving Grace?

2007-06-26T11:16:00.000-07:00

Home Auctions the "New Craze" but do they save you money? Even if a home is Bank Owned (REO) is it still cheaper to buy it on the market or at auction?

Someone who is addicted and loves auctions (car, live stock, furniture, home, jewelry etc..) as a child thought I would go to school and become an auctioneer.

I was and still am fascinated by the excitement, quickness language, bidding hands in the air and one person out-bidding the other so that one person doesn't get the property you want. (whew! gets your heart pumping just thinking about it)

Well, if you know auctions like I know auctions they run on pure emotion! Did you make the right choice? Do you know when to stop? Do you say to yourself it's only $5000.00 more it's no big deal. But, when you add it all up did you eat away your profits or the big savings you thought you were getting dwindle away?

Let's talk about the Bank Owned Auction that took place Saturday June 23, 2007 at Cal Expo.

1st: You must be pre-qual'd..that's fine you have to be pre-qual'd to buy a home this is a standard practice!

2nd: You must pay a 5% buyers premium once you are the successful bidder. Now, if you are looking for a home on the market all your paying for is gas, unless you have a very good Realtor and likes to drive you around and show you homes!

3rd: You must bring a deposit check/cashiers check for no less than $5000.00.

Once you go into contract on a home purchase there is a good faith deposit that must be paid into escrow that deposit varies depending on how good your Realtor is as low as $100.00 to 1/2 down that's entirely up to you.

It's not dictated by someone who doesn't know your money situation.

4th: You will pay for your own Closing Costs! There are No concessions at an auction!

In this day and age where the market has fallen, more and more homeowners and Banks are giving buyers concessions up to 3-5% of the purchase price of the home which benefits you the buyer.

Let's make it a little simpler using figures:

(actual property at auction)

4 Bedroom

3 Bath

2 Story

with Pool on 3/4 acre lot

in Sacramento near Sac State

Light fixer will cost about $20-$30k in work to make this house shine.

Homes in the area are selling/Sold for $340-$360 with pools.

Was on the Market for $450k, then $364 and then $390

Sold at auction for

$310k

+ 5% Buyer Premium

-----------

Total $326k

+ 5k Deposit check

--------------------------

Total $331k

+ 10k Closing Costs

----------------------------

Total $341

+ $20-$30k rehab work(we'll say $25k to be mid ground)

-----------------------------

Total $366k

________________________________________________

Now, you've bought this home for market value!

So it would have been easier to go after this home when it was on the market at it's lowest price of $364 and negotiate lower and ask for your closing costs, inspections done etc... (and negotiate for the bank to pay for those inspections, they will pay if you ask and we ask for everything!) and on the plus side it it's not coming out of your pocket!

Other example:

Home in Antelope 3/2 (cash only transaction) basically this means the home is probably not livable because it has some issues (code) must be a cash buyer.

Sold at Auction for:

$210k

plus again 5% buyer premium

$11k and

$5k deposit, and closing costs of about $10k which now gives you a

total price of $236k,

now this property had been on the market looking for a cash buyer for $189k,

probably would have gotten this for less and they would have paid for closing costs etc...

The list could go on...so why pay market value and use your own money, when there are banks out there and homeowners (so much inventory) that they can't give away homes! People are giving away trips to Hawaii, cars, cash incentives etc...

The meaning really is don't buy the "hype" you have to do your homework and research in order to get a good deal. You also have to know when to stop!

Remember the old adage...if it sounds to good to be true, it probably is!

If you have any questions about auctions or are in the market for a home call me...lets for over your options and find one that suite your needs!

Steffanee Sadhu

Dynasty Financial

916-746-8790

800-485-8740

100% Available with Credit Scores as low as 500

2007-06-11T10:27:00.000-07:00

What a beautiful day....With the subprime meltdown of March 9, 2007 and many people turned away from 100% financing...the silver lining has come!

Is your credit score below a 620 Fico are you in the 500-619 range, well I have the answer for you...You are still able to get 100% financing on a PURCHASE!

Loan Programs: Purchase only
Loan Terms: 30yr Fixed "NO Pre-Payment Penalties" (you can re-finance or get out of your loan at any time)
Documentation type: Full Doc (no banks statements, 30 days of paystubs & 2yrs of W2's and/or 2yrs of tax returns)
Max Loan amount: $400,00.00
Rates: Still competitive!

This is the answer so many people are looking for. If you are ready to start looking for a home and get pre-qual'd give me a call and lets start looking for your dream home! This is the best time to buy...So much inventory out there, there are deals to be had!

call me and let's get you into a place you can call home!

