Real Homeowner Stories #2: A Fresh Start

For homeowners who are in danger of losing their home to foreclosure, it is common to feel like you are all alone and that there is no one who can help. This simply isn’t true. There are real people who have been in the same situation who have found solutions. Take, for example, Dan and Jessica M. of Grand Blanc Township, Michigan.

For Dan and Jessica, their homeownership dream always involved building a house on a piece of land. “We build a house on half an acre,” said Dan.

 In order to achieve their dream, they stretched a little beyond what they were comfortable with by getting two adjustable rate mortgages, a common practice at the time. “The introductory rates were 8.5% and 11.5%, but our lender said, ‘Don’t worry, you can refinance after two years.’”

 For a while, they were getting by. Then, a couple of things happened. “We had our first child, and soon afterward, Jessica lost her job,” said Dan. “Soon, bills started piling up.”

Because they believed they’d be able to refinance, they started paying their bills on credit cards. “We hung on for the full two years hoping we could refinance at a lower interest rate, but when the time came, our lender said no because our home’s appreciation was too low.”

 Dan and Jessica needed help. A friend referred them to a real estate agent who was a Certified Distressed Property Expert®. The agent answered their questions. Most importantly, the agent explained the difference between a foreclosure and a short sale. In a short sale, the bank agrees to allow the home to be sold for less than the amount due on the loan.

 “With this information, we were able to decide that a short sale was our best option.”

 It was a stressful process, but the agent helped them tremendously. She even kept a potential buyer from walking when the process was taking longer than expected. “Honestly, if it weren’t for her, the buyer would have left and we’d have been stuck.”

 Dan and Jessica’s story is just one of many. I have a report entitled “From Foreclosure to Freedom” which tells other stories of real homeowners who faced foreclosure and found relief. Download the report, read the stories, and then contact me for a free, confidential consultation.

 

Rob Sales
Smart Short Sales-Providing Dignified Solutions

CDPE Advance, DPP, REO Specialist, CIAS
912-655-7674

Prudential Southeast Coastal Properties - Savannah, GA   Associate Broker

 

 

 

 

 

Prudential Great Smokys Realty - Sylva, NC      Broker 

Chatham County Foreclosure Stats for June 2013

Source: RealtyTrac.com

In June, the number of properties that received a foreclosure filing in Chatham County, GA was 9% lower than the previous month and 24% lower than the same time last year.

Home sales for May 2013 were down 8% compared with the previous month, and up 462% compared with a year ago. The median sales price of a non-distressed home was $168,000. The median sales price of a foreclosure home was $68,000, or 60% lower than non-distressed home sales.

5 Ways to Beat Foreclosure!

In the news, there is talk of a housing recovery. Experts feel more optimistic about the state of housing industry in America. However, if you or someone you know is one of the millions of homeowners who is stuck with a home on which you owe more than the property is worth, the feeling of helplessness can be overwhelming and frustrating.

 

Many people don’t realize that just because they are in danger of losing their home to foreclosure doesn’t mean they have to wait around for it to happen. With help, they can take matters into their own hands.

 

YOU HAVE OPTIONS!

 

As a Certified Distressed Property Expert (CDPE), I make it my business to know all of the ins-and-outs of the options available for people who are in danger of losing their homes and help them meet challenges head-on.

1. Reinstatement

Was the reason you missed your payments temporary and now the issue has been resolved? If you can make a one-time payment that includes all missed payments, legal fees and late fees, you are eligible to be reinstated back into your loan agreement.

2. Mortgage Modification

In some cases, you may be eligible to modify your loan in a way that reduces principle or lowers payments. Some of these programs vary from bank to bank, but there are also government-sponsored programs that are available to help homeowners in distress

 

3. Refinance

 

If you have enough equity in your home, refinancing may help you get back to more affordable payments. This will be determined by whether or not you are current on your loan, how much the property is worth and your credit.

 

4. Bankruptcy

In some cases, bankruptcy is an option. It may stop foreclosure and allow you to reorganize your debt. The stoppage is only temporary, however, and if you are still unable to make payments after the bankruptcy, the foreclosure will go through. It also makes a property much more difficult to sell.

5. Short Sale

You sell your property for less than it is worth and the bank, realizing that some money is better than no money at all, agrees to release you from your obligation to the remainder of the loan. In some cases, you are able to walk away from the loan clear of any obligation.

For more information regarding your options, contact me!

