We had a surprise just before closing on what we thought was a traditional sale.  We found out the seller had a loan modification in 2015 that include and $80,000 junior lien from HUD. This made the payoff about $20,000 short to close and HUD would have to agree to take $60,000 to $65,000 and release the lien and note. According to the seller's attorney, HUD doesn't negotiate.  I don't believe that because after 500+ closed short sales I've never experienced a lender that would not work with us.

QUESTION:  Has anyone in SuperStar land negotiated a short sale with HUD as the junior lien holder and will they negotiate?

Does anybody know if Provident Bank ( not Provident Funding) does any short sales  or know how I can submit? 

Items that Repel Home Buyers

The seller’s market that was so prevalent a few short years ago seems to have shifted in favor of the home buyer. Thanks to an overall improvement in the economy and home prices that have risen by 10% or more for the past year, buyers are becoming a bit more selective about their purchase. Here are some items that scare buyers off and what you can do to fix it.

Foul Smells

Certain buyers may like fried food or indoor pets, but most people are turned off by unpleasant odors. This is especially true when the odor is noticeable when a person first walks in to the home.

Odors come in all shapes and forms. Various kinds of food, pets, and tobacco can leave behind distinctive smells. It is important to deep clean the home, the carpets and even the ventilation ducts to get rid of the odors.

Paper on the Walls

For 40 to 50 years wallpaper was quite the rage. Unfortunately, those days are gone. Since most people pick out a very particular wallpaper to go along with certain furniture and trim it is highly unlikely that the next person to buy the home will have the exact same taste. It is better to remove or cover up the paper with paint that is in a neutral tone. Wall paper on one accent wall can be a neat feature however. Using paint and stencils might be the best choice because it would be easy to paint over if it is not to the taste of the buyer.

Dirt

Many sellers fail to realize how important it is to have the home looking as clean as a brand new home. Most buyers do not look past what they initially see in order to understand the potential value of a place. They simply want to walk through and imagine their furniture, heirlooms and personal belongings in various spots in the home. That is tough to do when the sink is full of dirty dishes; the living room is a mess and all the floors need cleaning. Go through every room and thoroughly clean everything.

Sellers Standing Around

The vast majority of buyers prefer to look at a home without the seller present. When a seller is in the home during a showing it presents a bit of awkwardness for the real estate agent and makes the buyer feel pressure. This is easy to remedy: do not be present when the agent shows your home.

Old Items

If the home looks like you stepped back in time 20, or 30 or more years then it will be tough to sell. Old plumbing fixtures and doorknobs that have lost their usefulness scream out “lack of maintenance” and it will make potential buyers wonder if other things in the home are in need of major repair.

Less than the Truth

Thanks to modern technology it is easy to put together a large number of digital pictures and even a video of a home. These items, along with descriptions, need to be as accurate as possible. Putting up a description that omits the fact that a home is mere feet away from a train track or a picture that misleads about the size of a room can turn off not only buyers but agents as well.

Real estate agents are small business owners trying to earn an income and gain wealth. They have to steer their business through rough waters, deal with decreases in commission, handle difficult clients and compete with hundreds of other agents in the industry. You need a road map for success so you don’t get lost.  This article will show you how to winterize your real estate business.

Throughout the winter months, it’s cold, but your business doesn’t needs to! The general consensus in the industry is that agents experience a “slow down” time.  Buyers and sellers want to enjoy the holidays and not be trudging through the cold and the snow.  However, here are a few things real estate agents can do to prepare their business for this downtime.   

Agents can infuse “warm-weather” strategies into their business at this time.  They need to convince buyers and sellers that contrary to popular belief, winter months really are a good time to buy or sell. 

Here are a few tips on how to winterize your real estate business and convince buyers and seller, who would otherwise wait for spring, to buy and sell during the winter: 

Revive your market data

Debunk slow market myths.  Revive your local market statistics.  Show your sellers data that will support the fact that for the past few years the seasonal decline in the winter market is over-played.  Buyers who are looking in the winter are just as serious about signing on the dotted line as their fair-weather contemporaries.