916-746-8790
800-485-8740

Avoid foreclosure by a single phone call!

2007-05-31T14:19:00.000-07:00

What a difference talking to someone makes...

I have 2 clients both with the same Lender and service agency....Client A has not made a mortgage payment since October of 2006, and before that had a few mortgage lates.

Client B, has made his mortgage payment on time everytime, since he got his loan, never late, but was recently layed-off of work, he has only missed 2 mortgage payments, has been depressed but has not taken any calls from his mortgage lender.

Now client A: The mortgage lender HAS NOT filed an NOD(notice of default) on their property. Why? Because Client A has kept in contact with their lender, tried working something out, in process of putting home on the market etc....

Now Client B: Received an NOD(notice of default) on property in May after missing only March, April, and May is now due. Client B avoided calls, has never spoken to his lender, so will start the foreclosure process after just 2 1/2 months.

Client A, has not paid a mortgage in 8 months! This is very important...If you are behind in your mortgage or not sure what to do or who to talk to....explain your situation...sometimes the Customer Service Agents are Rude, but always speak to someone above that person until you get the help you need or are seeking. Most Lenders have a department called "Loss Mitigation" these are the people who will get you started. With foreclosures on the rise more and more Lenders are willing and will help you find a solution and compromise!

If you think that your Lender has done something unlawful or would like to talk to someone about the legalities or your rights in foreclosure call me and we can put you in touch with a Foreclosure Attorney...ask the questions and know what your rights are!

916-746-8790
800-485-8740

Buying Short Sales/Foreclosures

2007-05-24T14:59:00.000-07:00

Buying a Short Sales/Foreclosures

If you are an investor looking for a deal that gives you instant equity, or a home buyer just looking for a good deal, buying a Short Sale/Foreclosure may be your answer. The risks that go along with foreclosing on a property have mortgage companies looking for ways to avoid foreclosure and reduce the losses incurred when a loan goes delinquent.
A Short Sale allows the mortgage holder to limit losses on a delinquent loan and take the loan off their books. The discount a lender is usually willing to approve means the buyer get’s a very good deal.

Get the right Short Sale

Because not every Short Sale/Foreclosure is a good deal, and not all Short Sale/Foreclosure files get lender approval (in fact, many Short Sale/Foreclosure files are declined), we can save you time, trouble and a great deal of money, by guiding you through the process.

Let The Lender's Loss Be Your Gain

We specialize in working with Buyers and Sellers to put mutually beneficial Short Sales/Foreclosure transactions together. We get Short Sale/Foreclosed properties sold for Sellers, we help Buyers find the right Short Sale/Foreclosures and we get Short Sale/Foreclosure files approved by mortgage lenders.

Experience and Expertise

Virtually every step in the Short Sale/Foreclosure process requires experience and expertise if the desired result is to be achieved. When it comes to working with a Buyer to find the right Short Sale/Foreclosed property our expertise is critical in determining the viability of the Short Sale/Foreclosure file.

If you are interested in taking steps to find Investment property or a home to live in...call us! Our advise is always FREE!

Did you watch News 10 at 11 on Foreclosures?

2007-05-23T11:17:00.000-07:00

Did y'all watch the news 10 about Foreclosures last night? I tend to cringe when I see or hear reports on the market from people who don't understand or don't get all the facts straight!

The news was confused about Pre-Foreclosures and actual Foreclosures. Pre-foreclosures really just means the homeowner is late by 2-3 months on their mortgage. Foreclosure means the back has taken that home back!

yes, foreclosure are up, No foreclosures are not on the rise because people were given bad loans, time and time again people even these A borrowers who leveraged their home to the max everytime they had the chance or their equity grew!

It's the consumer who would do anything to get into anykind of Loan to buy that $500-$600k home instead of the $300-$400k that they could afford...consumers only wanted to hear that "Hey, you've been pre-qual'd for a $500k home!" When you actually tell them "y'know, you only work at Safeway in the warehouse making $15.00 an hour and your price range in $200-$250k" No one wanted to hear that! Someone would rather be lied to instead of getting the right facts, or ok, bought my house for $320 and now it's worth $420, so let me take some money out, and buy a new car, boat, go on a vacation, and the next yr wow, my house has gone up to $550k, ok, let me take some more money out of my house, buy some nice toys, cars, etc...but hello, You still make the same amount of money 2yrs ago and now instead of owing $320k you now owe $550k and making $15 hr at Safeway!

This market has only to be blamed for greediness! It's unfortunate, because in the last 4 yrs more people were gaining homeownership that wouldn't be able to get it. I have always believed...If it sounds to good to be true..It is!

Bernanke...don't know diddly?

