Home Mortgage and Refinancing » foreclosures

How To Find Foreclosure Help

admin — Thu, 08 Oct 2009 09:58:07 +0000

With the economy as shaky as it has been, more and more people are finding themselves in the position to lose their homes. They are discovering that they don’t have the money to be able to afford their mortgage. All too often, one missed payment can equate to a person having to look for foreclosure help.

If you are searching for an answer to your foreclosure help questions, you’re not alone. There are lots of people who are in the same boat that you’re in. fortunately there are some things that you can do to keep your home and to get your credit rating back where it belongs.

The first thing you should see is if you can change the terms of your mortgage. Lenders may be able to adjust your mortgage, especially if they know that you can’t afford to make your mortgage payment for a specific reason. After all, they want to get paid, they don’t want to own your home.

Those who are successful in changing their mortgage terms may have to pay a bit extra in interest for a time, but this can be a small price to pay for being allowed to stay in your home. The long term payment truly makes sense in this case.

You may also want to look into a repayment plan as well. These are easy to arrange and can help you to avoid foreclosure in most instances. You simply call the bank or mortgage company as soon as you realize that you are getting behind and work with them to make payments.

If you happen to miss only one or two months, the loan company can break up those payments in to the next six months worth of payments, making your monthly budget a bit more expensive but allowing you to keep your home and a good credit rating.

If you have missed a few payments and foreclosure looks inevitable, you may want to see if you can give your house back to your creditor in exchange for complete forgiveness. This means that you will not be able to stay in your home but you also will have no black marks on your credit and that you won’t owe more on your home.

If you are in this type of a situation, take a look at filing for bankruptcy. Filing for bankruptcy is the ideal solution for some people as it allows them to wipe the slate clean. There are, however, specific rules that are connected with filing for bankruptcy, so make sure you look at this entirely before you make the decision to file for it.

You may also be able to borrow enough money through a new mortgage to pay for your old, overdue one. If you have equity in your home this may work especially well.

It can be frightening to think about losing your home, but if you act on the situation quickly, you may be able to change things. The sooner you look for foreclosure help, the better your overall situation may be in the end.

Feasting on Foreclosures – Time for a Termite Inspection?

admin — Wed, 09 Sep 2009 02:05:35 +0000

The recession has been in full swing for several years now. Unemployment numbers are frightening. Millions of homes are in foreclosure. And the real estate market has been stagnant. But if you think those homes have been vacant, think again. Guess who moved in. Termites!

The root cause of the problem of course, is neglect. The longer a home has been neglected, the higher the risk for termites. In some cases the homeowner was in financial trouble long before foreclosure. It is a safe bet that termite inspections were never done. Plumbing and roof leaks, also a result of neglect, make vacant homes even more attractive to termites.

US property owners currently pay between $1.2 and $5 billion dollars per year for termite treatment and damage. That amount is more than all the wind damage from hurricanes, tornadoes and other storms put together. Annual termite inspections dramatically reduce the risk of serious termite damage.

An average drywood termite colony consists of 5,000 to 10,000 termites according to researchers. Colonies can mature and begin to swarm in about 4 years. During that period a single colony can split into multiple colonies.

Termite researchers believe it is possible that termite colonies in foreclosed homes are growing larger than normal. Termite control professionals say their observations in the field agree. Neglect and the lack of termite inspections is the cause.

Banks selling foreclosed homes have typically never seen those homes. They have no knowledge of the condition of the home or of any problems that might exist. No property disclosure report is given to buyers and the homes are sold in “as-is” condition. The buyer does have the right of inspection, however. Savvy buyers will obtain both a termite inspection and a complete home inspection by reputable professionals.

If a termite inspection reveals problems, the bank will not make repairs. Unfortunately, there is no negotiation on this issue. This is the time to get estimates for both termite control and damage repair. Any offer made on the foreclosed property should reflect the value of the property minus termite treatment and repairs.

The bottom line is that homes in foreclosure have typically been neglected, often for years. These properties have a high risk of termite infestation. The longer the period of neglect, the higher the risk. Before committing to purchasing such a property, a professional termite inspection should be required. The cost of the inspection and termite control is minimal compared to the cost of future damage.

Inexpensive Rental Property Repairs

admin — Tue, 08 Sep 2009 07:20:35 +0000

There are some really big differences between fixing up your own home and a property you plan to rent out. One of those differences is often your budget for repairs. If you want to make a profit on your investment property, repairs must be kept down to the very minimum.

Because repairs are also necessary to attracting and maintaining quality renters, it is also important to learn how to make repairs on a limited budget. The good news is that there are some repairs and improvements which can be made to your property without spending a great deal of money.

