Hugh Lilly Stockton Real Estate

Common Short Sales Myths: Homes in Stockton

Hugh Lilly and Maria Estrada at PMZ Real Estate — Fri, 10 Feb 2012 13:41:00 GMT

Common Short Sales Myths

There is a lot of misinformation about short sales about short sales that prevent underwater home owners from getting the relief they need. It is important to consult with a real estate professional, tax attorney or CPA that is knowledgeable about short sales and foreclosures. Underwater water mortgages are here to stay for the foreseeable future and home owners need factual information and options not myths and water cooler conversations to make decisions that are right for them.

1. I will be accountable for the deficiency between what I owe and what my home sells for to my lender.

California Senate Bills 931 and 458 Short Sale Bill protects against deficiencies on first and second mortgage for owner occupied homes. This is a major victory for upside down homeowners in Stockton, Lodi and California and relieves short sellers from worrying about their mortgage lender pursuing them for the deficiency after a short sale. There are some exceptions and some other details. Contact us at our short sale hotline 209-479-9222 about you options and protections.

2. My credit will be ruined if I do a short sale.

A short sale can help preserve your credit. It is treated by your lender as a settled and as contrast to a foreclosure, it has less of an impact on your credit score for a shorter period of time.

3. My hardship is not serious enough to qualify for a short sale.

In today’s real estate market it's harder to not be eligible, than it is to be eligible. There are abundant ways to qualify for a short sale and a home owner does not have to be behind on payments although it does help with some mortgage lenders. If a home owner can demonstrate that they are struggling to make their monthly mortgage payments or are facing hardships such as a divorce, loss of tenant income, job transfer, medical emergency or chronic illness, reduction in hours or furlough at employment, a mortgage lender will seriously consider issuing an approval for a short sale.

4. I will owe taxes federal and state on the deficiency my mortgage lender forgives on my short sale.

The IRS Debt Relief act of 2007 relieves those doing a short sale or foreclosure from paying taxes on the deficiency and California SB 401 brings California in line with the federal debt relief act. There are certain qualification and details, call our short sale hotline for details at 209-479-9222. It is very important to act now and list your home before these tax protections expire on December 31 st 2012.

Want to know when you home will be an asset again and have your answer in minutes with real numbers and see if a short sale is for you visit our short sale calculator at www.xpressshortsales.com at the results will be emailed to you in minutes.

How to Buy a Home After A Short Sale or Foreclsure and Mortage Interest Rates

Hugh Lilly and Maria Estrada at PMZ Real Estate — Tue, 07 Feb 2012 12:34:00 GMT

Foreclosures and short sales have affected 100’s of thousands of homeowners in the Stockton, Lodi market as well as the national market. Yesterday I had Alvin, one of my earlier clients that had done a short sale 31/2 years ago contacted me and asked when he could buy a home again, and he and his lovely wife couldn’t stand living in a rental. It’s a question I am asked daily. The answer is yes. If you have done a short sale or foreclosure after 3 years and in some cases 2 years.

· FHA Mortgage Loans: One of the most popular loan programs available. FHA loans only require a 3.5% down payment as opposed to conventional loans that require 10 to 25% down. FHA requires 3 years waiting period. Today’s FHA interest rates are 3.75% to 4.25%.

· FHA guidelines: If potential buyers have mitigating circumstances such as illness, temporary medical issues, job transfer or natural disasters FHA guidelines allow the buyer to avoid the 3 year waiting period.

· Conventional Financing: most conventional mortgage lenders loans are insured by Fannie Mae or Freddie Mac and they require a 2 years waiting period. These lenders require a down payment of 20%. Average national interest rates are running 3.5% to 3.75% for conventional mortgage loans.

There is life after a short sale or foreclosure and if you have done a short sale or foreclosure 2 to 3 years ago and interested or curious about finding out if you qualify for a mortgage loan call us. To prepare to buy a home, maintain you credit, pay your obligations on time and work with a trusted lender that will help you prepare. The Real Estate Team of Hugh Lilly and Maria Estrada at PMZ Real Estate have help buyers reach the real estate goals. Call us at 209-479-9222 to qualify to buy a home. Search for homes for sale in Stockton and Lodi at www.your-new-address.com .

