Short Sales and Foreclosure

Foreclosures

Homeowners threatened with foreclosure would in some instances get a 30-day reprieve under an initiative the Bush administration announced recently.

Project Lifeline

Dubbed “Project Lifeline,” the program will be available to people who have taken out all types of mortgages, not just the high-cost subprime loans that have been the focus of previous relief efforts.  The program was put together by six of the nation’s largest financial institutions, which service almost 50 percent of the nation’s mortgages.

How HOPE NOW will be helped many individual homeowners?

President Bush announced that representatives of HOPE NOW have developed a plan under which up to 1.2 million homeowners could be eligible for assistance. 

Many individual homeowners feeling financial stress have "adjustable rate mortgages," which typically start with a lower interest rate and then reset to a higher rate after a few years.  The HOPE NOW plan is designed to help subprime borrowers who can at least afford the current, starter rate on a subprime loan, but will not be able to make the higher payments once the interest rate goes up.  HOPE NOW members have agreed on a set of new industry-wide standards to provide systematic relief to these borrowers in one of three ways:

1. Refinancing an existing loan into a new private mortgage;
2. Moving them into an FHASecure loan; or
3. Freezing their current interest rates for five years.

Foreclosures seem to be abundant for many reasons

The economy, bad loans, increases in property taxes -- whatever the reason -- foreclosures are at an all time high and the statistics indicate that the numbers are going to increase.

If loan payments are delinquent 60 to 90 days (sometimes less depending on the lender) the inevitable is going to happen. The lender will begin foreclosure proceedings. This means that the potential for being homeless can occur in as little as 120 days. With the recent changes and collapse of the sub-prime mortgage market, (borrowers with less than stellar credit history or inability to qualify for a conventional loan) foreclosure bailout loans are scarce, if not impossible, to obtain. The terms of such loans if available, can be worse for the borrower than the original loan, creating momentum toward financial and emotional ruin.

U1st Mortgate Solutions will able to find a solution of your struggle. During that time, we have secured close to half a billion dollars in financing for homeowners and real estate investors. This page is dedicated to the real estate investor and the homeowner who is potentially facing foreclosure. The process is very simple. If you have a house that you are going to lose for whatever reason due to the inability to make the payment, call us. We will evaluate your situation on a complimentary basis. If we can refinance you out of the existing lien and place you in a superior situation -- we will do it!

Alternatively, we can put you in touch with one of our qualified real estate investors who will buy the house from you quickly and you can lease it back for less than you are paying due to rate increases on your loan or any other upward adjustments to your payment. A foreclosure will be avoided on the credit report and you will not have to move. .

 As Real Estate Consultant will provide you with a roadmap to regain your property or purchase another and assist you in making the right decisions as you proceed into a more positive future. As Real Estate Consultant will help you evaluate your entire financial plan, savings, budget and goals.

For the investor, this is an excellent opportunity to purchase tenant first properties at a preferred rate of return.  Future homeowner will be a winner.  The most important benefit of a pre foreclosure is the discount price. Usually, the present owner has no choice at that point other than to sell the house. So they will usually seriously look at just about any offer that comes in. Today's real estate market presents an excellent opportunity to purchase homes at up to half off of market value.

Many homeowners do become homeless because they wait until it is simply too late. A week before foreclosure and the homeowner is pressured out of desperation into doing something with an unscrupulous company that creates a situation worse than the previous one. Do not wait until the last minute. Denial is a terrible, expensive and costly emotion at this time. Understandable, but costly.

The most important benefit of a pre foreclosure is the discount price. Usually, the present owner has no choice at that point other than to sell the house. So they will usually seriously look at just about any offer that comes in. Today's real estate market presents an excellent opportunity to purchase homes at up to half off of market value.


For a complimentary, confidential consultation, please call Cecilia at (786) 290-7017

 Short Sale

How can I get out from under the debts on my home?

If the market value of your home is less than what you owe on your current mortgage, you may qualify for a legal, lender approved solution known as a Short Sale. A Short Sale can be accomplished by negotiating with your bank or lending institution to accept a sale of your property to a third party buyer for less than what you currently owe on your mortgage balance.

The short sale of real estate is not a questionable practice in today's softening real estate market, it may be a necessity. The short sale transaction is a legal and much more beneficial alternative to foreclosure or even bankruptcy. Lenders are motivated to accept short sale offers to for a number of good reasons. The short sale of your home can result in a win-win-win situation for all parties involved:

Win #1: You win by getting out of a financial predicament a clean transaction and a salvaged credit score. Your property is saved from foreclosure, thus helping you to save your credit rating. Allowing you home to proceed into foreclosure may adversely affect your credit for up to 7 years.

Win #2: The lender wins by avoiding timely and costly foreclosure proceedings which could lead to an even more costly expense of ownership of the real estate by the by the bank.

Win #3: The buyer of your property wins by getting a solid property at a good market value.

This articles will provide you with helpful information, resources and news to help you decide if a short sale is appropriate for your situation. There are other options to foreclosure and we're here to help you get a better understanding of what they are.