Enhance and update your photos

During the summer months, curb appeal is one of the key components to drawing buyers.  A warm and appealing front yard can be used as a featured piece.  However, this tactic bombs out when it’s cold outside. Help your buyers and sellers use their “five senses” with your listings:  (1) make your photos look warm and inviting by using seasonal colors and holiday décor to create an amazing front yard to convince buyers that a home is worth viewing; (2) play holiday music in the background when they view your photos and the house; (3) make sure that when they view the house, stage fresh baked goods, mulled cider and scented holiday candles, just to name a few.

After you’ve re-staged the outside and inside of the house with holiday décor and call your professional photographer. The updated photos should show the interior of the home is worth looking at.  The more features you can show, the better chance you have of influencing buyers to view and purchase the home.

Sharpen Your Focus During This Time

Sharpen your focus on Expired and FSBOs during this time. When you go on a listing appointment in the winter months, offer free staging as a “winter selling bonus” if you think you might have to compete for the listing. A winter selling bonus of free staging can put you ahead of your competitors to get the listing and will present the home as a front-runner among potential buyers.

Warm The Chill On An Overpriced House

Sellers are may be anxious about listing in the winter and they want to set their price at $50,000 above the market analysis to see what happens…not good!  In order to sell a home in the winter, you have to list it at the right price.  As their agent you don’t want the listing to sit for the whole winter without an offer because it’s overpriced. Unrealistic pricing is a sure fire reason for the sellers to dump you and re-list with your competitor in the spring. It is imperative that you make sure your sellers understand that the right price will warm the chill and attract serious buyers who are willing to purchase it.

There are many other innovative ways on how to winterize your real estate business. Basically is boils down to being realistic and working smart. The best tactic of all for real estate agents during this time also is not to forget to go back to basics.

Hi folks,

Wells Fargo Short Sale Info

**********WELLS FARGO SHORT SALE FORMS

• Wells Fargo Short Sale Affidavit(PDF)^*
• Wells Fargo Homeowner Assistance Form ( Fannie Mae/Freddie Mac Form 710)(PDF)^*
• Wells Fargo Third Party Authorization(PDF)^*
• Wells Fargo IRS 4506T Request for Transcript of Tax Return(PDF)^*
• Wells Fargo FHA Short Sale Affidavit(PDF)^*
• Wells Fargo VA Homeowner Financial Worksheet(PDF)^*

 Also, here are details on my recent  Wells Fargo Short Sale closings.

•  Recent Successful Short Sales

By the way if this is your primary residence we may be able to get you $3,000 in relocation money to help with moving expenses.

Has anyone been having an even more difficult time getting the approvals over the last 4-5 months than usual?  Seems like lenders are holding back since the market has gotten better or is it just me? 

The Power of a Comparative Market Analysis When Selling Your Home

Most of the general public has access to various price lists when trying to sell an object. Online automobile databases offer average prices for used cars, auction sites can list recent sale of various electronics and even boats have a value listing guide. However, when selling a home it is better to get a comparative market analysis (CMA) from a local real estate agent or Realtor®. Here are some of the ways a CMA can help you.

Price Trends

The most obvious benefit is the ability to see current price trends. The CMA report will list out homes that have sold in the past 12 months in your immediate area. By organizing the transactions by date it is possible to see if home prices are on the rise or falling.

Value Placed on Square Footage

Since the homes will be listed with the square footage of each home sold, potential sellers can find out how much their home is worth based on the usable square feet in the property. In addition, if any of the sold properties had a basement or attic that was finished then sellers can also determine how the market values additional square footage. While it is common for basements to have a slightly lower price per square foot some areas may place it higher than others due to demand.