2007-05-17T14:38:00.000-07:00

Bernake today in Chicago said:

The problems in the subprime mortgage market will not hurt the rest of the economy,
"We believe the effect of the troubles in the subprime sector on the broader housing market will likely be limited, and we do not expect significant spillovers from the subprime market to the rest of the economy or to the financial system," Bernanke said.

Subprime mortgages are loans made to riskier borrowers. Rising interest rates and falling home prices have caused subprime defaults to jump this year.

If the 2 don't go hand-in hand then I don't think he's the guy for the seat! The housing market it down...large banks are merging and Closing...lay-off are in the 100's of thousands, car sales are down, consumer spending is down by quite a bit, large ticket items are down from 2yrs ago! I don't think it takes a genuis to figure out that the US economy is starting and will probably head into a recession! We would hate to repeat early-Mid 1990's, when everything was down in the dumps!
I think Bernanke needs to stop competing with Greenspan and Greenspan stop spouting his hoo-haa and work toward a solution that is right for this country! Greenspan...you're retired! Bernanke...your the chief act like it!

Thank goodness we're coming to an election year....we probably won't see any changes til next yr when they (Dems & Republicans) figure out that we're in need!

Late with your Mortgage Payments? Don't know what to do?

2007-05-10T12:17:00.000-07:00

Are you late on your mortgage? In the process of maybe going into foreclosure want to know what your options are...why not talk to someone.

If a Doctor told you you only had 6 months to live would you seek a 2nd opinion? It's the same thing...if you're sinking and feel like you don't know what to do or what your next step should be...call me, my advise is free, I can also get you in touch with a Foreclosure Attorney, his consultation is free.

You never know, Lots of times the lenders don't make the right move or decision, and you may be able to stay in your home. There are tons of changes in the with lenders and sometimes they don't do the right thing either.

Call me and I can get you in touch with someone who can help!

There are several options out there:

Short Sale
Forebearance
Deed in Lieu
Home on Market
Re-Fi
Bankruptcy

Our advise is always FREE it helps to talk it through with an expert!

916-746-8790
800-485-8740

FEDS KEEP RATE AT A STAND STILL

2007-05-09T14:37:00.000-07:00

After a meeting with the Feds...their decision to keep rates the same! This is a bummer!

They are worried about the oversees dollars and not the US Economy. I think with job cuts and large companies down sizing and foreclosures on the rise we would be on the front burner!

I think if rates were to come down a bit it we would have a small spike in the economy our consumer confidence would rise and we would buy homes, cars, or make large purchases.

Maybe with the election coming things might change...hopefully for the better!

Never do this if behind in your Mortgage!

2007-05-03T15:03:00.000-07:00

Number 1:

Absolutely DO NOT ever Deed your property to a 3rd party without absolute confirmation your loan has been paid off!
If you think this is the best option for you, please...1st contact an attorney---not the buyers attorney (an outside neutral attorney) before completing the transaction.
If you Deed the property to a 3rd party, that party then Controls the property. The New Owner can then in turn rent the property (and keep all rents), sell the property, move into the property or use it in other ways.

If the new owner does not make the mortgage payments, that can become a huge problem for you! Just because You no longer own or have ownership of the property does not mean you are not responsible for the mortgage loan obligations. The Lender made a loan to you. Until that Loan is paid off You will be primarily responsible for the mortgage obligation.
If you give up control of the property to a 3rd party and the new owner does not pay on the loan, the damage to you credit could be catastrophic!

Number 2:

Do Not sell your home at a huge discount.

Unless the actual foreclosure sale is less than 45 days away, you will still have some time to to explore options. If someone is pushing you to sell your property to them, it's probably because the deal is favorable to them...As a general rule, if it sounds to good to be true, it probably is!

If you have some equity in your home, Let's see if we can get it to you! Call us at 916-746-8790 or toll free at 800-485-8740. We will not call you, unless you request it!

Number 3:

Do Not authorize a prospective buyer to deal directly with your lender!

The buyer has one goal and that is to negotiate a low price for himself/herself. The buyer will ask your lender to accept a discounted pay-off.
Negotiations could go on over an extended period of time, and if the transaction does not work-out the buyer can walk-away from the property. It can leave you with very little time and options to resolve the situation an avoid foreclosure. You will have no control over the information that goes to your lender or accuracy. It could be possible that the buyer could handle the negotiation and presentation of information in a way that makes it difficult for you to resolve your loan situation later.
If you believe this is the best option to allow the buyer to work directly with your lender please consult a Real Estate Professional and/or Attorney before signing a contract.
If you are going to do a short sale get representation from a Real Estate professional. It costs you nothing-your lender pays the fees. You want someone to look out for Your best interest.

