Unfortunately this “new” law to forestall foreclosures won’t have much effect on most borrowers in distress. This law has a HUGE loophole to exempt lenders with a satisfactory loan modification process in place. So all a lender has to do is prove they have a plan in place to help homeowners, and voila, they are exempt. Now what their plan is, and what the reality is may be two different things, we know that.

Sadly, there isn’t much help to be found in all these “laws” to stop foreclosure. If you’ve lost your job, lost the ability to repay, have gone thru a divorce, income catastrophe, or have to move for your job – do you really want your foreclosure delayed?

Of course there are choices and alternatives to foreclosure i.e. short sale, deed in lieu (haven’t met anyone yet to successfully do this) – but if you’ve decided to walk away, isn’t it best to let it go, cut your losses? Or do you want another 90 days of late payments and the feeling of drowning in debt and collections calls?

If you want to explore a short sale, call me . Even for consideration for a deed in lieu, one very real requirement typically is the attempt to sell it yourself. In our market, you will have no problems finding a buyer at the right price. Most “distressed” properties (i.e. REO, bank owned, short sales) are getting multiple offers.

For more information on the new foreclosure moratorium, the full law, and complicated wording check out:

Assembly Bill ABX 2 7

For homeowners facing foreclosure in Contra Costa County, Alameda County and across California, may get a little relief – again.    From the Associated Press:

See More at the SacBee article:  New Foreclosure Rules to Start Monday. 

You’ll see that this new law and “attempt” to help ailing homeowners leaves a lot of holes, and many lenders may find themselves exempt from complying.  Remember, seek the services of a non-profit homeowner advocacy group to get help.  For example:

www.naca.com

www.dontborrowtrouble.com

www.acornhousing.org

www.makinghomeaffordable.gov

As a last resort, for short sale help in Contra Costa and Alameda County, contact Catherine Myers, Alain Pinel Realtors in Walnut Creek.  925-683-2125.  Serving Concord, Clayton, Walnut Creek, Pleasant Hill, Martinez, Danville, Alamo, San Ramon, Dublin, Livermore, Pleasanton, Lafayette, Orinda, Moraga, Clyde, Pittsburg, Bay Point and other areas in the San Ramon and Diablo Valley.

Are you in Contra Costa and thinking of a short sale?  Have you heard there are some new guidelines regarding short sales, foreclosure avoidance and a deed in lieu? We’re cautiously optimistic that the new Obama guidelines will help to streamline the short sale process.  Have you seen the latest?  Some of this will be a wait and see how the lenders and servicers deal with this, as we already know, nothing happens quickly in this arena, but we have been begging for help for homeowners who wish to avoid foreclosure – let’s see how this works in practical terms.

Uniform Process for Short Sales Will Help Struggling Homeowners > Press Release

WASHINGTON, May 14, 2009

Help is on the way for many homeowners who are facing foreclosure, thanks to new details under the Making Home Affordable Program announced today by the U.S. Treasury and the U.S. Department of Housing and Urban Development.

The Making Home Affordable Program is designed to help homeowners obtain modifications to their loan so they can afford to stay in their home. Where a modification is not possible, new incentives encourage the “quick private sale or voluntary transfer of property, which will save homeowners money and protect their financial future,” according to U.S. Treasury Secretary Timothy Geithner. The National Association of Realtors® expects that a uniform process for handling short sales and financial incentives will facilitate this process. View a summary of the incentives and process (PDF)

“NAR is pleased that the government is stepping in to help prevent foreclosures by streamlining the short-sale and deeds-in-lieu process,” said NAR President Charles McMillan, a broker with Coldwell Banker Residential Brokerage in Dallas-Fort Worth. “NAR has been calling for uniform short sales procedures and other initiatives that will help today’s homeowners in challenging economy.”

Short sales occur when a bank agrees to let homeowners who have fallen behind on their mortgage to sell their home for less than they owe on their mortgage. Visit www.treasury.gov for detailed information on the program changes.

