NEW FHA Changes that can affect you as a Borrower

As FHA makes their changes we are one step in line with them in letting our client know what to expect. Here is a message from Brian P Forester, a mortgage officer we work with at Tri-County Mortgage to catch you up to speed on what will happen with FHA loans effective September 7, 2010.



Should you have any questions concerning this message and currently are working with a lender for FHA financing, please contact your lender for more information.

The information provided herein is a consumer message and not for the promotion of any lending products. Dawnmarie Hatfield,Keller Williams Realty and/or its affiliates can not guarantee the validity of this message and defer said information or inquiry of such to a licensed professional mortgage lender to discuss with any borrower.

NEW HAFA RULES TAKE EFFECT

HOMES FOR HOMETOWN HEROS- Price Reduced

PASCO COUNTY, FLORIDA (HUDSON)

GREAT LOCATION!

Price Reduced

Shadow Lakes Community- Minutes from Golf Courses

$164,999

MLS#7422067 See our Virtual Tour .....................................

For a Podcast of this Property .........................

For More Information please contact:

Dawnmarie Hatfield,TRC,AHWD,SFR,REOs, Realtor (Keller Williams Realty)

(727) 772-8919 ext 149 or hatfieldhomes@tampabay.rr.com

*Address is protected for seller's security. If you do not have a real estate license with authority to show property, you must make an appointment with a licensed party to preview this property. Safety for all is of upmost importance and all parties that preview this property must be registered prior to show. Thank you for your understanding and cooperation.

Foreclosures and Short Sales

• 

  5 Tips for Buying a Foreclosure

  Get prequalified for a loan and set aside funds, and you’ll be ready to purchase a foreclosed home. Read
• 

  6 Tips for Buying a Home in a Short Sale

  By preparing for a real estate short sale, you can emerge with a great home at a favorable price. Read

Visit houselogic.com for more articles like this.

Copyright 2010 NATIONAL ASSOCIATION OF REALTORS®

HOMEOWNER ASSISTANCE PROGRAM FOR OUR MILITARY

The Department of Defense (DOD) is now offering the Homeowners Assistance Program (HAP) to eligible service members and federal civilian, including non-appropriated fund, employees. The program is to assist eligible homeowners who face financial loss when selling their primary residence homes in areas where real estate values have declined because of a base closure or realignment announcement.

The American Recovery and Reinvestment Act of 2009 (ARRA) has also temporarily expanded the HAP to assist service members and DOD employees who are wounded, injured or become ill when deployed, surviving spouses of service members or DOD employees killed or died of wounds while deployed, service member and civilian employees assigned to BRAC 05 organizations, and service members required to permanently relocate during the home mortgage crisis. For more information go to www.hatfieldhomes.org

NEW GUIDELINES FOR FHA –APPROVED CONDOMINIUMS

Finally, the Community Association Institute (CAI) has made a difference. New guidelines call for FHA-approved condominiums to be financially stable and require the mortgage lender to approve the association budget, reserve account and more.

The negative is that we may see Lenders resist it because it will be more work for them, but overall it is a great idea.

Condominium buyers can now purchase knowing that their lender has reviewed the association's financials and found them to be mortgage worthy.

Not only can the qualified buyer purchase with only a 3.5 percent down payment, the mortgage lender must review the reserves, and make sure the insurance policy is current.

CAI is the national voice of association-governed communities, which include homeowners associations, condominiums, cooperatives and other planned communities.

If you are an FHA Buyer and are interested in condos, talk to your real estate agent and lender to see how this may assist in your home search.