We can help, and it costs you nothing. We have fought for homeowners like you many many times and won! The lender does not want your property through foreclosure. That's why they will negotiate to get the deal done!

Number 4:

Do not do Nothing!

Don't accept what you might think is inevitable, and let foreclosure run it's course. Don't let that happen-the damage to your credit will follow you for years!
Take time to explore potential options. You do not want foreclosure on your credit record. It will affect your ability to get a consumer loan or a car loan for at least a few years, and it will be very difficult to get another mortgage for a very long time.
Foreclosures on the rise...Lenders are willing to work with you! They do not want to foreclose on your property!

2007-04-30T16:17:00.000-07:00

In some States like California...there is NO such thing as buying "Foreclosures for pennies on the dollar, but there are some great deals out there is you are looking for something below market...."Fixers"

Here is the truth about foreclosures in CA right now!

California foreclosures are on the rise, but when it comes to homes sitting on the market you are more likely to get a better deal when dealing with a homeowner in need of selling their property. When it comes to REO’s many times the banks will not take an offer without pre-qualifying with them 1st. Large banks have really only one type of product and most people don’t qualify for their programs unless they have credit scores of over 700+.

R.E.O:

1. Sell property As-Is
2. Sell for Market Value
3. Banks can sit on property
4. No Closing costs
5. No repairs
6. No renegotiating

Listings:

1. Closing costs
2. Sellers can’t afford to sit on property
3. Always room for Re-Negotiating
4. Credit/Cash back for repairs
5. Flexibility on pricing

if you are in the market to buy a home as a 1st time home buyer why not go to where you can get the biggest bang for your buck!

Some lenders are agreeing to pay "some" closing costs, but lenders are not going to make sure the property is in good shape...it's a buyer beware!

If you have any questions about the market or interested in buying a home or thinking of investing in Real Estate it's still a great time to buy and invest! You might not see the 20-25% increases that we saw a couple of years ago, but it's always a good investment in homes! sure it's slowed down, but now you just have to find the right property for the right money and hold it for a year!

Blame Greenspan for this Bubble, too

2007-03-26T14:21:00.000-07:00

The former Fed chief pushed subprime lending like a shady mortgage broker as he helped promote the second asset bubble in a decade.
By Bill Fleckenstein
Amid all the confusion over subprime lending, it's worth bringing one fact to the fore: Alan Greenspan was recommending adjustable-rate mortgages in February 2004 -- just as short-term rates were making their lows. Then, in a speech on April 8, 2005, he extolled subprime lending:
"With these advances in technology, lenders have taken advantage of credit-scoring models and other techniques for efficiently extending credit to a broader spectrum of consumers. . . . As we reflect on the evolution of consumer credit in the United States, we must conclude that innovation and structural change in the financial services industry have been critical in providing expanded access to credit for the vast majority of consumers, including those of limited means. . . . This fact underscores the importance of our roles as policymakers, researchers, bankers and consumer advocates in fostering constructive innovation that is both responsive to market demand and beneficial to consumers."
Be it ever so subprime, there's no place like home Not until after the debacle unfolded did Greenspan warn banks about imprudent lending standards.
Regular readers are well aware of my opinion of the Fed, which has not been widely embraced. Last Wednesday, however, it was echoed in the mainstream press, via Andy Laperriere's outstanding article in The Wall Street Journal, "Mortgage Meltdown." If it were within my power, I'd make everyone in America read this, and then read it again. Not only does Laperriere debunk the myth that subprime is tiny and the fallout will be minimal, he also lays blame where blame is due:
"The fact that Congress is now holding hearings on the fallout from the second major asset bubble in the last decade should prompt some broader questions. For example, what role did the Fed's loose monetary policy from 2002 to 2004 play in fueling the housing bubble? Should the Federal Reserve re-examine its policy of ignoring asset bubbles? Asset bubbles are harmful for the same reason high inflation is: Both create misleading price signals that lead to a misallocation of economic resources and sow the seeds for an inevitable bust. The unwinding of today's housing bubble is not merely an academic question: It is likely to inflict real hardship on millions of Americans. To reduce the risk of a similar outcome in the future, it is important that policymakers, economists, and policy analysts correctly diagnose the root cause of the current housing bust, not just its symptoms."
Upending the happy-ending scenario Unfortunately, there has been little thought given to the matter, now that the subprime-stock arena has recovered a bit. I am really amazed at how entrenched the belief is that the housing market will continue as it has for the past few years, and that whatever negative occurs due to the subprime debacle will be a hiccup.
In fact, many headlines last week were quick to soft-pedal the effect of tightened lending -- which has now become reality for a huge chunk of the mortgage market -- on our economy. Bloomberg, for example, ran this one: "Housing Starts In U.S. Rise More Than Estimated, Easing Slowdown Concerns."
That view is just plain silly, as the impact is already beginning to seep into various economic statistics, as I have noted in my daily column on my Web site. (For those who'd like to really understand more about how all the pieces of the mortgage food chain fit together, click here to listen to Jim Grant.
It's the unvarnished (furniture) truth And, it also is evident in the following front-line account from a reader of my daily column: "Our business is a large hardwood sawmill (sawing oak, maple, cherry, ash, etc., for the furniture (read: HOUSING) industry. We usually enter recession five to six months ahead of the rest of the economy. IT'S HERE! Prices for green and finished lumber are falling at a faster rate than at any time since 1974. We could see it coming for quite a while, but it's not possible to do much more than clean up the balance sheet and get ready to adjust prices paid downward, while still paying enough to keep the loggers alive.
"Timber prices are falling, but never fast enough. I've been predicting 'the big one' for years, and I think 'this time down' will be the worst we've ever seen. No government bailouts in the hardwood industry. It's sink or swim. I anticipate a few years to work through this mess."

