Most of us in this business have been approached by friends, family and even clients about loan modifications. We all know folks who are having a rough go of it and are seeking help from their lender to modify the terms of their loans so they can stay in their homes.
We have all heard them say the same thing; “The people at the bank told me they wouldn’t even talk to me unless I was late on several payments.” In many cases, bank personnel have actually advised people to let their loans go delinquent, so they can “possibly” help them! And, many people take that advice and let their payments lapse, destroying their credit with no real commitment of assistance.
Here is the real horror story – Just this morning I heard from a dear friend asking about getting a loan to buy a smaller place since her expensive house just went into escrow. After talking to her I learned that she had been seeking a modification and had taken the banks advice and let her payments go delinquent for a few months. Then suddenly an offer came through on her home and now she is in escrow. But since she has several late payments, she no longer qualifies for a loan.
Friday, October 29, 2010
Friday, October 22, 2010
Consider this: sellers who do have equity who would like to sell should not be shy about selling if they intend to purchase another property. Equity is equity and you may sell for less at the present time but you will also buy for much less and have a larger amount of available inventory to choose from. Also interest rates are at historic lows.
Friday, October 15, 2010
WHAT IS THE REAL STORY BEHIND THE LATEST FORECLOSURE NEWS ITEM?- Here is a great Q & A from the San Diego Union Tribune that really gets to the heart of the issue http://www.signonsandiego.com/news/2010/
Friday, October 8, 2010
Numbers of closed sales in September 2010 were down 5% from August. Year to date sales for 2010 are also down 5% when compared to the same time frame in 2009. Pending sales (open escrows) are down 11% in September from August. The amount of listings on the market is virtually the same as the same time frame in 2009.
Friday, October 1, 2010
Interesting new data is available which measures this in a new and innovative way. To see a very interesting WSJ article, go to http://blogs.wsj.com/economics/2010/10/01/which-cities-face-biggest-housing-risks/