Make a point to go through the house and replace all of the older and outdated switch plates. New switch plates need not be an expensive investment. In fact, most switch plates can be replaced for just a couple of dollars each, at the most. You can easily replace all of the switch plates for less than $20.

In some areas, you may wish to go ahead and ante up for switch plates which are slightly nicer, such as in the living room and foyer. You will pay a couple of dollars more for brass plates; however, even at around $5 each, that is still not much money to pay for an improvement that can really make your rental property stand out.

Also doors are an area where you can make a big difference in your rental property without spending a ton of money. Doors are one of the first things that a prospective renter will notice so it can really be a worthy investment to make when you are trying to attract quality renters.

When you are changing out the doors, be sure to also consider changing out the handles as well. Older door handles can really make a place look drab. For just a few dollars, you can easily replace those old handles with brass finished models. S handles are popular for bedroom doors and bathroom doors and only run a little bit more.

You can make a big impact for not much money with the trim. Take a good look at the trim in your rental property. If it appears worn and cracked, it could be time to replace it. You do not necessarily need to spring for crown molding throughout the entire property; however, adding it to the entryway or the living room can create a great impact.

You might also wish to focus some attention is the entryway or foyer. Keep in mind that once prospective renters step through the front door this is the first area they are going to see, so you want to make sure you make a good first impression. Tiling it can be a great way to do that. For a small foyer area measuring around 8×8 you can easily tile it for less than $100.

Keep in mind that kitchens are one of the most important areas for most people when they view a property for rent, especially women. While it may not be practical to replace all of the cabinets, it can certainly help to paint them. Consider repainting them using a semi-gloss white paint and do not forget to replace the knobs when you are finished. Even less expensive plastic knobs can breathe new life into older kitchen cabinets very quickly.

What Costs to Consider when Purchasing Rental Investment Property

admin — Tue, 08 Sep 2009 06:38:01 +0000

The process of searching for investment rental property can be exciting; however, before you get too excited it is important to run some preliminary numbers to make sure you know exactly what you are facing to ensure a successful investment.

Be sure to carefully look for potential rental income. If the property has already served as a rental property, you need to take the time to find out how much the property has rented for in the past and then do some research to determine whether that amount is spot on or not.

Most of the time, properties may have rented for lower than they should have while in other cases a property may be over-rented. Look at comparably in the area to make sure you know whether the property in question is on target; otherwise you may find that the amount you think you will be receiving in rental income is not very likely.

You need to consider mortgage interest very carefully. Make sure you know and understand prevailing interest rates as well as the details of your specific loan because mortgage interest is the biggest cost you will face when purchasing investment property. First, understand that homes and duplexes tend to have loan structures that are very much exactly the same as any mortgage loan.

With a larger property; however, such as a triplex; rates tend to be higher. If you are looking at commercial property with even more units; the matter of terms and rates is completely different. Typically, the more money you are able to put down on the purchase of the property, the less interest you will have to pay.

Taxes are another issue. Many people use the taxes from the year in which the property was purchased and assume they can use these figures to estimate expenses. This is not always the cases because taxes do not remain the same; they typically change every year.

You will normally find that, taxes go up after a property is purchased. This is especially true if the property was previously owner occupied. So, it is typically a good idea to just assume that the taxes will go up on the property after you have bought it.

One area which many people fail to take into consideration is the cost of the property being vacant. While you would certainly hope that your property would remain rented all the time, this simply is not realistic. There will probably be times when your property will be vacant. Generally, you should assume that your property will have an average 10% vacancy rate.

A major consideration is the cost of tenant turnover. This is often a big surprise to many landlords who assume they will rent out their properties and their tenants will remain in the property for some time. Even more of a surprise is how much it costs to prepare the property to rent out again especially in like of that consideration.

Some of the other costs include not only advertising for a new renter but also repainting, cleaning, etc. If damage was done to the property, the total cost of repair may not be fully covered by the security deposit you charged in the beginning.

Of course, the cost of insurance should also be taken into consideration. Keep in mind that the insurance for investment properties is usually higher than an owner occupied property. Make sure you obtain a quote rather than just using the insurance cost for your own home as an estimating guide. In addition, make sure you take into consideration not only property insurance but also liability insurance as well.

Utility costs are another area that are frequently under-estimated. If the property has already served as a rental property make sure you find out exactly what the owner pays for and what the renters pay for. You should also make sure to find out whether you will be responsible for other costs such as trash collection. Finally, take into consideration the costs of property management if you will not be managing the property yourself.

Finding Repossessed Homes and Making Profitable Real Estate Investments

admin — Sun, 06 Sep 2009 12:03:29 +0000

Investing in real estate can bring in a lot of money. However, you have to choose your properties carefully and have a wise investing plan because not just any real estate will be profitable. Foreclosure listings and repossessed home listings are great resources for anyone who is looking to invest in some real estate and turn a profit from it.