But without the Fed's policy -- notably Greenspan's during his entire 18-year tenure -- of repeatedly bailing out reckless speculators, the problems we face would, in all likelihood, never have reached such gargantuan proportions. (This is not to absolve Corporate America, Wall Street or Joe Six Pack of their greed and cutting of corners.) I expect by sometime in the next three or four months, it will be quite clear that the economy is headed for a serious consumer-led recession.

Is the Market...Tumbling? Where will we be?

2007-03-07T15:05:00.000-08:00

Rates are good...Real Estate is a little slow...homes under $300k are still moving at a good pace, it's us in the middle that are stuck. So, what next?

Well, it looks like a 1990 repeat! Sometimes we don't always learn from our mistakes...we are doomed to repeat History!

In the last 2 months we have seen Banks(Lenders) close their door w/o any notice...their employees wake-up same ol routine and BAM the doors closed on them! So, why the dramatics? Well, I know people in the business like to blame the "Payment Option Arm" Loans and sure that's fine you can do that, but wouldn't it make sense to blame these same banks that "were" allowing bad loans to go through turning a blind eye to what is happening.

The last 2 years have seen Interest Hikes...The Feds talk about controlling the Market, but what happened to allowing the Market to stabilize on it's own. They don't need to guide it....look where they've guided it to.

I love the people I talk to on a regular basis who think they are going to wait until prices drop dramtically, but Sac/Placer county has only dropped about 2%. yes, foreclosures are up and "CountryWide" foreclosures are very high(and they are looking for someone to buy them before they take a big tumble) but you will never in California be able to buy homes here for pennies on the dollar. Yes, maybe banks will look to deal or give better deals, but they will never give away property. The banks don't lose anything to hold the property.

Anyways...with bank closing and merging was does this mean for the average person or 1st time home buyer? Well, it means that within the year we will no longer have 100% financing! If anyone wants to buy a home you are looking at putting up to 20% down plus show reserves a minimum of 3 months of mortgage payments. So, someome w/ok credit will not be able to buy a home...you will need steller credit! How do I know? Because Banks(lenders) are in my office everyday and e-mailing me everyday almost every hour about their changes. Rates are good for only hours when it used to be weeks.

Where will we go, what will we do, what will happen to us? Ride the wave and buy now! Homes that our parents bought 20-30yr ago for $50k-$100k never again...our homes $300k-$400k and our children will look to inheirit their property and probably not be able to buy. It could be theory or it could be speculation...but from what I know today...I would buy and hang-on to my surf board and ride the wave!

Give us your 2007 housing market prediction?

2007-02-09T15:05:00.000-08:00

Fed Holds Rates at 5.25...yea

2007-02-01T10:25:00.000-08:00

For immediate release

The Federal Open Market Committee decided today to keep its target for the federal funds rate at 5-1/4 percent.

Recent indicators have suggested somewhat firmer economic growth, and some tentative signs of stabilization have appeared in the housing market. Overall, the economy seems likely to expand at a moderate pace over coming quarters.

Readings on core inflation have improved modestly in recent months, and inflation pressures seem likely to moderate over time. However, the high level of resource utilization has the potential to sustain inflation pressures.

The Committee judges that some inflation risks remain. The extent and timing of any additional firming that may be needed to address these risks will depend on the evolution of the outlook for both inflation and economic growth, as implied by incoming information.

What does this mean? Well it means that rates from lenders will get better! This is great for purchasing and refinancing! this is the time to "get it done!"

