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Linda's Blog

By Linda K Mayer, Realtor®, SRES | Agent in 91750
  • Bank of America's New Guidelines for Short Sales

    Posted Under: Market Conditions in California, Home Selling in California, Foreclosure in California  |  January 22, 2013 1:27 PM  |  71 views  |  No comments

    Bank of America's New Guidelines for Short Sales

    I see so very many posts right now about short sale information.  At the beginning of this year, I saw a slow down on approvals from everyone on short sales.  So my prediction and opinion I was relating to my clients was that the banks are going to slow down on approvals and move to the foreclosure option.

    My opinion was based on the fact that when this whole mess began and Obama 'bailed out' the banks, he gave them a deadline for getting rid of bad debt (homes behind in their mortgage payments).  The deaadline was December 31, 2013.  Since short sales take quite a bit of time and many have a few false starts which also delays the process, it only made sense that the banks would have to start foreclosing instead of dealing with the short sale process.

    And now, Bank of America has been the first to start this practice.  You can see from the guidelines below that this is what they intend.

    BofA short sale guidelines

    I also predict that home values have gone up due to a sharp decline in foreclosures and short sales when the banks stopped for the holidays.  Since the prices have gone up, many sellers have taken advantage and are now starting to list their homes for sale. With the rise in homeowners selling and the rise in foreclosures, one can see that with supply and demand being what they are, the prices should drop slightly during the year.

    Hopefully you can see, that this year, NOW is the perfect time to buy.  Before the interest rates start to rise, before the prices get all out of hand again. 

    And if you are thinking of moving, definitely pick a local expert and someone you can trust.  I will be more than happy to answer your questions or help you with your real estate needs.


    Serving the 210 Corridor - the cities of Monrovia, Duarte, Azusa, Glendora, San Dimas, La Verne, Claremont, Upland, Pomona, Chino, Chino Hills, Rancho Cucamonga and Fontana.

    Warmest Regards,

    Linda K. Mayer, Realtor

    License # 01767321

    A Realtor you can Trust!

    (626) 824-8927 Cell

    LindaKMayer@live.com

    Linda's Website

  • The American Government in the Real Estate Business

    Posted Under: Home Buying in California, Home Selling in California, Foreclosure in California  |  January 10, 2012 3:55 PM  |  324 views  |  2 comments

    The American Government in the Real Estate Business

    Okay, so just imagine it!  Our American Government (who has already gotten into the automobile industry, the banking industry and the list goes on and on...) has started the discussion of rental homes.  Ben Bernancke has 'suggested' that we start a nationwide government supported "REO" rental program.  I'm really trying not to preach politics here, so I'll just stop at that.

    Some proponents suggest the rate of return by renting these homes out for now would be much greater than the prices at which they have been selling on the real estate market right now.

    Those against it suggest that home ownership should be promoted during this time and not discouraged as they feel this program would do.  Not to mention the fact that the taxpayers, lenders and bond investors would bear the burden of this cost.  Another bail out in the making.

    Some of the things they don't ask are, how do you rent an REO where there is major repair work to be done?  Who is in charge of that and who pays for it? There are many more questions I can pose here and I'm sure you are thinking of a few yourself.

    You can read more about the topic HERE on HousingWire.

    If you are interested in buying or selling or simply have questions about real estate, please feel free to contact me.  I will be more than happy to assist you!

    Warmest Regards,

    Linda K. Mayer,

    Realtor, Office Manager  

    License # 01767321

    A Realtor you can Trust!

    (626) 824-8927 Cell

    (909) 670-2711 Direct

    LindaKMayer@live.com

    Linda's Website

  • 2011: A Year of foreclosure, Strategic Defaults and Much More

    Posted Under: Market Conditions in California, Home Buying in California, Foreclosure in California  |  December 30, 2011 12:18 PM  |  412 views  |  No comments

    2011: A Year of foreclosure, Strategic Defaults and Much More

    Okay, so I was reading this article on the HousingWire.  Here is a quote from the first paragraph, "RealtyTrac is calling 2011 the year of foreclosure litigation, strategic default, failing foreclosure law firms and shadow inventory."  Kind of interesting, if you ask me.  Foreclosure litigation... who would have ever thought!