Stage Your Home and Short Sale for a Quick Sales In Stockton and Lodi

Hugh Lilly and Maria Estrada at PMZ Real Estate — Mon, 06 Feb 2012 13:35:00 GMT

The condition of homes is extremely important and first impressions do count and that goes for short sales. Short sales many times have an advantage over foreclosures because of being in superior condition.

Conventional sellers or better known as equity sales recognize when marketing their home that staging and condition are of prime importance, the better the condition the quicker the sale of their home and the higher the sales price. The key points that a buyer sees when they pull up in front of your home is the appeal of the landscaping and when they walk through the front door the key interior points are: paint, floor coverings and the kitchen and bathrooms. We urge our short sellers in Stockton and Lodi to stage their homes for success.

If you are upside down and underwater and in the process of considering a short sale, you may have given up on making repairs or doing maintenance. A word of caution is due. If you have stopped making your payments, hopefully you are putting that money away in anticipation of your coming relocation. You should consider investing a little of your time and money in making the home as presentable as you can. Completing the short sale will likely protect your financial future

Homeowners that are underwater in their mortgages and trying to make a decision to short sale or walk away tend to forgo upkeep. Many have given up on yard maintenance making repairs and general upkeep of their home. Being underwater is stressful and depressing but if you are going to short sale your home and you have stopped making your payments invest some of the money you are saving and take care of the repairs and upkeep. The faster the home sells the faster you will be out from under the threat of foreclosure and be on the road to financial recovery.

Short sales continue to be the majority of homes in Stockton and homes in Lodi or sale. The Real Estate Team of Hugh Lilly and Maria Estrada at PMZ Real Estate are Short Sale Specialists. Discover your options. For up to date information on short sales and foreclosures contact the Xpress Short sale Group at PMZ Real Estate. Call 209-479-9222 or e-mail hlilly@pmz.com .

Homes For Sale in Stockton: A Decline in Foreclosures

Hugh Lilly and Maria Estrada at PMZ Real Estate — Sat, 04 Feb 2012 19:09:00 GMT

Foreclosures comprise approximately 20 percent of homes for sale that closed escrow in the third quarter according to RealtyTrac a leading reporting company in the U.S. There has been a notable decline from the third quarter of 2010 when foreclosures amounted to over 30 percent of home sales. During normal housing markets foreclosures were 5 percent or less of closed sales. There has also been a significant decline in foreclosures coming on the real estate market and especially homes for sale in...(read more)

Homes For Sale in Stockton: The Year of the Short Sale

Hugh Lilly and Maria Estrada at PMZ Real Estate — Sat, 04 Feb 2012 00:28:00 GMT

2012 is ramping up to be the year of the short sale in Stockton and San Joaquin County. I talk with homeowners daily that are faced with the choice of giving up everything they have worked for and making monthly payments on their home, even though they love their homes, are deciding to short sale.

Homeowners want to be optimistic and wanted to believe that they could ride out the declining economy, have seen the depletion of savings, retirement accounts and other assets. Many are simply broke and trying to keep their heads above water. Homeowners are faced with the only way out is either foreclosure or short selling their home. Foreclosures and short sales are dominating the real estate market in Stockton and Lodi California. Underwater homes are an epidemic in the United State: California, Nevada and Florida have been especially hard hit.

The reality that people’s homes are worth much less than the balance of their home loan and what they originally purchased their home for is causing homeowners to reach out to real estate agents in Stockton and Lodi and ask for short sale help. There are options available to avoid foreclosure.

Financial advisors such as Suzie Orman have advised people to build up a six month or a year’s worth of cash reserves to weather a financial crises., but his economic down turn goes on and on without a clear end in sight. When on the brink of depleting of their cash reserves homeowners are reconsidering their position on keeping their homes. One of the single biggest factors that will cause 2012 to be a year in which many choose short sale is the expiration or the Mortgage Forgiveness Debt Relief Act of 2007 on December 31^st 2012.