Rob Sales

Smart Short Sales-Providing Dignified Solutions
CDPE Advance, DPP, REO Specialist, CIAS
912-655-7674

Prudential Southeast Coastal Properties - Savannah, GA   Associate Broker

 

 

 

 

 

Prudential Great Smokys Realty - Sylva, NC      Broker 

 

 

 

Why Homeowners are in the Driver's Seat

 

There are a number of trends affecting today’s market in dramatic ways. Historically low interest rates are driving more and more people to buy homes, but there are not enough homes on the market to meet that demand. The result is that prices are increasing at an incredible rate.

This puts homeowners in an incredible position because you have something that people want! Not only that, but these trends are unlikely to continue at their current pace they for much longer. I want you to have all the details about your situation so that you can make the most informed decision.

If you have been waiting to sell your home, especially if you or someone you know is having difficulty with their mortgage, it is time for you to start exploring your options because your home may be worth significantly more than you realize. The important thing is to know where you stand.

Do you know what your home is worth today? What are homes in the area selling for? These are all questions to which the answers have changed significantly in the last few months, and knowing your specific situation will help you make more informed choices.  I have a report which explains in detail why prices have gone up and why your home might be worth more than you think! The report is entitled “What They Didn’t Say: The Truth About Your Home and What Big Media Hasn’t Told You,” and I believe you’ll be surprised by when you download and read the report. Once you are done, contact me today for a free market analysis.

Rob Sales

Smart Short Sales-Providing Dignified Solutions
CDPE Advance, DPP, REO Specialist, CIAS
912-655-7674

Prudential Southeast Coastal Properties - Savannah, GA
Associate Broker

Prudential Great Smokys Realty - Sylva, NC
Broker

   

I Think You Can, I Think You Can!!!

When the financial crisis hit, the housing market changed dramatically. In less than a year, prices dropped and the equity that homeowners had in their homes disappeared, seemingly overnight. Many people who were ready to sell their homes at that time had to put those plans on hold until the market recovered. No one will tell you that today’s market has fully recovered, but there are positive changes underway, and the changes are happening rapidly. For home-owners who had to wait to sell their homes, today may be the day they were waiting for.

 

You may now have equity in your home

The reason is simple: Prices have increased dramatically. Many homeowners may not realize it, considering how far the real estate market fell when the housing bubble burst, but in the past 12 months, prices have actually rebounded at a fairly remarkable pace In fact, according to the Case-Shiller Home Price Index (a composite of prices in 20 major metropolitan area), prices rose 11.8% year over year in February of 2013. This is the biggest yearly increase in prices since November of 2005, when the market was almost at its peak. The result is that people are lining up to buy homes in today’s market. So, why have prices increased so quickly?  

 

Fewer homeowners are in danger of losing their homes

 

When the housing crisis hit, the result was that mil- lions of people found themselves in danger of losing their home to foreclosure. The struggling economy created financial hardships for homeowners and many needed to sell their home as a result. However, because home values dropped so precipitously, they owed more on their mortgages than the homes were worth.

 

These homeowners are called "distressed" homeowners, and in recent years they’ve numbered in the millions. Today, however, these distressed homeowners may find themselves in a much better position. 

 

According to the National Association of REALTORS, distressed home sales are at their lowest point since 2008, when the foreclosure crisis started. Since most of the distressed properties have been sold off, they are no longer having such an intense effect on prices. This means that non-distressed sellers today find themselves in a much better position than at any point since the housing crisis began.

 

Investors are buying as many homes as they can

 

Investors know that the fundamental rule to successful investing is simple: Buy something for less than what you can sell it for down the road. This is certainly true of real estate investing, and the decline in housing prices at the height of the housing crisis has resulted in investors coming out in droves and buying all the properties they can get their hands on.

And it isn’t just individual investors who are buying one or two properties. Large investment firms and hedge funds are buying up huge swaths of properties to take advantage of an unprecedented opportunity. Their intention is to rent out the properties to generate cash flow for themselves, but the result is that large quantities of these homes have been bought up by these investment firms, taking them off the market in bulk.

There have been fewer homes built in the past 5 years than at any time in the past 50 years

Generally speaking, the real estate market needs about 6 months of inventory in order to keep up with normal supply and demand. This means there should be enough homes for sale that it would take 6 months to sell them all.

In today’s market, there is significantly less inventory than that. In fact, nationally there is about 4.7 months of inventory available. This number doesn’t tell the whole story, however. In some metropolitan areas, there is less than a month’s worth of inventory. There are even some cities that only have a few days of inventory for sale!

At the same time, more people want to buy homes today than at any time in the past 5 or 6 years. Interest rates are at near record lows and a new generation of homeowners is trying to buy their first home.