IS THE BUBBLE STILL BURSTING...OR JUST OVER BLOWN?

2007-01-31T13:21:00.000-08:00

Nearly half of all Americans believe the housing market is poised to go from bad to worse over the next few years, according to a new survey, despite assurances from many real estate forecasters that the market has hit bottom.
The glum outlook, reported in the Experian-Gallup Personal Credit Index, says 47% of consumers surveyed at the end of the year believe that the housing bubble is bursting and that real estate prices in their area will likely collapse over the next three years. Though 51% don't expect a collapse, the pessimistic crowd has increased from 42% in April 2006 and 37% the year before.
"The housing market has been in a downturn for some time now," says Dennis Jacobe, Gallup's chief economist. "People are seeing more for-sale signs out there longer . . . and people are taking their houses off the market. As people talk to each other, the negative psychology builds."
The bottom line, Jacobe says, is a lot of people don't believe the housing market is headed for a so-called soft landing despite the predictions of some real estate experts and Wall Street prognosticators.
'When and where' still up for debate
But clearly there is some debate about exactly when that drop will happen. Though they may be pessimistic for the three-year outlook, many survey respondents are more optimistic about the short term. Of the 3,053 Americans randomly surveyed by Experian-Gallup, 47% expect home prices in their area to go up in the next year, and 33% expect prices to remain about the same. Only 18% think prices will decline in the next 12 months.
Fears of a potential housing price collapse are greatest in the West and East, where price surges were the most dramatic in recent years, with 52% and 49%, respectively, of those survey respondents saying they think such a downturn is likely or very likely over the next three years. That compares with 41% of consumers in the Midwest and 44% in the South, where the uptick in prices has been less pronounced.

Not surprising, the concerns are greater among middle- to lower-middle-class households with incomes of less than $75,000 a year. Renters are more convinced of a bust, with 57% thinking continued price drops likely, versus 43% of homeowners.
Some real estate analysts and agents downplayed the Experian-Gallup results, saying the findings are just more doom and gloom based on media reports.
But Leo Nordine, a Redondo Beach, Calif., real estate agent specializing in bank-owned properties, says the sentiment jibes with what he's seeing in Southern California's once-scorching real estate market.
"I've been through a couple of these cycles already," Nordine says. "And I think this next one will actually be worse. The buyers are controlling the market now."
Prices down by 10% a year?
Nordine thinks the Southern California market will decline over the next few years, with prices eroding about 10% each year. As prices have softened, he says, many sellers are already pulling their houses off the market.
Meanwhile, another market is heating up: Nordine gets about one new listing a day from banks that are foreclosing on properties. "We've become a debtor nation," he says.
Indeed, one in four of the consumers in Experian's survey have both a first mortgage and a home-equity loan or line of credit. But the amount of home equity being tapped seems to be slipping somewhat, after years of rapid growth.
According to the American Bankers Association, the dollar amount of home-equity loans and lines increased at an annualized rate of 14.6% for the first three quarters of 2006, compared with a 17.4% increase in 2005 and a 31.2% increase in 2004.
One thing is clear: More consumers are using these lines to bail themselves out of financial hot water rather than improve the market value of their homes. Thirty-six percent of survey respondents with these loans and credit lines told Experian-Gallup they used them to finance home improvements or repairs, down from 43% in April 2006. A rising number, 17%, are using the money to pay off credit cards and consolidate debt, compared with 14% in April 2006.
Risky loans hit home
This kind of additional debt, coupled with the explosion of some more risky types of lending in recent years, is a wild card in the success of the real estate market this year, says Delores Conway, the director of the Casden Real Estate Economics Forecast at the University of Southern California's Lusk Center for Real Estate. As variable-rate loans are reset over the next year or so, more consumers across the country could find themselves in hot water, and markets could be scattered with more foreclosures.
But, Conway says, that's too early to predict right now. Conway thinks the national real estate market is headed for a correction rather than plunge because the economy appears relatively stable and the jobs picture looks solid. "Just because there have been big price run-ups doesn't mean a price collapse will necessarily follow," she says. "There have been reasons for the price run-ups," including supply constraints, rising rents and historic mortgage lows.
If mortgage rates continue to stay relatively low and the economy continues along the same track, Conway says, there shouldn't continue to be a huge drag on prices. Rather, she thinks most markets will see prices soften between 5% and 10% to remedy some of the price excess of the past several years.
Phyllis Alexander, a top-selling agent in Washington, D.C., and in parts of Maryland, says she is already seeing the real estate business return to normal in her neck of the woods. "We've had the best December and January we've ever had," she says. "We are now seeing multiple offers again. The property that is priced right and shows well is selling and selling well and quickly."
Of course, Alexander acknowledges, that might not be the case in many other markets around the country.
Susan Matyi, a Jacksonville, Fla., retiree, for instance, has spent six months trying to sell her four-bedroom, two-bath ranch-style home. She has reduced the price to below appraisal in an attempt to sell it more quickly.
"In this market, you do have to market your house well and have a reasonable price," Matyi says. "We had a good offer on our house three days after we put it on the market. We didn't take it, but we should have."