Value of Accessory Items

Most people usually feel that particular features of their home will bring more value to their home than the market will warrant. For example, expensive hardwood floors, custom paint finishes and high end bathroom fixtures may be quite expensive when purchased but their overall impact on the price of a home is not as high. Instead, things that improve usable square footage, more lighting or outdoor items like pools and decks will do more to bring up the price of a home.

Expected Time of Sale

A comparative market analysis will also show when a home was listed for sale and when an offer was made on the property. This gives prospective sellers a realistic expectation for how long it will take before receiving an offer and how long it takes for the home to actually sell once the offer is accepted.

Avoiding Unrealistic Prices

Along with homes that have sold your real estate agent can also provide a list of homes that either withdrew from the market or the listing simply expired. If the home did not sell within a time period that multiple other properties sold then there are a couple of explanations. Obviously, the most common issue is the price was too high for that particular market. Another common problem is the presence of a major repair issue with the home that the seller is unwilling to fix prior to sale. Having this information should help you do a better job of picking a price for your home.

Getting a detailed CMA report from your real estate agent will provide you with the best source of realistic information to help you decide if your can sell your home for your anticipated price and if it might sell in the amount of time you had hoped for.

Original Blog Post: What's a CMA? Comparative Market Analysis

Can franchising be the turning stone in the financial progress of Australian investors?

Reveal the story behind the over 90% prosperity in the Australian franchise sector and discover how becoming a small business owner developed into a winning strategy for ambitious entrepreneurs around the country. In the past few years, the evolving franchising industry of Australia have accelerated a wave of entrepreneurial minds streaming with great force towards finding success in the world of small business ownership. Franchising campaigns find thousands supporters each year increasing the number of franchising businesses in Australia up to 1180 in comparison with the 693 franchise systems which have been registered until 1998.

With over a little less than 100% prosperity in the sector and sales turnover estimated in more than 131 billion Australian dollars, buying a franchise has become a top preferred strategy by businessman across the country. Expanding Your Ideas Yet, not all franchising initiatives end with a rate-busting profit. According to the 2012 Australian Franchise report, a top challenge for the franchising sector of Australia continues to be maintaining standards in system processes. Without a proper strategy of success, most startups are doomed to failure. Exceptions can be made for enterprises working in the top industry categories such as retail trade, accommodation and support services, such as aged care and home cleaning franchises. The inexhaustible capacity of these markets offer 96% return of the investments for a short period of time. Becoming a franchisee is a journey of the entrepreneurial mind which reflects the transit of innovative business ideas to the railhead of success.

The obstacles which franchising investors meet along the long road of getting their business off the ground, builds a strong basis of experience. With a clear idea, high motivation and a pinch of confidence, the competent and persuasive franchisees will be able to push their startups out of the void of uncertainty which covers the outset period of three to six months prior to setting up a franchising business. Despite the vacillation, which comprises first-time investors and the size of the Australian market, the Griffith University research indicates that industry competition, uncertainty and franchisor cash flow are the least of the challenges which the Australian franchise sector creates for new business owners. Regardless of the 90% prosperity of the franchise industries in the country, one of the biggest challenges for the sectors remains the recruitment of franchisees. Yet, the university report shows a net growth in the franchise systems in the continent of nearly 15%.

The in depth researches and case studies of leading franchisors in Melbourne and Sydney, show the years after the Global Financial Crisis have been perfect time for investing in already established business and buying a franchise. Although, the region of Victoria and New South Wales offers a great number of businesses for sale, investing in retail and cleaning franchises remains a top winning strategy for most Australians. Whether or not a certain business is going to hit top-selling rates is a matter of motivation and innovative thinking. Every business, no matter how small it is, has availability of prospective. The question is, are you willing to give your best in order to become a successful business owner?