“Many families are finding themselves with a mortgage that is higher than their current home value, and they are struggling,” said McMillan. “As Secretary Geithner noted, and as NAR has been advocating for many months, stemming the foreclosure crisis and stabilizing the housing market are critical to our economic recovery.”

“We have heard from Realtors® that the extensive delay in the short sale process had caused many buyers to go elsewhere and have left many would-be sellers with no option but foreclosure. We are all pleased that the government has stepped in to help homeowners and those wishing to buy a home,” McMillan said.

The National Association of Realtors®, “The Voice for Real Estate,” is America’s largest trade association, representing 1.2 million members involved in all aspects of the residential and commercial real estate industries.

_______________________________________________________________

Obama Administration Announces

_______________________________________________________________

Also, have you checked to see if you are eligible for mortgage help?
http://www.makinghomeaffordable.gov

Need urgent help?
Contact the Homeowner’s HOPE™ Hotline:
(888) 995-HOPE

To read more about Obama’s plan for our economy and housing:
http://www.financialstability.gov/

___________________________________________________________

Do you want to try to avoid foreclosure? Try to save your home? Do a short sale in Contra Costa?
If you need a free consultation regarding your mortgage and foreclosure avoidance options, call the local loss mitigation team of Contra Costa Short Sales and  Contra Costa Real Estate .  Catherine Myers at Alain Pinel Realtors can be reached by phone at  925-683-2125 or by email.    We will help you explore all options available to help you save your home FIRST! Then, if you’ve exhausted home save efforts, we’ll helpl you look into home sale and foreclosure avoidance options.  A short sale should be your last resort if you want to save your home.   Experienced counsel in selling and buying short sales and foreclosures.  Referrals to experienced attorney and CPA’s available. Call for your consultation today.

Located in Walnut Creek, CA – Contra Costa
Also serving:
Walnut Creek
Pleasant Hill
Pleasanton (Alameda County)
Dublin (Alameda County)
San Ramon
Danville
Alamo
Livermore (Alameda County)
Martinez
Pacheco
Lafayette
Orinda
Moraga
Concord
Clayton
Bay Point
Pittsburg
Antioch
Oakley
Brentwood
Discovery Bay
Clyde

With so many real estate agents out there getting trained, certified and ‘designated’ as experts in short sales, its no wonder so many recommend that a short sale is the best way out of your situation.  Be very wary.  Do not go to a short sale as a first resort – in fact, other than foreclosure itself, it really should be your last resort.   Don’t get lulled into thinking you will not have any liability.  You may.  Your personal liability and your tax liablility are also, two very different things – separate from each other.   The “training” many agents receive is simply too broad to apply to every situation. I can tell you that learning to submit a package and how to work with the bank is the EASY part.  Understanding the client’s risk and potential of recourse and tax liability is much more important.  As Realtors, we can’t advise on most of these matters – and you MUST see an attorney and/or CPA before considering a short sale. If a Realtor you’re working with has not advised you of this, they are not doing their job and you may be at great risk of a huge surprise later. 

If you have other large consumer debt besides your house, don’t think you’ll just file bankruptcy later if the bank or tax man comes for you.  You need to talk to an attorney before you sell your house.  You may not have the bankruptcy advantages you think you will if you no longer have your mortgage debt.  Bankruptcy is not as easy or clean it used to be.  You may not even qualify at all.   Don’t make that mistake.

Do you think that just because the lender issued a 1099c that means they cancelled the debt and you are free of any liability? It  may not be true. 

Do you think that a short sale is always the best way? And always better than foreclosure.  Wrong.  Its is NOT always the best way, and in fact, in some cases a foreclosure may have protected you from very specific consequences.  You must see an attorney immediately when considering a short sale.

These are only a few of the reasons why.  You may leave some very important remedies available to you if you skip this vital step.  This is not the time to save $300.00.  Face it, many who have not paid their mortgages in months, probably have $300 to spend in order to save themselves from huge financial mistakes that may effect them for years to come.  Don’t let it be you.

