What happens after a foreclosure

How to gain leverage against your lender after a foreclosure sale.

http://www.trulia.com/voices/Foreclosure/My_house_in_SD_was_just_sold_at_auction_My_loan-144574-p_1-recent?answerId=468739&thisanswer=1#left_content

While answering this post. I realized that not only can the california foreclosure consultant act be used potentially undue a foreclosure sale, the same logic could be used for challenging your credit report or a collection on the deficiency after a short sale.

Making Home Affordable - Look Up Your Loan

check to see if you have a fannie mae or freedie mac loan

this information may be useful to short sale specialists and homeowners.


Making Home Affordable - Look Up Your Loan

realtor short sale specialists

Short Sales: The Basics for REALTORS from the National Association of Realtors

Short Sales: The Basics for REALTORS from the National Association of Realtors: "What is a short sale?

A short sale is a transaction in which the lender, or lenders, agree to accept less than the mortgage amount owed by the current homeowner. In some cases, the difference is forgiven by the lender, and in others the homeowner must make arrangements with the lender to settle the remainder of the debt.

Why is the number of short sales rising?

Due to the recent economic crisis, including rising unemployment, and drops in home prices in communities across the nation, the number of short sales is increasing. Since a short sale generally costs the lender less than a foreclosure, it can be a viable way for a lender to minimize its losses.

A short sale can also be the best option for a homeowners who are “upside down” on mortgages because a short sale may not hurt their credit history as much as a foreclosure. As a result, homeowners may qualify for another mortgage sooner once they get back on their feet financially."

short sales in orange county and san diego

Homeowners tend to walk away and accept foreclosure after a 15% in their home value

REALTOR® Magazine-Daily News-More Owners Walk Away When Underwater

More Owners Walk Away When Underwater
A study of the Massachusetts housing market by researchers from Northwestern University and the University of Chicago concludes that a home owner’s propensity to default increases the further their loan goes under water.

The study found that home owners begin to walk away after declines of 15 percent or more. More than 17 percent of households would default, even if they can afford to pay their mortgage, when the equity shortfall reaches 50 percent of the value of the house.

for more information on walk away plans and walkaway strategy

Wage Deflation in Our Midst | The Big Picture

If there is wage deflation then it will be interesting to if san diego real estate prices can stablize and recover for current levels.

As wages decrease the pool of qualified buyers is likely to shrink.



Wage Deflation in Our Midst | The Big Picture: "A survey conducted by YouGov for the Economist magazine found that 5% of respondents had taken a furlough this year and 15% had accepted a pay cut (see The Recession and Pay: The Quiet Americans on page 33 of this week’s edition).

As wages deflate, workers are looking for ways to supplement their shrinking income base, for example, by moonlighting. Indeed, a poll undertaken by CareerBuilder.com and cited in the USA Today found that one in every ten Americans took on an extra job over the last year; another one in five said they intend to do so in the coming year. These numbers are double for the 45 to 54 year olds who now see early retirement, once around the corner, as an elusive concept."

California Real Estate short sales and price trends

May sales and price report

Existing, single-family home sales increased 35.2 percent in May to a seasonally adjusted rate of
556,590 on an annualized basis.

· The statewide median price of an existing single-family home increased 4.2 percent in May to
$267,570, compared with April 2009.

Inventory on homes priced under 400,000 is very low.
In San Diego many of the lower priced homes are short sales and most of the short sales already have offers.

Lenders get immunity from foreclosure prevention act

7 lenders get immunity from state foreclosure prevention act - Sacramento Business, Housing Market News | Sacramento Bee

Bank of America Home Loans, CitiMortgage and Carrington Mortgage Services are among the first seven lenders and loan servicers granted immunity from the state's foreclosure prevention act launched this week in California.

The new law makes lenders prove to the state that they have a comprehensive loan-modification program that helps borrowers stay in their homes. Those that can't prove it to the state's satisfaction must wait an extra 90 days before foreclosing on borrowers.

More institutions that received quick exemptions from 90-day delays: EMC Mortgage, Select Portfolio Servicing and Kondaur Capital Corp., the state Department of Corporations reported on its Web site. The law, which took effect Monday, prompted 41 applications this week from lenders and loan servicers aiming to prove their modification programs meet the state's test. Many more are expected next week.

For more information on San Diego Short Sales

for more on foreclosures and short sales