Homeowners that wait too long to list their home for sale and close escrow before December 31^st 2012 may find that they face the loss of a home plus a large IRS tax bill of $15,000 to $25,000 or more added to their financial burdens. Don’t miss our YouTube Video from Xpress Short Sale TV on the Tax Relief Act of 2007.

Stockton Short Sales Avoiding Foreclosure

Hugh Lilly and Maria Estrada at PMZ Real Estate — Mon, 16 Jan 2012 22:11:00 GMT

Avoiding Foreclosure is the main objective of most homeowners. Over 75% of those homes on the real estate market in Stockton are either short sales or foreclosures. Managing the foreclosure process is stressful and complicated. FACS and CHS designated Realtors who have undergone specialized training essential to evaluate all potential foreclosure alternatives, and are in partnership with other financial professionals and the homeowner to seek the best solution. FACS and CHS designated Realtors attend several days of training learning about foreclosure avoidance and how to negotiate the short sales process competently and ethically. The FACS and CHS designations mean you are working with the most up to date Realtors and information available.

Homes in Stockton: Short Sales and The Buyers Advantage

Hugh Lilly and Maria Estrada at PMZ Real Estate — Sun, 15 Jan 2012 15:29:00 GMT

One of the biggest problems we see in a short sale transaction is buyer education. Patience is one of the most important attributes of a buyer considering a short sale and this also includes the buyer’s real estate agent. The buyer’s agent needs to educate the buyer’s expectations on the time frame it takes to get a short sale approval. The process can of take 60 to 90 days to receive an approval from the seller’s lender. The upside for the buyer is that the home is in usually better condition and many times there is instant equity.

The Lender You Choose can Make or Break the Sale

Choose a lender who understands short sales. The pre-approval process should be the same whether the buyer is being pre- approved to buy a short sale or pre-approved to buy a property with equity. It has been our experience that 10 to 15 percent of short sales that have been approved by the sellers lender do not close because the buyers loan falls through.

Inspections

We advise buyers to do inspections before the short sale approval, if the problems with the condition of the property is known before the initiation of the short sale process, the sellers lender will be more agreeable to approve a purchase price that is less than the current market value. It is difficult to go back to the bank and ask for a lesser purchase price when a home inspection that was done after short sale approval.

A majority for the homes in Stockton and homes in Lodi for sale are either foreclosures or short Sales. very often the short sale is the best option for potential homebuyers. We urge buyers to do their homework and choose a real estate agent that is experience with short sales to guide the process. The Real Estate Team of Hugh Lilly and Maria Estrada at PMZ Real Estate have helped buyers achieve their real estate goals, visit www.your-new-address.com and start you home search.

Homes in Stockton: Mortage Interest Rate and Trends for January 2012

Hugh Lilly and Maria Estrada at PMZ Real Estate — Sat, 14 Jan 2012 14:37:00 GMT

Searching for a mortgage lender with the right fit is extremely important for the first time homebuyer and for move up buyers. Rates are at an record lows and home values are flat making a perfect environment to purchase a home. Because there are so many mortgage companies out there, mortgage lending has become extremely competitive.

By shopping around and comparing rates, fees and service, you will be able to get a feel for what is out there, and whatever lender offers you the best deal to fit your needs and your budget, should be your lender of choice.

Buying a home is not something you want to rush into. So take your time and educate yourself. Talk to people within the industry, talk to trusted advisors and friends that have recently purchased a home shop around, than make an educated decision based on what best fit your needs.

Mortgage Interest Rates as of January 13^th 2012

Mortgage Loan Type	Today	Last Week	Change
15 Year Fixed	3.449%	3.428%	0.02%
30 Year Fixed	4.122%	4.093%	0.03%
40 Year Fixed	4.307%	4.279%	0.03%
1 Year ARM	3.329%	3.340%	0.01%
3/1 Year ARM	3.304%	3.289%	0.02%
5/1 Year ARM	3.224%	3.221%	0.00%

Home values for homes in Stockton and homes in Lodi are relatively flat and mortgage interest rates are stable. The perfect picture is now for your next home purchase. FHA mortgage loan limits have recently increased and often only require a 3.5% down payment. Visit www.your-new-address.com and search for homes on the MLS currently available.