If this is the last step, then you may be asking what is the first?  First, see if you can keep your home! Talk to your lender, and/or talk to one of the non profit HUD counseling agencies. No reputable agency will ever ask you for money!  No money up front – ever – to anyone.  Do not fall prey to traps.  There are no easy ways out of these situations, don’t expect a kick fix.  Here are two agencies you can start with:

www.hopenow.com
Support and Guidance for Homeowners
888-995- HOPE (hope hotline)

www.naca.com
Non-profit advocacy. HUD certified counseling agency.
(this is one agency that Countrywide will refer you to before they start on a short sale)

Side Note: if you call to start a short sale with Countrywide, they now say they are required to give you a HUD HELP number: 800-569-4287 .  This number is a HUD referral agency and can help you find a certified HUD housing counseling agency nearest you by entering your zip code.

Catherine Myers, REALTOR
Contra Costa , Alameda
Walnut Creek, Concord, Clayton, Pleasant Hill, Martinez

Short Sales as a last resort, avoid foreclosure, w/ homeowner help resource, loan modification contacts -we want you to keep your home!  DO you need to sell your home now?  Contact us for information.

Experience with all the major banks including Countrywide, Bank of America, Wells Fargo, GMAC, EMC, Chase, WaMu, Wachovia, Saxon, Indymac, CitiMortgage, CitiFinancial and more including local banks and credit unions.

Check out the government site “Making Home Affordable” and take a self assessment to see if you may be one of the 7 to 9 million homeowners eligible for help from your lender.

Get the help you need, find a HUD approved housing counselor, contact info for your mortgage servicer, eligibility questions, foreclosure rescue scam information and more.

Check out: Making Home Affordable 

Catherine Myers, REALTOR
Alain Pinel Realtors
925-683-2125
Contra Costa and Alameda County Real Estate and Homes for Sale

Foreclosure, REO and short sale homes for sale in:

Walnut Creek, Concord, Clayton, Pleasant Hill, Martinez, Lafayette, Orinda, Moraga, Alamo, Danville, Bay Point, Pittsburg, Antioch, Brentwood, Oakley, Discovery Bay, San Ramon, Dublin, Livermore, Pleasanton and more.

Over the last 18 months I’ve written several articles geared at providing the homeowner facing foreclosure sound information and critical questions to consider when thinking of a short sale.  I’ve recapped below for some important posts you  may want to review:

Short Sale Checklist  (what you will need to gather)

Can A Short Sale Hurt You? (its not always the right answer for all)

Mortgage Debt Relief Act (can it help you?)

Should you do a short sale? (sometimes your CPA and attorney need to assist in this decision)

Short Sales – You NEED a professional’s help

Before you do a short sale … (have you exhausted all options for a loan modication or other options?)

Today I met with the local short sale team for Wachovia.  And wow, THIS is what a bank needs to do.  They’ve thought it out.  How do they best meet the needs of their borrowers in distress, while at the same time as they lessen the loss for the bank?  Well, they start by taking it local.  We have our own Wachovia short sale team here in the Bay Area.  I now have direct numbers for them!  That means, when I list a Wachovia, World Savings or Golden West short sale, I can call up my short sale manager and get the process started immediately.  They will actually schedule a face to face sit down interview with me and our mutual client (the homeowners).  They can pre-qualify the hardship. 

Once we get an offer… how’s a 1 week approval sound?  Nice huh?  Close in 30 days after that? Yes, it can happen. 

If you have a Wachovia, Golden West or World Savings loan in danger of foreclosure, please see me about the prospects of a short sale.  I think for once in my life, I can say with certainty, THIS BANK wants to avoid foreclosure.  They want to help you, as a homeowner, to preserve your credit and future home buying possibilities as much as possible.  They want to lessen their loss by helping you secure a short sale now, vs. a costly foreclosure months from now (when surely the property value has declined even further). 

You need experience on your side.  Use a listing agent who knows the Wachovia system, and knows how to package the short sale to get this quick approval process started.  Be ready to get your home sold in a predictable fashion.  We’ve all heard the horror stories about short sales, but Wachovia has set out to change that.

Call me to start the process.