    I mean, really, if you get foreclosed on, it's for a good reason like you didn't keep up your end of the contract, right?  But with banks failing right and left and other loans being sold and transferred (and not properly, I might add) without signatures or other processes, there have been many mistakes made.  One that comes to mind is the neglect of the banks to transfer all loans into their own names - Countrywide to Bank of America comes to mind. Those deeds never were re-recorded, so does that make them invalid?  Some courts say yes and others say no.

    Let's take strategic default.  Some would say that the house the own has a loan that is much higher than what the property itself is worth now.  For some of those folks, they have chosen not to make their payments to get out from under a home that isn't worth the money.  Others have said, "A deal is a deal" and know that the loan they got was/is a valid contract according to the time and value of the original contract.  This has caused more of an issue with lenders as some are allowing the strategic defaults to become short sales and not foreclosures.  It kind of reminds me of a parent allowing bad behaviors and then saying it wasn't their fault.

    A lot of law firms specializing in foreclosure and modifications have gone by the wayside.  Modifications are few and far between now and since there is legislation that doesn't allow for charging a fee up front, many agencies have stopped doing modifications all together.  It puts a damper on any business when they lose a line of product and the money it generates.

    This article was really interesting with more detail and subtleties than I have time for in this blog.  You should really click on the link above and read about it for further information.

    In the meantime, I wish you and your loved ones a marvelous New Year.  Here's looking to the new and exciting prospects this brings!

    champagne

    Warmest Regards,

    Linda K. Mayer,

    Realtor, Office Manager  

    License # 01767321

    A Realtor you can Trust!

    (626) 824-8927 Cell

    (909) 670-2711 Direct

    LindaKMayer@live.com

    Linda's Website


  • FLIP A HOUSE INSTEAD OF PANCAKES - OR - IS IT A GOOD TIME TO FLIP OUT?

    Posted Under: Home Buying, Foreclosure, Property Q&A  |  April 4, 2011 3:22 PM  |  338 views  |  No comments

    Okay, so... (don't ask me why I always start with that, 'cause I'm not really sure.  But now it's a thing!) My husband is on a kick... LOVES pancakes in the morning.  His pet peeve is when we go to a restaurant with amazing pancakes and they leave them out to get cold while the rest of our breakfast cooks.  He gets impatient and sends them back! Everyone knows pancakeshave simply got to be hot enough to melt the butter, etc.

    I can only equate this with some of the investors in the market today.  They pick up properties and have a set time-frame for them to be "flipped".  Just like my husband, they have this attitude of "get 'em while they're hot!"  I've even seen agents price them way too high just to appease their said investor.  This is only serving to create issues and I've heard more than one investor "flipping out" on their Realtor because of this.

    I can only say, wake up investors and Realtors! Maybe the investor needs to take a look at what is happening in the "flipping" world!  This can only happen if they have a great Realtor to steer them in the right direction.  I mean, after all, with the foreclosures being forecast at an all-time high for this year, doesn't it make sense that the mindset may be more on holding and renting at this timje?  If we have people losing their homes, doesn't it make sense that they would need to rent/lease during this time?  And with the amount of rentals on the market, doesn't it seem like there is going to be a shortage of houses thus driving up the rents?  Not to mention that the crazy amount of foreclosures is going to drive down the prices and leave those investors "stuck" with that property anyway!

    coin flip

     So, Realtors with investors, I've just gotta say that I personally believe the investors need a mind-flip and only we can help them.  It doesn't help your client(s) if you're not giving them the straight scoop.  Plus it's a lot easier if you don't have someone "flipping out" on you!

 
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