HOMEOWNERS IN MORTGAGE DISTRESS

If your mortgage payments are delinquent and you have not contacted your bank, you should do so immediately. I have worked with several sellers that have the idea they can't afford the house, nor the real estate commission, to sell the house with a Realtor, so they would rather just walk away from their home and abandon the house. What homeowners do not realize, is the mortgage that you obtained to finance that house remains attached to you even if the bank that takes over the home sells the property. The contract was between you and the bank and most likely was not transferrable. So if you walk away from the home, you not only look at a future judgment being placed against you (if not tended to can end up costing you far more than the loan did itself) but also a lien on any other property of asset value. It also reduces your chances in obtaining another loan and can cause damage to your credit rating.

As a homeowner in distress, contact your lender. Tell them your financial situation has changed. If you have made your payments on time and are in good standing and still have your job, you may qualify for a loan modification so you can stay in the home. If you have missed payments or the bank does not find you to qualify for a loan modification you may have the option of selling your home in a short sale process, which really isn't short at all.

A short sale involves a lender or investor agreeing to collect less than the balance owed on a mortgage debt out of the proceeds of a negotiated sale of the property. Often, a short sale is the last alternative to foreclosure available to distressed homeowners and banks. If your bank agrees to accepting a short sale, you need to hire a realtor familiar with the short sale process. Then you must wait for a buyer who has financing to close the deal and will make an acceptable offer to the bank. If your property has a second mortgage or home-equity credit line, you also need to negotiate how much that lender will receive from the sale proceeds. Sometimes that second mortgage lien may be worthless, but that bank has a legal power to block the short sale by refusing to sign on the deal. And we have come to find that banks, mortgage providers and bond investors are conflicting in their requirements.

But Homeowners may be in for some relief. Believe it or not the first choice for lenders was to keep borrowers in their homes by offering loan modifications as an alternative to foreclosure. According to the Office of the Comptroller of the Currency on September 30, 2009, more than half of those modifications of delinquent mortgages re-defaulted within a year.

Because of this, Obama's administration has now implemented a new standardized short sale plan that is scheduled to roll out in April 2010 which will require lenders to consider borrowers for a short sale on their primary residence 30 days after missing two consecutive payments on a modified loan or after a borrower requests a short sale.

With this plan, the Department of Treasury's program will pay up to $1,500 for a homeowner to relocate, $1,000 to loan servicing companies that accept a sale and a maximum of $1,000 to help settle a second mortgage or subordinate lien. And the lender must agree to release the borrower from all liability for repayment of the mortgage.

Now if I was a Homeowner In Distress, I would think twice about abandoning my home and do whatever it took to communicate with my lender. Whether it be a loan modification or a short sale, in the end I would have saved my credit and my sanity.

Homeowners could find liens against property with bad contractors

If you've been in the market to purchase a property in short sale, you may want to read this article (Click here) released by the Tampa Tribune concerning properties with liens pending against properties as a result of contractor non-payment to their construction vendors. While this article shares an incident with one bay area contractor, you buyers of short sales out there need to be aware that along with those amazing prices on properties deficient in their mortgage payments, comes possible tax liens, construction liens, attorney's fees, court costs, past due Homeowner's Association Fees, delinquent Homeowner Association Assessments and more.

The market may be pleasing for buyers, but remember "Caveat Emptor" (let the buyer beware). Examine the property and buy at your own risk, that would include not only include a full inspection of the home itself, but of its court and title records to verify what history you will be purchasing along with the home.

GREAT TIME FOR VETERANS TO BUY

VA Loan Still Good Option in a Challenging Economy

More service members and veterans are using their Department of Veterans Affairs (VA) home loan guaranty benefit, as VA's loan program remains a strong option in today's housing market. No-down payment loans are increasingly difficult to obtain with conventional financing. Under recently enacted legislation, VA now uses a locality-based approach in determining ceilings on its no-down payment home loans. VA no-down payment loans are available for as much as $729,000. Larger VA loans may be obtained with relatively small down payments. See full article.Visit the Military.com PCS/Home Buying Guide. It will help you sort through the moving process and ease your PCS. This guide offers moving checklists, articles about finding homes in the right neighborhood, tips for selling your home fast, and much more.