From the repossessed homes listings, you should be able to locate an appropriate property for your first real estate purchase, as well as your first experience with foreclosure real estate investing. To help you make sound real estate investing decisions, there are an array of resources, including many on the internet.

You can find loads of information about finding repossessed homes by simply entering a search in the internet. Just about everything you need to know could be found on the internet.

Websites of both private and government financial institutions would most likely have a listing of these properties that they might be interested in purchasing. It is also highly likely that such foreclosure listings are available in the offices of the financial institutions.

If you really want to make a lot of money by investing in real estate, you should buy foreclosure properties because they sell for a lot less than raw land and similar properties, which will be right at market value, or maybe even higher than that.

You can get a feel for what’s out there, and what will work with your available budget, by digging through some of these foreclosure and repossessed home listings.

If you take the time to educate yourself about foreclosure properties, they can be an excellent money-maker for you. Although at first glance, finding lucrative foreclosure deals seems like a challenging task, if you know how to find these money-maker properties quickly, it is really not that hard after all.

Ways Of Stopping Foreclosure Fast

admin — Fri, 04 Sep 2009 22:04:58 +0000

Because of the recession many people are faced with the terrible option of foreclosure. Stopping foreclosure on the other hand is something that can easily be done. If you want to keep your home, here are some great tips that will allow you to keep the home you love. It does not even matter if you have already received your notice! You can still stop the process and get back on your feet!

Lenders all over the country are losing money because people are losing their jobs and their means to pay their bills. Stopping foreclosure so something that can easily be done when you simply talk to your lender. If you have just been laid off, do not wait until the payments are overdue. Simply give them a call and see what they can do for you.

While you are on the phone with your lender you may want to think about a new payment plan. Because the job market is so low many people are out of jobs for months on end. If you will be using your savings, smaller payments each month will help make your savings stretch.

If you are behind in back payments then why not ask your lender to either let one or two of them slide or add them to your payment plan? In some occasions a lender might actually wipe away one or two payment in order to keep you current. Of course this means that you have to have a very good payment record. Those who do not make payments on time might not be able to get this option.

If you cannot get rid of a payment or two then why not add those to your payment plan? This way you would have to pay a couple of months extra but still be able to keep the home you love. If you owe 3 payments, then you would owe 3 more payments at the end of your mortgage.

If you have run out of options think about filing for bankruptcy. Many people stop their foreclosure and keep their homes by wiping the slate clean. Just make sure that you have the money to cover the bankruptcy attorney fees. Remember, the bankruptcy can follow you for about 7 years at least!

Right now stopping foreclosure is not a very hard feat. Lenders are more than willing to help out their customers with loan modifications and new payments plans. Call your lender and find out what they will be able to do for you.

Three Sources Of Clients For Real Estate Agents

admin — Fri, 04 Sep 2009 15:34:19 +0000

There is a lot of information available to real estate professionals on how to survive in this market. Very few of them however, I have looked at the demand side of the equation. Sure, if you position yourself appropriately for real estate leads you may have numerous properties to offer the new exacting customer, but where do you find that New Exacting Customer?

1) Investors: Although a lot of individuals feel that we have not hit bottom, the people looking to invest are starting to pop up. There are a lot of real estate investors are searching for that next opportunity, foreclosure, or discounted sale. The savvy Realtors that can help investors with the details of getting control of a property with less than 100% down, there may still be opportunities to be had. It may behoove you to promote your services and experience to the investment market, either for individual real estate services, or even consultation and guidance.

2) People looking to move: Yes it is now a buyer’s marketplace, but that does not mean that there won’t be buyers. Unlike the previous sellers market, buyers today have their choice of both the property that they want and the agents that they want to work with. To get the focus of these clients, position yourself as an aggressive savings manager with expertise in helping buyers get the best possible deal and the home of their dreams. As for attracting these clients, place ads, co-op market with your local coffee shop, fitness club and small businesses, and host how to buy foreclosure webinars and seminars.

3) Help relocating: Some of the most successful real estate agents are now turning to the relocation market and establishing programs to service that niche. Resources such as the internet, online pages, and even the phone book, or HR department of your closest multinational may be able to connect you with the right people.

4) Specialist in Real Estate Owned properties: Both on the buying and selling side, the agents that deal with the banks have a ready-made inventory on discountable properties. Contact the loss mitigation department of various banks to see if they have inventory that you can sell. Also, if you are familiar with the requirements of the banks to purchase bank owned property, you can position yourself as a specialist for both the investor and the movers looking for a deal.