 

There are fewer homes to sell and more people who want to buy them. Make no mistake about it, today’s market is a seller’s market and people who sell their home today are in the strongest bargaining position in years.

 

Today’s market is a seller’s market

So, with fewer distressed homeowners driving prices down, investors buying as many properties as they can, and homebuilders just now ramping up to build new homes to meet the demand, prices have been increasing. For people who have waited to sell their home, this puts them in the driver’s seat.

Do you know what your home is worth today? Or what are homes in the area selling for? These are all questions to which the answers have changed significantly in the last few months, and knowing what your specific situation is will help you make more informed choices.

As a real estate agent in today’s market, I make it my business to have the most up-to-date information and can help you understand exactly what your current situation is. If you have been underwater, it is entirely possible you are not anymore. If you have been holding off until the market started to recover, that time is now.

Contact me today for a free valuation of your home and let me help you determine your best option. Arm yourself with information and make a more informed choice. It might just end up being an incredibly profitable decision.

 

 

 

Rob Sales, CDPE Advanced, CIAS, DPP

 

Associate Broker, Prudential Southeast Coastal Properties, Savannah, GA

 

Broker, Prudential Great Smokys Realty, Sylva, NC

 

 

Educate Yourself So YOU Don't Become a Victim!

For distressed homeowners in danger of losing their home, there are already a lot of problems. The last thing a homeowner in this situation needs is to fall victim to a scam. Unfortunately, people in this situation are often the most vulnerable to a kind of fraud called “mortgage relief fraud.”

 

Fraudsters will prey on people who are looking for a loan modification, short sale or other foreclosure alternative because these are the most common options for distressed homeowners.

 

There have been legal cases brought against many, but scammers always try to stay a step ahead of law enforcement. Even though many of them have been caught, there are still people who prey on vulnerable homeowners with too-good-to-be-true promises.

 

In fact, in a recent example highlighted in the New York Times, con artists told homeowners that they represented the bank and that the homeowners were already approved for a loan modification. Only after the homeowners paid thousands of dollars up front did the truth come to light.

 

Educate yourself so you don't fall victim!

 

 

Short Sale Incentives

 

 

 

 

Get cash to sell the home you can’t afford

Since the beginning of the housing crisis, millions of homeowners have found themselves pinned in by their financial circumstances and chained to a mortgage on which they owe more than their home is worth. In the past, homeowners enduring these challenges had very few options, and most would be forced to lose their home to foreclosure.

 

Today, however, there are more options. The government and the banks have created a multitude of programs and foreclosure alternatives that can help people in these circumstances find a dignified solution for their problems without crippling their financial future. These options include loan modifications, refinancing, or short sales.

The most amazing development in today’s market, however, is one simple fact: Banks are now willing to give cash to homeowners to sell the home they can’t afford.

 

Please contact me today if you or someone you know could use my help and wants the latest information about current incentives available to distressed homeowners.

Rob Sales

Prudential Southeast Coastal Properties

Associate Broker, CDPE Advance,
DPP, REO Specialist, CIAS
912-655-7674
www.smartshortsales.net

 

WSJ- Courts Stall Housing Recovery

Even as the nation's foreclosure rate continues to fall, states with court oversight of the foreclosure process are lagging behind, potentially delaying their housing recoveries.

 The Mortgage Bankers Association said Thursday that 4.1% of mortgage loans on one-to-four-unit homes—about 1.9 million households—were in the foreclosure process at the end of the third quarter, down from 4.4% a year earlier and the lowest level in 3½ years. The national average, however, masks big differences between the states. Among the 12 states with foreclosure rates that exceed the national average, 11 of them require banks to take back properties by going to court.

Foreclosure rates stood at 6.6% in those "judicial" states in September, while they have dropped sharply to 2.4% in the "nonjudicial" states where banks face fewer hurdles to foreclosure. Foreclosures have always taken longer in states with judicial review, but in recent years, the sheer volume of cases has overwh elmed courts, and the "robosigning scandal" that hit lenders added to the delays. Judicial review may give troubled homeowners more time to work out problems, but critics of the system say the delays are postponing states' housing recoveries.

"The distinction between the judicial and the nonjudicial states is, if anything, getting sharper," said Michael Fratantoni, the MBA's vice president of research. The upshot is the housing recovery is likely to be "muted" in judicial states, said Mark Zandi, chief economist at Moody's Analytics. "Some markets are still going to suffer more price declines," he said.

Smart Real Estate Investing.com (800) 452-7627

Housing Crisis Information

If you are like most people, the news you hear about real estate can be very confusing. On the one hand, real estate has been one of the hardest hit sectors of the economy, and much of the news still reflects this. On the other hand, there are some reports about real estate being one of the most positive indicators of an economic recovery.