The Foreclosure Trend

2007-01-29T11:00:00.000-08:00

Elevated foreclosure rates could be coming to a city near you.

Nationwide, 318,355 properties entered some stage of foreclosure during the third quarter of 2006, a 43 percent increase from a year ago and a foreclosure rate of one new foreclosure filing for every 363 households, according to RealtyTrac, an online marketplace for foreclosure properties.
Many cities documented foreclosure rates well above the national average. Leading the foreclosure rate charge were Detroit, Fort Lauderdale and Denver. Completing the top 10 were Miami, Dallas, Indianapolis, Fort Worth, Atlanta, Las Vegas and Memphis.
Analysts attribute the sharp increase in foreclosures to higher interest rates, a softening real estate market and the upward adjustment of a large portion of adjustable-rate mortgages taken out in the last few years by many American borrowers.
"In the next 15 months, more than $1 trillion in loans are due to adjust upward," said James J. Saccacio, chief executive officer of RealtyTrac. "With such a large volume of these loans set to increase, it is a trend that definitely bears watching."
Top 10 CitiesMany experts believe the real estate slump could get worse before it gets better. On the other hand, a slow housing market with a glut of foreclosures presents more opportunities for buyers and investors to find bargains and profit from those bargains — if they have the patience to buy and hold. Here’s a look at the Top 10 foreclosure cities.

Top 10 Metro Foreclosure Rates – Q3 2006
Metro Area
% of Householdsin Foreclosure
# Householdsfor EveryForeclosure
National Avg.

1. Detroit, MI
1.249
80
4.535
2. Ft. Lauderdale, FL
1.138
88
4.132
3. Denver, CO
1.113
90
4.043
4. Miami, FL
1.101
91
3.997
5. Dallas, TX
1.007
99
3.658
6. Indianapolis, IN
0.998
100
3.623
7. Ft. Worth, TX
0.991
101
3.600
8. Atlanta, GA
0.935
107
3.397
9. Las Vegas, NV
0.869
115
3.158
10. Memphis, TN
0.696
144
2.528

