Comments on: Alternative to Short Sale and Foreclosure http://contracostashortsales.wordpress.com/2008/01/27/alternative-to-short-sale-and-foreclosure/ Your Foreclosure Avoidance and Short Sale Specialists . . . Thu, 20 Aug 2009 22:09:21 +0000 http://wordpress.com/ hourly 1 By: Loss Mitigation http://contracostashortsales.wordpress.com/2008/01/27/alternative-to-short-sale-and-foreclosure/#comment-116 Loss Mitigation Sat, 22 Mar 2008 13:03:28 +0000 http://contracostashortsales.wordpress.com/?p=37#comment-116 A hundred new files a day is a bit of an overstatement. I know because I have been there it seems like they are getting that many but the only way that could happen if they were an opener and not a negotiator. Negotiators get about 3 to 5 files a day, Seems manageable but the reality is in a prime workout there are many things that need to happen. On a mod a file has to have a BPO, title report and in some instances approval from an investor if not delegated. A good negotiator can push about 60 files out a month to be a top producer, hence the bottleneck in the industry. I know that was my job at one of the nations largest lenders. Principal reduction is a reality and was getting kicked off when I was leaving the industry to start my own mitigation. A principal reduction has been done for some time now ie. a short sale but the industry is changing and we help homeowner set their financial to be able to get the reduction on a workout. A hundred new files a day is a bit of an overstatement. I know because I have been there it seems like they are getting that many but the only way that could happen if they were an opener and not a negotiator. Negotiators get about 3 to 5 files a day, Seems manageable but the reality is in a prime workout there are many things that need to happen. On a mod a file has to have a BPO, title report and in some instances approval from an investor if not delegated. A good negotiator can push about 60 files out a month to be a top producer, hence the bottleneck in the industry. I know that was my job at one of the nations largest lenders. Principal reduction is a reality and was getting kicked off when I was leaving the industry to start my own mitigation. A principal reduction has been done for some time now ie. a short sale but the industry is changing and we help homeowner set their financial to be able to get the reduction on a workout.

]]> By: Dianne http://contracostashortsales.wordpress.com/2008/01/27/alternative-to-short-sale-and-foreclosure/#comment-113 Dianne Wed, 05 Mar 2008 21:33:41 +0000 http://contracostashortsales.wordpress.com/?p=37#comment-113 thank you! thank you!

]]> By: Catherine Myers http://contracostashortsales.wordpress.com/2008/01/27/alternative-to-short-sale-and-foreclosure/#comment-112 Catherine Myers Wed, 05 Mar 2008 17:51:35 +0000 http://contracostashortsales.wordpress.com/?p=37#comment-112 Hi Dianne, you are actually conversing with one of the best short sale negotiators there are ... MM (above) negotiates on behalf of many of our clients and does a fabulous job. Due to the nature of his work, he can work with clients thru-out our state and in the nation too. You can find him and more information about what he does at http://www.suburban-renewal.com/ Good luck! Catherine Myers, REALTOR http://contracostashortsales.wordpress.com http://contracostaforeclosures.wordpress.com Hi Dianne, you are actually conversing with one of the best short sale negotiators there are … MM (above) negotiates on behalf of many of our clients and does a fabulous job. Due to the nature of his work, he can work with clients thru-out our state and in the nation too. You can find him and more information about what he does at http://www.suburban-renewal.com/

Good luck!

Catherine Myers, REALTOR
http://contracostashortsales.wordpress.com
http://contracostaforeclosures.wordpress.com

]]> By: Dianne http://contracostashortsales.wordpress.com/2008/01/27/alternative-to-short-sale-and-foreclosure/#comment-110 Dianne Wed, 05 Mar 2008 15:40:40 +0000 http://contracostashortsales.wordpress.com/?p=37#comment-110 Hi MM, Very astute of Bernanke, excellent article, and excellent points, actually my position exactly. And there is definitely a need for a "strong case build". I think I have some very compelling reasons why the bank should consider reducing the principle on the line, and some pretty compelling reasons why the bank should stick with me moving forward. However, that does not mean the bank will see it that way. So, at the very least I do think I need some guidance, or at least some "overview". I reside in So Cal, so the same situation, just a little different demographic. What are my possible resources? Anything online relating to the presentation to the bank? An attorney? An accountant? A short-sale negotiator? At the outset of this real estate purchase, I realized the risk, and I actively began planning and implementing the strategy to be able to ride out possible negative impacts. However, I planned for a "we" instead of just me. Thanks Hi MM,

Very astute of Bernanke, excellent article, and excellent points, actually my position exactly. And there is definitely a need for a “strong case build”. I think I have some very compelling reasons why the bank should consider reducing the principle on the line, and some pretty compelling reasons why the bank should stick with me moving forward. However, that does not mean the bank will see it that way. So, at the very least I do think I need some guidance, or at least some “overview”. I reside in So Cal, so the same situation, just a little different demographic.

What are my possible resources? Anything online relating to the presentation to the bank? An attorney? An accountant? A short-sale negotiator?

At the outset of this real estate purchase, I realized the risk, and I actively began planning and implementing the strategy to be able to ride out possible negative impacts. However, I planned for a “we” instead of just me.