Here are some of the most important recent developments you need to know:
Homebuilder Confidence is rising – According to the National Association of Homebuilders, it’s the highest it has been since before the foreclosure crisis began in 2007. This is important because it means that professionals are optimistic about the housing market again. Now, because of how long it takes for homebuilders to ramp up their businesses, it will still be a while before we see a ton of new homes built, but this is definitely a positive sign.

Housing Starts have increased – 535k Single Family Homes were started in August. This is still lower than we need, however, and there is not enough inventory to cover the demand (especially with historically low interest rates). Existing home sales have also skyrocketed according to the National Association of Realtors. In fact, they have gone up almost 10% since this time last year.

Underwater properties are still a large part of the market – In fact, according to NAR, more than 1 in 5 of all home sales is a property that is either behind on their payments or in the foreclosure process.

　 The good news is that this market offers an opportunity for just about everyone. If you are underwater or in danger of losing your home to foreclosure then there have never been more opportunities than there are in today’s market to sell your home and find a dignified solution. If you are looking to buy a new home, this is quite possibly the most affordable time in history to buy a home.

I would love to discuss how today’s market fits your needs. Feel free to contact me
for a free confidential consultation!

Foreclosures Decline but Remain High and Prepayments Surge

A very insightful article by Krista Franks Brock of  DSNEWS.COM on October 3, 2012


Foreclosure inventory continues to decline but remains more than eight times what it was in the decade prior to the housing crisis, according to the latest report from Lender Processing Services (LPS).

Noncurrent loans make up 10.9 percent of all loans as of August, demonstrating a year-over-year change of -7.6 percent, according to LPS.

As of August, the delinquency rate stands at 6.9 percent, and the foreclosure rate is 4.0 percent.
There remains a large gap in the foreclosure rate between judicial states and non-judicial states. In fact, in judicial states the rate remains near an all-time high of 6.49 percent, while the foreclosure rate in non-judicial states is 2.28 percent.

The amount of loans 90 or more days delinquent is near half of its January 2010 peak. The majority of these loans are more than nine months delinquent. About 43 percent are at least 12 months delinquent.

The overall delinquency rate declined 2.3 percent in August. States ranking highest for non-current loans include Florida, Mississippi, New Jersey, Nevada, and New York. States with the lowest percentages of non-current loans include Montana, Alaska, South Dakota, Wyoming, and North Dakota.

LPS noted prepayment activity was up “significantly” in August, nearing levels last reported in 2005.
The annualized prepayment rate at the end of August was almost 25 percent, according to LPS’ findings.

Prepayment was highest among loans with higher combined loan-to-value ratios (CLTVs). For example, among loans with more than 120 percent CLTV, prepayment increased more than 65 percent year to date.

According to LPS, this trend is significant because prepayments are an indicator of refinance activity.
In August, 2011 vintage loans experienced a 23 percent increase in prepayments over the month. Loans with vintages from 2007 and earlier experienced a prepayment increase of just 9 percent, which LPS interprets as signs of a “refi burn out.”

“[I]t is also becoming evident that loans originated in 2007 and earlier have diminished prospects for conventional refinancing opportunities,” stated Herb Blecher, SVP of applied analytics at LPS.

“Fewer than 30 percent of these vintages remain both active and current, and on average, they are marked by larger negative equity positions and lower credit scores,” Blecher explained.

Not All Sunsets are Beautiful

In 2007, the Mortgage Debt Relief Act was passed in an attempt to help the millions of homeowners who, due to the housing crisis and economic crash, suddenly found themselves in danger of losing their home to foreclosure.

The act has helped many distressed homeowners find solutions to avoid foreclosure and opened up options to them that were previously unavailable.

The Mortgage Debt Relief Act, however, was only intended to be a temporary solution and is now set to expire at the end of 2012. There is a bill in Congress that would extend it, but it is unclear if it will pass. For distressed homeowners, this means that time is limited to take advantage of this program.

Time is running out. But there is still a chance to change your financial direction and avoid foreclosure.  Contact me and I can help.  You didn't create this and you are not ALONE!

 

Rob Sales

Prudential Southeast Coastal Properties

Associate Broker, CDPE Advance,
DPP, REO Specialist, CIAS
912-655-7674
www.smartshortsales.net

Smart Short Sale Team Has the Paddles!

Over the last year, I have been building a team of associates to help me provide the best solutions for my clients who have found themselves up a creek without a paddle during this housing crisis.  Just like each oarsman of a crew team steers the boat to victory through the elements, so does my team.