Homes in Stockton: Assumable FHA Mortgage Loans

Hugh Lilly and Maria Estrada at PMZ Real Estate — Thu, 12 Jan 2012 13:56:00 GMT

Most sellers don’t realize that one of the advantages of FHA mortgages is that they are assumable. When a seller wants to sell his home, a credit qualified home buyer can assume their FHA loan which is an advantage when they sell because when you assume a mortgage, the terms and interest rate remain the same. This means an interest rate under 4% in today’s real estate market rather than a 6 or 7 percent interest rate in the future,

As an example, a $300,000 loan at 4% today carries with it a $1,432.25 principal and interest payment on a 30 year fixed mortgage. If offered for sale in five years, the purchaser could assume the $271,858.56 balance with the same $1,432.25 payment and remaining term of 25 years. The total payments over the 25 years would be $429,675.

Compare that to a new $272,000 loan at 6.5% for 25 years, which would carry a monthly payment of $1,836.56 (over $400 more a month than the assumption and more than $120,000 more over the 25 year term).

At 6.5% for 25 years, to wind up with the same payment as the assumed mortgage, our borrowers would only be getting $212,000…$60,000 LESS!

The point here is that, when rates go up, homes with assumable mortgages will have more value and will sell at higher prices because they are more affordable. As an additional bonus, the closing costs on assumable mortgages are significantly less. The homebuyers must be credit-worthy of course they must have good credit, qualifying income, and necessary assets to close, but they would have to be credit-worthy to get a new mortgage too!

The real estate team of Hugh Lilly and Maria at PMZ Real Estate have been helping buyer’s achieve the real estate dreams call us for a no obligation consultation at 209-479-9222 or vist www.your-new-address.com and search for homes that are currently available

Stockton Home Buyers: FHA Home Loans

Hugh Lilly and Maria Estrada at PMZ Real Estate — Wed, 11 Jan 2012 12:22:00 GMT

The FHA mortgage loan program is serving Stockton home buyers giving them the opportunity to purchase homes with as little as 3.5% down and record low home loan interest rates. It is one of the loans that serve first time home buyers and move up buyers. Recently loan limits were increased at their upper end to $400,000 plus in Stockton and San Joaquin County.

FHA FACTs:

· In 2010, FHA was used by 56 percent of all first-time homebuyers

· 60 percent of all African-American and Hispanic homebuyers.

· In addition, 85% of borrowers obtaining homes at the higher loan limits had incomes below

$150,000,

· 65% had incomes less than $100,000.

The pieces are place to purchase that first home or home buyer's wanting to move up to that dream home: historic home loan interest rates, declining home prices and low down payments. Call Hugh or Maria for you free homebuyers package at 209-479-9222 or visit www.your-new-address.com .

Homes in Stockton: Mortgage Interest Rate Trends and Rates

Hugh Lilly and Maria Estrada at PMZ Real Estate — Fri, 06 Jan 2012 13:26:00 GMT

Low mortgage rates likely to continue through 2012

The mortgage market did not live up to predictions from the experts for 2011. Record low interest rates for mortgages are the lowest in 40 years, but very few potential homebuyers took advantage of these rates and record low prices for homes in Stockton and nationwide. There is a great deal of uncertainty because of the economic outlook and many buyers are asking if their job will be there tomorrow. Rents for homes and apartments are rising and often are higher that what a monthly mortgage payment. The low interest rates and declining prices are creating the perfect storm for home purchasers wanting to buy. If your dream is to own your own home or move up to that perfect home now is the time.

The probable state of affairs for housing in the 2012, according Fannie Mae, Freddie Mac and other housing analysts, is more of the same as in 2011. The Federal Reserve has pledged to keep interest rates low throughout 2013.

Mortgage lenders are offering 30-year fixed-rate mortgages to homebuyers with an average interest rates of 3.95% in the previous week, Freddie Mac said “this is the 9th successive week of interest rates at or below 4%”.

Examples of interest rates today: These rates are subject to change and buyer qualifications.