Thanks

]]> By: Mike Mueller http://contracostashortsales.wordpress.com/2008/01/27/alternative-to-short-sale-and-foreclosure/#comment-109 Mike Mueller Wed, 05 Mar 2008 03:18:01 +0000 http://contracostashortsales.wordpress.com/?p=37#comment-109 It's not going to be a short sale. It is possible. If you saw Bernanke on the news today he suggested lenders might want to reduce principal. This is what your bank is proposing. It's not at all common. Here's an excellent blog article: http://calculatedrisk.blogspot.com/2008/03/bernanke-to-lenders-reduce-principal.html The truth is that while some people might make it shttp://www.patagoniafinance.com/mikesmortgageminute.htmlound easy, they are not the ones who you will be negotiating with. You will have to present a very strong case for the lender to consider this. In part here's how you will need to present the case. Prior to the modification or reduction: If they do not modify, it is certain that you will become foreclosed upon. The house will become an REO. The home will need considerable rehab in order to sell. Woe is me! After they modify or reduce: You will be financially fit and strong. They will never have to worry about you paying late, ever! Not only do you have to prove both sides of the case beyond a shadow of a doubt... But you also need to find the one loss mitigator in the company that knows what you want, can do what you need, and isn't completely buried under piles of other files. Good luck on that part. I was talking to a loss mitigator the other day who worked for a mid sized bank. She said she receives around 100 new files a day. Wonder how your file got lost? They look for any little reason they can to put your file on the back burner (some of them call it the circular file of no return). The bottom line is this. They can do that. It may seem to be an insurmountable task on your end but it is possible. Of course it is still up to the lender. I hope that helps. MM It’s not going to be a short sale. It is possible.
If you saw Bernanke on the news today he suggested lenders might want to reduce principal. This is what your bank is proposing. It’s not at all common.

Here’s an excellent blog article:
http://calculatedrisk.blogspot.com/2008/03/bernanke-to-lenders-reduce-principal.html

The truth is that while some people might make it shttp://www.patagoniafinance.com/mikesmortgageminute.htmlound easy, they are not the ones who you will be negotiating with.

You will have to present a very strong case for the lender to consider this. In part here’s how you will need to present the case.

Prior to the modification or reduction: If they do not modify, it is certain that you will become foreclosed upon. The house will become an REO. The home will need considerable rehab in order to sell. Woe is me!

After they modify or reduce:
You will be financially fit and strong. They will never have to worry about you paying late, ever!

Not only do you have to prove both sides of the case beyond a shadow of a doubt…
But you also need to find the one loss mitigator in the company that knows what you want, can do what you need, and isn’t completely buried under piles of other files. Good luck on that part.

I was talking to a loss mitigator the other day who worked for a mid sized bank. She said she receives around 100 new files a day. Wonder how your file got lost? They look for any little reason they can to put your file on the back burner (some of them call it the circular file of no return).

The bottom line is this. They can do that.
It may seem to be an insurmountable task on your end but it is possible. Of course it is still up to the lender.

I hope that helps.
MM

]]> By: Dianne http://contracostashortsales.wordpress.com/2008/01/27/alternative-to-short-sale-and-foreclosure/#comment-108 Dianne Tue, 04 Mar 2008 15:47:47 +0000 http://contracostashortsales.wordpress.com/?p=37#comment-108 I purchased a house with another party, who is unrelated to me. The other partyis no longer living at our shared residence and is in bk. In addition, the other party is homesteading a previoulsy purchased condo. I am living soley in the house we purchased together and I'm making the mortgage payments and the payments on the line of credit. Recently, the bank told me I might be able to do a short sell on the line of credit, the house has depreciated 40k, and the co-borrower is in bk protection. I'm not interested in selling the property, and I'm only looking at a short sell on the line of credit (aprox 80k) and keepitg the mortgage in-tact. The bank (equity loan department) almost made it sound easy, what is the bank (equity loan department)not telling me that I need to know? How do I find or determine who or what skilled short sale expert is? Thanks I purchased a house with another party, who is unrelated to me. The other partyis no longer living at our shared residence and is in bk. In addition, the other party is homesteading a previoulsy purchased condo.

I am living soley in the house we purchased together and I’m making the mortgage payments and the payments on the line of credit. Recently, the bank told me I might be able to do a short sell on the line of credit, the house has depreciated 40k, and the co-borrower is in bk protection.

I’m not interested in selling the property, and I’m only looking at a short sell on the line of credit (aprox 80k) and keepitg the mortgage in-tact. The bank (equity loan department) almost made it sound easy, what is the bank (equity loan department)not telling me that I need to know?

How do I find or determine who or what skilled short sale expert is?

Thanks

]]> By: erin young http://contracostashortsales.wordpress.com/2008/01/27/alternative-to-short-sale-and-foreclosure/#comment-84 erin young Wed, 06 Feb 2008 16:30:51 +0000 http://contracostashortsales.wordpress.com/?p=37#comment-84 We can't afford to pay the taxes on the 1099 from a short sale or deed back. Is there any options if you are low income? We did have a cash out refinance so we don't qualify for debt forgiveness act. We are very scared of how low the house may sell for in a deed back situation. Please, help. Any advice welcomed. We can’t afford to pay the taxes on the 1099 from a short sale or deed back. Is there any options if you are low income? We did have a cash out refinance so we don’t qualify for debt forgiveness act. We are very scared of how low the house may sell for in a deed back situation. Please, help. Any advice welcomed.

]]>