I need some guidance please. I have cash buyers who offered $50,000 for a two family condemned and uninhabitable property. Originally OCWEN wanted the buyers to increase their offer to $67,000 based on a drive by valuation. I proceeded to inform OCWEN that the property has been condemned and uninhabitable per the City.  I've sent them pictures of the outside of the property and the posted condemned notice. I've also emailed a list of the violations from the city plus I have informed them that the city is about to re-zone the property from a two family to a single family and if that happens the buyers will no longer be interested in the property and that they may get even less for the property if anything at all. They contacted me today stating that the valuation came in at $54,000 but they would like $59,000. I don't think that they even considered the repairs. What can I do? Any advice would be appreciated. Thank you.  

CLICK HERE & LISTEN: 

http://realestatemarketing.podomatic.com/entry/2014-10-01T15_10_45-07_00

Real Estate Marketing "The Podcast" How do I get listings or deals? #Investor #Realtor

David Bartels LIVE from Anaheim CA presentation

805-413-8000
http://www.homeloanadvocates.com/

Banks grant short sales for two reasons: the seller has a hardship, and the seller owes more on the mortgage than the home is worth.

The seller will need to prepare a financial package for submission to the short sale bank. Each bank has its own guidelines, but the basic procedure is similar from bank to bank.

A few examples of a hardship are:
Unemployment / reduced income
Divorce
Medical emergency
Job transfer out of town
Bankruptcy
Death

The seller’s short sale package will most likely consist of:
Letter of authorization, which lets your agent speak to the bank.
HUD-1 or preliminary net sheet
Completed financial statement
Seller’s hardship letter
2 years of tax returns
2 years of W-2s
Recent payroll stubs
Last 2 months of bank statements
Comparative market analysis or list of recent comparable sales

Writing the Short Sale Offer and Submitting to the Bank

Before a buyer writes a short sale offer, a buyer should ask his or her agent for a list of comparable sales.

Banks are not in the business of giving away a home at rock-bottom pricing. The bank will want to receive somewhat close to market value.

The short sale price may have little bearing on market value and may, in fact, be priced below the comparable sales to encourage multiple offers.

After the seller accepts the offer, the listing agent will send the following items to the bank:
Listing agreement
Executed purchase offer
Buyer’s pre-approval or proof of funds letter and copy of earnest money check
Seller’s short sale package.

The Short Sale Process at the Bank

Buyers may wait a very long time to get a response from the bank. It is imperative for the listing agent to regularly call the bank and keep careful notes of the short sale process.

Buyers may get so tired of waiting for short sale approval that they may feel the need to threaten to cancel if they don’t get an answer within a specified time period.

That type of attitude is self-defeating and will not speed up the short sale process. If buyers are the type with little patience, perhaps a short sale is not for them.

Following is a typical short sale process at the bank:
Bank acknowledges receipt of the file.
A negotiator is assigned.
The bank orders a valuation of the property.
The file is sent for review or to the investor.
The bank may then request that all parties sign an Arms-Length Affidavit.
The bank issues a short sale approval letter.

Some short sales get approval in 3 weeks. Others can take as long as 12 months. A typical Short Sale transaction takes 4-6 months to complete.

Finding that Elusive Starter Home

The past few years have brought several changes in the real estate industry. The housing bust of 2006-08 led many people to either sell or walk away from their home. As the market is continuing to rebound, many investors have scooped up homes at affordable prices and are offering them as rental properties. In addition, other investors have bought homes at discounted prices with the sole intention of selling them at near-full value for a profit. So the question remains; how does a first time homebuyer find an affordable starter home?

Consider a Different Location

Too many times a young person or couple will buy a home in hopes of expanding their family. That leads to choosing a home that is convenient to good schools, nearby shopping and plenty of entertainment activities. However, for people that may be a few years away from starting a family, the location should be different. Buying a home within the city limits, for example, where the owners can be extremely close to work, could be a better fit.

Consider an Older Property

Younger people often get caught up in the dream of buying a new home and settling in with the smell of fresh paint and recently rolled carpet. However, new homes usually have a much higher price than older homes.

