Archive for November, 2010

HAFA

What is HAFA? HAFA is a government-subsidized Home Affordable Foreclosure Alternatives program for distressed homeowners to sell their homes to avoid foreclosure, even if the sales price is not enough to pay off their existing mortgage loans. Under HAFA, a participating lender will pre-approve the terms of a short sale and give the borrower at […]

What is a Distressed Property

Property on which the mortgages total an amount higher than the current value and an owner must sell. Property that is or will soon be in some stage of the foreclosure process. Property owned by a person who is experiencing a period of financial instability. Property that is in Poor Condition. If you have found […]

What Does it Cost to do a Short Sale

Typically, a short sale should result in minimal cost to you the owner, if anything at all. Most of the costs will be absorbed by  the bank (real estate commissions, closing costs, etc.). However, we do suggest that you keep the property in  ‘showing condition’ with the utilities on, landscape tidy, and everything in working […]

Options Available to Aviod a Foreclosure

We have identified 8 available options to avoid a foreclosure. Here are the +’s and -‘s. 1. Mortgage Modification – The reduction of either the interest rate on the loan, the principal balance of the loan, the term of the loan, or all of the aforementioned. + Reduces the payment a homeowner is required to […]

National Real Estate Market Trends

According to a CNNMoney.com article, February 2009, real estate values around the nation have collapsed and sales of foreclosed and “underwater” homes now dominate many housing markets. A report by Zillow.com, said that nearly 20% of the nations home sales in 2008 were bank repossessed properties. Another 11% were short sales, in which homeowners owed […]

Mortgage Forgiveness Debt Relief Act of 2007- extended through 2012 through the Emergency Economic Stabilization Act of 2008

The Mortgage Forgiveness Debt Relief Act of 2007 – Amends the Internal Revenue Code to exclude from gross income amounts attributable to a discharge, prior to January 1, 2010, of indebtedness incurred to acquire a principal residence. Limits to $2 million the excludable amount of such indebtedness. Reduces the basis of a principal residence by […]