No. 1: DetroitDetroit’s
foreclosure rate of one new foreclosure filing for every 80 households was more than 4.5 times the national average. Job losses in the automotive manufacturing sector, a sluggish economy, falling home values and upward-adjusting mortgages are pushing more Detroit homeowners into foreclosure. Detroit automakers and suppliers are cutting thousands of jobs as part of a massive industry restructuring, leaving thousands of laid-off or underemployed Michigan residents swimming in red ink.
And with the auto industry showing no sign of recovery, the future looks bleak for Detroit. The city has lost about 100,000 jobs in the last five years, and total employment is expected to continue to decline until the end of the decade, according to a recent report by Moody's Economy.com.
No. 2: Fort Lauderdale, Fla.
Fort Lauderdale’s foreclosure rate ranked second highest in the nation among major metropolitan areas, with one new foreclosure filing for every 88 households — more than four times the national average.
Like the rest of the nation, the Sunshine State is experiencing a cooling economy, plus rises in property insurance premiums and interest rates. These factors have made it tougher for South Florida homeowners to keep up with their house payments.
South Florida real estate agent Bill Gardner said a lot of properties are sitting on the market unsold because the sellers have financed their properties at 100 percent of what the properties are worth, leaving the sellers no room to reduce their asking price. These sellers are more susceptible to default or foreclosure, especially since investors are now more cautious about sinking money into the housing market.
"Most of the people who are buying now actually need a place to live. And I think all of the investors are kind of pulling out of the market," Gardner said. "My only sales I am making are with people who want to occupy. The properties that are selling are the ones that are under-priced."
No. 3: Denver
Two years ago, the metro Denver region was one of the hottest housing markets in the country. Houses sold in one day for full price. Today, foreclosures are so high in Denver that the state just set up a first-of-its-kind foreclosure help hotline. The hotline received 1,400 calls on the first day.
The Denver region posted the third highest foreclosure rate among the country's 100 largest metropolitan areas during the third quarter of 2006. One out of every 90 households in the metro area entered some stage of foreclosure during the quarter, compared with one out of 363 households nationally. Broad economic factors — such as a housing surplus, stagnant prices, layoffs and the heavy use of adjustable-rate mortgages and interest-only mortgages — contributed to Denver's growing number of foreclosures.
No. 4: Miami
Miami ranked fourth, with one new foreclosure filing for every 91 households, although many of the properties entering into foreclosure in South Florida do not move through the entire process. Steep rises in prices the past few years enable many owners to sell out before losing their properties entirely.
Bill Gardner, the South Florida real estate agent, said buyers and investors should take advantage of the market while it lasts, which he doesn’t believe will be for much longer.
"I think after the first of the year people are still going to want to move to Miami," he said. "Even though it’s slower now, there are still bargains to be had and now is the time to buy."
"People looking for short-term gains, they missed that boat. But for the long haul it’s still a good investment."
No. 5: Dallas
Foreclosure postings in the Dallas area have surged in the past two years, and the city’s foreclosure rate consistently ranks among the nation’s highest. Interest-only mortgages have accounted for about 10 percent of mortgages in Dallas-Fort Worth this year, according to LoanPerformance, a San Francisco company that collects and analyzes mortgage data.
Stagnated income and rising property taxes have also contributed to the foreclosure spike occurring all over North Texas. More than 9,000 foreclosure filings were recorded in Dallas County during the third quarter of 2006, more than twice the number recorded in the third quarter of 2005.
Dallas real estate agent Jon Callaway said the prevalence of 100 percent financing is pushing many area residents into foreclosure.
"As long as 100 percent financing exists there will be an abnormal amount of people getting into financial troubles and unable to sell their home," he said. "The majority of the homes we see in trouble across the metroplex are 100 percent financing loans."
But Callaway believes the Dallas housing market is showing signs of recovery, an opinion supported by the fact that the area’s foreclosure activity rose at a much slower pace than most of the other cities in the top 10.
"Investors from California, Arizona, Florida, Utah and eastern states are soaking up inventory, speculating we are going to be the next hot spot," he said. "I do see us pulling out of the stagnated market we have been in for the last five years and moving forward at a 5 to 7 percent appreciating pace."
No. 6: Indianapolis
Like Detroit, Indianapolis is a big automotive industry supplier that has suffered economic setbacks, and falling home prices have made it more difficult for homeowners in jeopardy to bail out with some profit. Of the top 10 cities on the list only Indianapolis reported decreasing foreclosure rates, with a 2 percent dip from the previous quarter.
No. 7: Fort Worth,
In Fort Worth, the median price of a home sold in October — $143,000 — is down 3 percent from last year, according to the North Texas Real Estate Information System. Stagnated income and rising property taxes have contributed to the foreclosure spike occurring in Fort Worth and all over North Texas.
No. 8: Atlanta
Atlanta ranked eighth in the country in foreclosure rate, reporting one new foreclosure filing for every 107 households — more than three times the national average.
"Mortgage fraud, liberal lending practices, and inexperienced investors, along with corporate layoffs and slashed pension funds are contributing causes for the high foreclosure rate," said Atlanta real estate agent Ken McCall.
No. 9: Las Vegas
Experts say Las Vegas is outpacing the national rate as homeowners succumb to rising adjustable interest rates. Some homeowners who bought with no down payment now owe more than their homes are worth. And the foreclosure rate in Las Vegas shows no signs of slowing, with some predictions it could triple in the next six to nine months. One-third of the homes bought in Las Vegas in 2004 and 2005 were purchased using adjustable-rate mortgages. And as mortgage payments increase sharply for those with adjustable rate mortgages, the city’s foreclosure rate could continue to rise by the end of the year and in early 2007.
No. 10: Memphis, Tenn.
Memphis rounded out the Top 10 list with a foreclosure rate of one new foreclosure filing for every 144 households. The city’s foreclosure rate was more than 2.5 times the national average and was up 2 percent from the previous quarter.
Memphis broker Tommie Criswell-Jones said foreclosures are present for a variety of reasons, including high-ratio loans, bankruptcy frequency, poor underwriting and mortgage fraud. She said Memphis ranks No. 8 in the country for mortgage fraud.
Criswell-Jones noted that the Memphis market is "slow and steady" and has not seen the dramatic increases in home prices in recent years. She cited strong consumer confidence and recent corporate relocations as factors that will help create a more balanced housing market in the near future.
"Sections of our MLS area have higher inventory than demand, but in those areas sales are still considered strong," she said. "We expect to see the local housing market adjust somewhat in line with the national trends, with a gentle slowdown in new home starts. We expect a more balanced market with sellers and buyers, and sales are expected to be at or slightly above 2006."