While it is true that an older home may either need a bit of repair before purchase or more maintenance compared to a newer home, the savings in purchase price can often offset the repairs and maintenance expense. In addition, young ambitious people may be able to tackle some, or all, of the maintenance and repairs on their own which can save them more money in the long run.

Tone Down Expectations

A starter home is simply a way for most people to get experience with the entire home buying process. This means that potential buyers should look at the home as a learning experience. Most individuals can get by with far fewer amenities than what they are accustomed to. Or, instead of giving up nice amenities, it is possible to buy a much smaller home and save up for a bigger home in the future.

Have Financing in Order

Since there seems to be a bit of competition for starter homes it is wise to have the financing in place before looking for a home. Putting an offer on a home with a firm pre-approval letter from a local mortgage lender will make the whole process smoother and give you a better chance of getting your offer accepted.

It may take some time, but with a little patience and realistic expectations a qualified borrower can find that starter home that will set them on the path to achieving their financial dreams.

↓↓Start your home search today!↓↓

[Janesville Area]

http://www.JanesvilleRealtor.com

[Madison Area]

http://www.MadisonWIForSale.com

How to get a mortgage approved with Bad Credit Score?

Over 2600 square feet on third acre in Clinton, WI

511 Wagner Dr, Clinton, WI 53525

$169,000

KEY FEATURES
Year Built: 1995
Sq Footage: 2676 sqft.
Bedrooms: 3 Beds
Bathrooms: 3 Baths
Floors: 1
Parking: 2 Garage
Laundry: In Unit
Lot Size: 0.32 Acres
Property Type: Single Family House

DESCRIPTION

Spacious 3 bedroom ranch with open floor plan. Living room features a vaulted ceiling and wood burning fireplace. Office and hot tub in finished lower level. Price well below assessed value. Possible Short Sale.

ADDITIONAL LINKS

• Website: http://511wagnerdr.besthomearound.com/

Contact info: 
Michael Collins
Rock Realty
608-921-8536

Just initiating a short sale with Ditech with Ginnie Mae as the investor. Trying to see if I need to start off the jump escalating anything to at least get off on the right track...   Does anyone know if the servicer will pay for a short sale processor..? Thanks

Here is an article I found about the act. Hopefully they will get it renewed so we can get back to business and give the economy a boost.

http://www.latimes.com/business/realestate/la-fi-harney-20140914-story.html

My clients were denied a loan mod back in January and were suggested by Ocwen to find a shortsale agent and list their home for sale. So that's what they did, they contacted me and we listed their home. My clients accepted an offer and we emailed it to the bank along with the RMA and all corresponding documents to initiate the shortsale in March. I was told it would be 45-60 days for the review process and I was given an appt. with the "relationship manager" for end of May. In our first conversation, she confirmed all documents were in and under review, scheduled another appt. for two weeks later, said the file had to first go through a govt. budget and finance review to proceed. Secondly it would have to go through another loan mod review (even though it was just denied for loan mod) and then proceed to the shortsale review, it was going to take some time. So we talked every two weeks on our scheduled appts and in between I would call the bank to see if there were any updates. Last month they wanted updated bank statements and paychecks so I emailed right away. Last week, I was told the review was just about complete and that I should have the HUD  90045 by this week. In our scheduled appt, the relationship manager said she had a "surprise to tell me", that my clients were approved for a LOAN MOD! Apparently, FHA guidelines have changed and they now qualify. Well, my client's are all packed, ready to move! We have an ALL CASH buyer, who has waited ever so patiently, ready to close escrow! LOAN MOD? ARE YOU KIDDING ME?!!!! I asked what were their options, and she said if they don't do the loan mod, the bank will foreclose, no option for shortsale! I'm shocked, I was told I would have a HUD 90045 today and instead got a Loan Mod Approval! Where do I go for help? Any suggestions?