Loans up to $417,000	Rate	APR
30 Year Fixed	3.250	3.506
15 Year Fixed	2.750	2.957
7 Year ARM	2.000	3.114
5 Year ARM	1.500	3.092
3 Year ARM	2.125	3.468
FHA Rates	Rate	APR
30 Year Fixed	3.375	4.093
15 Year Fixed	2.750	3.171

Visit www.your-new-address.com and search for homes that qualify for these low mortgage interest rate. Call us at 209-479-9222 for our no obligation homebuyers’ consultation; we can point you in the right direction.

Homes-in-Stockton: Short Sales a Buying a New Home

Hugh Lilly and Maria Estrada at PMZ Real Estate — Thu, 05 Jan 2012 13:20:00 GMT

Short Sales Can Benefit You When It’s time to Buy a New Home: Recently Fannie Mae has adopted policies loans associated to the time that is necessary before borrowers can show they have reestablished a satisfactory credit history after a short sale or foreclosure.

Foreclosure: At this time Fannie Mae requires 5 to 7 years from completion of a foreclosure with the following additional requirements that apply after 5 years up to 7 years following completion date:

· The purchase of a owner occupied residence with a minimum 10 percent down payment and minimum credit score of 680.

· Purchase of a second home or investment property is not allowed.

· Limited cash-out refinances are permitted for all occupancy types pursuant to the eligibility requirements in effect at that time.

· Cash-out refinances are not permitted

Short Sale: Fannie Mae will allow a purchase 2 to 3 years after a short sale.
There are no other requirements after this time period. Fannie Mae does not allow exceptions to the 2 to 3 year time period because of mitigating situation.

Deed-in-Lieu of Foreclosure: Fannie Mae requires a 4-year time period from completion date of a deed-in-lieu. Additional requirements are generally the same as a foreclosure.

In many cases short sales is the best option for homeowners facing foreclosure, there are alternatives. Many distressed homeowners facing foreclosure don’t know where to turn for advise and ignore their situation a eventually get that knock at the door from the sheriff executing an eviction. This does not have to happen. The Xpress Short Sale Group at PMZ real Estate of Hugh Lilly and Maria Estrada can help. Call us at 209-479-9222 or visit www.xpressshortsales.com to actually crunch the numbers on our short or stay calculator and view our video.

Homes in Stockton: Short Sales and Your Tax Burden

Hugh Lilly and Maria Estrada at PMZ Real Estate — Wed, 04 Jan 2012 12:14:00 GMT

My team recently received the following e-mail from a homeowner in Stockton: “ My wife and I are underwater in our mortgage we have not made payments in 3 months, I recently was cut back on my hours at work and it looks like I may lose my job. My monthly payment on my adjustable rate mortgage is increasing. We have exhausted our saving and can no longer afford the payments on my home. I know that the only two options we have are foreclosure or a short sale. The mortgage on the home is $425,000 and at best we probably can sell it for $189,000. I am really worried if we do a short sale we will owe the bank for the difference and be taxed by the IRS on the difference. We really don’t want to compound our problems, can you help?”

David these are questions we are asked every day and many Americans and those who own homes in Stockton are in your same situation. There are protections for distressed homeowners that are underwater in their mortgages. In California there are three Protections:

· The IRS Debt Relief Act of 2007

· Senate Bill 938

· Senate Bill 458

The IRS Debt relief act of 2007, in most cases on purchase money loan 1^st mortgages on your principle residence, will relieve the homeowner from paying taxes of the deficiency which is the difference between what is owed on the home and what it sells for, for example David on your home you owe $425,000 and you can only sell it for $189,000 which leaves you with a deficiency of $236,000. The IRS will forgive up to 2 million dollars for a couple and 1 million dollars for a single taxpayer.

it’s important to emphasize that the tax relief act expires on December 31 st 2012, short sales take time so it’s important David that you don’t wait too long to act you may have a large tax burden on the deficiency of $236,000.

David the California Senate Bill 938 will relieve you of the deficiency on you first mortgage whether you do a short sale or foreclosure and Senate Bill 458 will relieve you of the deficiency on a 2^nd mortgage on a short sale but not on a foreclosure.

We know that the possibility of short selling your home can be a hard decision to make. That's why we created the Short or Stay Calculator to help you crunch the numbers. Visit www.xpressshortsales.com and calculate whether a short sale is for you.