Catherine Myers, REALTOR
Alain Pinel Realtors
925-683-2125

Serving Contra Costa County and some areas of Alameda County i.e. Walnut Creek, Danville, Concord, Clayton, Pleasant Hill, Martinez, Lafayette, Orinda, Moraga, Antioch, Brentwood, Pittsburg, Bay Point, San Ramon, Alamo, Dublin, Pleasanton, Livermore and surrounding areas.  I’ve closed dozens of short sales and have the experience you need to get the deal done.  Also, referrals to attorney and CPA’s available.

Wachovia is said to be unveiling a new streamline short sale program and even talks about possibly having agents contact them first for what may amount to be one of the closest things to an “approved” short sale we can get.  Looking forward to hearing more about this program, and am gathering lots of information!

So, if you have a Wachovia home loan that is in danger of defaulting, please give me a call .  Wachovia’s approval process is one of the fastest out there right now.

Catherine Myers, REALTOR
Alain Pinel Realtors

925-683-2125

Serving Contra Costa, Alameda and parts of Solano County. Helping people avoid foreclosure.  Learn more about the short sale process.

This week JPMorgan Chase opened two “Home Ownership Centers.”  At these centers you can talk to financial advisors regarding your current Chase, WaMu/Washington Mutual and EMC home loans.  These centers are geared toward people in danger of losing their homes to foreclosure.   Here you can sit with an advisor and try to modify your loans, or talk about ways to avoid foreclosure.  Reportedly, JP Morgan Chase has reduced interest rates or deferred principal on over 300,000 loans since 2007.

To talk to Chase about loan modifications, the centers are located in the East Bay and in the South Bay at:

5050 Broadway, Oakland  (MORE INFO, hours, directions at Chase.com by clicking HERE)
866-550-5705

2915 Stevens Creek, Santa Clara  (open 3/18)

They will also be opening centers in Stockton and Sacramento.

Hoping they’ll see the need to open one in Contra Costa County, but no news on that yet.

According to Cynthia Thompson, a Chase Home Loan Executive in Oakland, the criteria to gain help at one of these centers are homeowners facing financial challenges, or difficulties making their mortgage payments.   At the home ownership center homeowners will be able to get 1 on 1 loan counseling/advising.  They’ll take their financial information, try to understand the challenges before them and then try to find a long term solution to ensure they have an opportunity to maintain their home ownership opportunities.  Their forecast is to try to reach out to over 400,000 families.  Solutions may include adjustments to the interest rate, extension of loan terms, principal forbearance (Ms. Thompson noted they do not currently look at principal reductions).

For other office locations, office hours, what to bring, what to expect and directions: Click on:  Chase Mortgage Modifications, Home Ownership Centers

Catherine Myers, REALTOR
Terry Osburn, Broker Associate
www.CCShortSales.com
Alain Pinel Realtors

925-683-2125

Serving the needs of homeowners wanting to avoid foreclosure with a short sale. . . Contra Costa, Alameda and some areas of Solano County.

Sure, this sounds opposite of what many realtors may say. But it’s the truth. A short sale is not always the right answer. Be sure you connect with a good attorney from the beginning. Be sure you will be protected down the line. In California, there are some very specific protections for homeowners with your original (first) loan on the property. They call that a “purchase money” loan in California, if it’s your primary residence, it may be considered NON RECOURSE. That means in a foreclosure, the lender can NOT go after you for any further remedies, damages or deficiency. HOWEVER, tucked away into many of these short sale letters of “approval” is language that potentially change that for you. Some of the worst offenders have language such as that you will be liable for the deficiency. Or that they MAY reserve the right to pursue you for the deficiency balance. The most blatant language is from Bank of America that says very plainly that if you do move forward with the short sale, YOU ARE turning the remaining amount owed into a “collectable balance” and you will be forwarded to collections. So are you turning your “non recourse” debt into a collections? Possibly. Do you know what you are agreeing to when you complete a short sale and sign off on their approval? You better…

The worst offenders:

1. Bank of America
2. Countrywide