Government Acquired Properties Surplus Equals Great Deals!

admin — Thu, 03 Sep 2009 21:00:41 +0000

Government surpluses and abandoned properties are sold at government auctions to the general population at discounted prices. There are government auctions held in every state many times a month. No matter where you live in US or Canada, you’ll be able to find great deals at these auctions. Consider the investment possibilities or even starting your own business.

Surplus inventory sold at government auctions come from the federal, state, and local governments. Often the government has a large surplus of unneeded items, and will liquidate them to the public at one of their many auctions. This can happen often as the government’s equipment requirements are constantly changing.

Items found at government auctions can also come from businesses that have gone bankrupt. Many of these items found at government auctions can include furniture, computers, electronics, furniture, and miscellaneous equipment. Most people don’t think of these types of items at a government auction, however, it’s where you can get these types of used items the cheapest.

Seized properties can consist of foreclosures, bankruptcies, criminal properties, etc. These properties can also be purchased at government auctions. Depending on the circumstances the police may seize property if the owner is sentenced to jail.

There are many causes as to why a property could be declared abandoned including the owner leaving the property (usually because of property taxes, mortgage default or simply because the property is valued at less then his current mortgage), or the owner dies but there isn’t any living family members on record.

You can find out where and when government auctions will be held in your state by searching the internet. There are many membership sites that will offer you details on the abandoned properties, seized properties, and government surplus items that will be offered at your local government auctions.

To determine which sites are legitimate it is highly recommended that you visit a government auction review site beforehand. This will educate you on which sites provide the most opportunities that government auctions can provide.

How to Approach a Homeowner in Foreclosure

admin — Thu, 03 Sep 2009 00:54:25 +0000

Its challenging enough simply attempting to to talk to strangers, but when you add to the factor that the stranger is possibly under stress because they are in jeopardy of losing their property usually adds more pressure to an already precarious situation.

As investors it is important to understand that many homeowners around the United States are facing just this scenario, and we could be their panacea to all their problems.

If you know that you have the ability to perhaps halt a foreclosure by running out of imaginative deal between you and the home owner, you could be a blessing they are looking for a taking a very worrying load off their hands.

This kind of internal incentive should give you no difficulty when it comes to having to see the homeowner for yourself, writing them a letter, or if that failed, attaching a letter to their door.

When is the Best Time to Involve Yourself in a Pre-foreclosure in Denver Co?

For the best results in the pre-foreclosure procedure, its always best to find the properties that have lots of equity. Always make sure that you cautiously research the home for sure from troubles or other related deformities that might alter your opinion of the property.

This step is important because if the homeowner is in the rear on their mortgage expenses, if there are costs or structural problems with property, its highly probable that they will not be able to pay for the restoration needed.

When you send a letter always make sure that you’re polite, to the point, and keep an open empathy of the homeowners difficult and precarious situation. With a high increase of foreclosures in the Denver Co area the aura consideration should always be felt when writing a letter to homeowner in distress. Always try to put yourself in the homeowners choose and see how they are feeling.

Why Pre-Foreclosures Are Preferred With Real Estate Pros

admin — Wed, 02 Sep 2009 20:06:41 +0000

Most people in the US are aware of the current real estate crisis and the unsettling fact that many people are losing their homes to foreclosure. Before a home is in the process of becoming foreclosed, it is in the pre-foreclosure stage. The pre-foreclosure period can last anywhere from a few weeks to a few months, and is considered by many real estate investors as the absolute best time in which to negotiate the purchase of a home.

Many houses that are ‘for sale by owner’ are houses that are in a period of pre-foreclosure. The lenders sometimes allow the homeowners to try to sell their home before foreclosing it. The banks are not in the real estate business themselves and would rather the owners sell the home instead of (the lenders) having to foreclose it.

Here are some of the reasons many real estate professionals prefer purchasing a pre-foreclosed properties rather then waiting until they reach foreclosure:

- A pre-foreclosed home could actually be cheaper because you are dealing one-on-one with an owner who desperately wants to avoid foreclosure.

- Since you won’t be at an auction, you will be given more time to talk to the home owner about any questions you may have concerning the house.

- Because the masses are more aware of where and when the government auctions are happening there are not as many investors competing for a pre-foreclosure property.

- The situation allows for more time to evaluate your finances.

- Auctions can be either overwhelming or lead to egotistical or emotional decisions.

- Less risk of potential problems because you can get a good look at the house ahead of time, and have it professionally inspected.

- You will be allowed to make a low down payment on a pre-foreclosed house. This is not the case at a foreclosure auction.

As with any house purchase make sure you check for any judgments, or liens against the estate. Bring along someone how is familiar with buying real estate and if possible have the house professional inspected. The risks are comparable to a traditional type of home purchase but with the advantages of foreclosure discounted pricing.