 

So, let me introduce you to my crew "Smart Short Sale Team" and a little history on the sport of Rowing!!! 

 

 

 

Rob Sales
Chief Operating Officer and Real Estate Agent
Rowing Positions: The Stern Pair, The Bow Pair, Coxwain, & Steersman

Well, I actually operate as many positions currently but together with my team working with our clients daily to help them find their way to their finish line out of of this mess of the Housing Crisis remains my PRIORITY!
 
Jane Sales
Chief Executive Officer
Rowing Position:  The Coxwain
The purpose of a coxswain is steering the boat, providing encouragement to the rest of the crew, communication to the crew of how close they are to the finish line, and any other race tactic calls. 

Not only is Jane my devoted wife, she is CEO and my backbone offering moral support!
 

 

Julie Brawn
Financial Institution Communication Director 

Rowing Position: The Middle Crew (The Fuel Tank, The Engine Room, The Power House, The Meat Wagon)

The middle crew has numerous nicknames for themselves as shown in the title. In an eight-person boat, the middle crew is made of numbered individuals three, four, five, and six. In a four-person boat, the middle rowers are numbers two and three. Because the boat moves less in the middle, the middle crew is often the most powerful and heaviest of rowers. They are referred to as the ‘fuel tank,’ the ‘engine room,’ or other nicknames because their focus is simply pulling on oars as hard as they can. It is not necessary for these middle crewmates to be exceptionally reactive or technically sound (like the strokesman). The middle crew is known for their brawn, and it is common for the most technical rowers to be placed at the bow and stern with the strongest rowers in the middle.

 

Her name says it all!  Julie is our latest addition to the Short Sale Team. Julie comes to us with tons of legal experience and will be responsible for the distribution and the communication, with our banking partners. She will feed all the data and information to the various banks, mortgage companies, etc., that we collect from the distressed property owners. Additionally, Julie will have her own short sale listing portfolio that she will process through the Smart Short Sale Team.

 

Charles Kelly
Data Collection & Information Management Director

Rowing Position: The Middle Crew (The Fuel Tank, The Engine Room, The Power House, The Meat Wagon)

 

Recently Charlie agreed to come on board help with the scanning and organizing the files, creating binders for individual files, indexing and sorting out the data and creating binders for each of the properties. Additionally,he maintains our entire filing system for the endless paperwork we submit to the Governement, banks, and legal counselors involved with the maticulous processes of short sales.

 
Chantal Sales
Marketing, Advertising & Public Relations Director
Rowing Position: The Bow Pair

The rower closest to the bow of the boat is called the ‘bow’ or the ‘bowman.’ It is the bowman’s responsibility for the stability of the entire boat. They are expected to be quick and agile, responsible for not only the stability of the boat, but the direction of the boat as well. As expected, the bowman is expected to be quite technically skilled. Furthermore, boats that are bow coxed are dependent on effective communication between the bowman and the cox. The cox cannot see boats coming from behind them, and good communication is essential. 

Approximately a year ago, Chantal started assisting me with my marketing plan.    With the ever changing social networking world, she set up my blogs and network profiles.  She continues to manage the websites, blogs, and designs my print & digital marketing media for each listing and keeps me alive in the Cyber World.  Although she not truly the closest physcially to our team like the Bow Pair is in the boat, she is our social connection to the rest of the world.

 

 

 

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Smart Short Sales Partner Testimonials

Over the course of this year, I have compiled a handful of testimonials from clients, attorneys AND agents that I have worked successfully with their distressed property in the Savannah area. 

Client Testimonials




Attorney Testimonials




Agent Testimonials

New Prudential Real Estate Poll: Americans Increasingly Optimistic about Homeownership

Prudential Real Estate released a new national survey at Sales Convention showing that Americans are significantly more optimistic about homeownership than they were a year ago.

According to the second-annual Prudential Real Estate Outlook Survey, a full 60% of Americans have favorable views toward the real estate market.  That’s up 8 points since last year!

The survey shows that signs of increasing optimism are widespread:

·         With interest rates at historically low levels, 96% agree or somewhat agree that now is a good time to buy.

·         A full 70% of respondents have some degree of confidence that property values will improve over the next two years; with an 8 point increase in those very confident or confident compared to last year.

·         63% believe that real estate is a good investment despite the recent market volatility; that’s up 11 points from last year.

The survey confirms that despite the recession, homeownership remains a central part of the American Dream.  8 in 10 respondents said homeownership is very important to them; only 15% said the economic downturn made homeownership less important.