Homes in Stockton: Seller Financing for Home Loans

Hugh Lilly and Maria Estrada at PMZ Real Estate — Tue, 03 Jan 2012 13:25:00 GMT

**Please leave a Comment

Seller financing is difficult to find but it is out there and we don’t find a lot of this type financing available in Stockton. The seller assists the potential buyer in purchasing the home by lending the buyer either a portion of the amount to be financed or the entire amount. Seller financing can be a good strategy for sellers by retaining the principal while earning interest and it can also have positive income tax implications.

Let's say the buyer and seller agrees on a price of $200,000 for the house. In many cases a lending institution would require a 20 percent down payment -- $40,000 -- and give the buyer a mortgage for $160,000. But if the buyer has only $25,000 initial investment, the seller could finance a second mortgage for the $15,000 the buyer is short. The buyer makes payments on the first loan to the bank and the second loan to the seller.

Another example of seller financing: If the sale price of the home is $150,000 and the buyer has only $15,000 for a down payment, the buyer gives the $15,000 down payment directly to the seller, who agrees to carry the entire mortgage amount of $135,000. The buyer makes all payments directly to the seller.

Pro: Seller financing reduces the cash needed to get into a home and could dramatically reduces closing costs. Often the seller will be more flexible in accepting an under qualified buyer.

Con: The seller determines the interest rate for that portion of the mortgage being carried, and it usually comes with a higher rate and a shorter term. Perhaps most importantly, it very often comes with a balloon payment. This means that monthly payments would be computed as though the mortgage was to continue for, say, 30 years, but at the end of five or 10 years the entire remaining balance has to be paid in one lump sum. That normally requires refinancing at that point, when rates could either be lower, higher or about the same, or selling the house to meet that balloon payment. Visit www.your-new-address.com for your home search. The Real Estate team of Hugh Lilly and Maria Estrada has been assisting buyers reach their real estate goals for almost 30 years call us at 209-479-9222.

Homes in Stockton:Good news for Stockton Investors and homebuyers, flips are in. For FHA Buyers

Hugh Lilly and Maria Estrada at PMZ Real Estate — Mon, 02 Jan 2012 15:20:00 GMT

Good news for Stockton Investors and homebuyers, flips are in. For the second year in a row, the Federal Housing Administration is extending a temporary waiver of its anti-flipping policy, meaning homebuyers using FHA financing for mortgage loans will continue to be able to purchase homes that have closed escrow in the past 90 days. Flips continue to be problematic for other types of mortgage loans. Flips occur when an investor buys a fixer home under market and rehabs it and puts it back on the market. Lenders often necessitate that the seller provide receipts for upgrades and repairs. Also a second appraisal is required which the homebuyer does not have to pay for.

The waiver has been extended through the end of 2012, when the purchase price of a home is 20 percent or more higher than what seller purchased it for, to qualify for the waiver the mortgage lender must document the reason for the increase in value.

The waiver is a fortunate for investors looking for to rehab and flip properties, because it expands the number of qualified potential borrowers relying on FHA low down loans which are popular with first-time homebuyers and others who a large down payment. The down with a FHA loan is as little as 3.5%.

FHA instituted the anti-flipping rule in 2003 to protect its mutual mortgage insurance program from losses on homes that were merely flipped, rather than rehabbed. Homes foreclosed on by Fannie Mae, Freddie Mac, and their financial institutions were excused from the rule.

The pool of available homes in a condition that will pass FHA inspection is rather limited and this wavier enlarges that pool of quality homes. Visit www.your-new-home.com for homes that qualify for FHA mortgages or call 209-479-9222 for your free homebuyer’s consultation.

. For the second year in a row, the Federal Housing Administration is extending a temporary waiver of its anti-flipping policy, meaning homebuyers using FHA financing for mortgage loans will continue to be able to purchase homes that have closed escrow in the past 90 days. Flips continue to be problematic for other types of mortgage loans. Flips occur when an investor buys a fixer home under market and rehabs it and puts it back on the market. Lenders often necessitate that the seller provide receipts for upgrades and repairs. Also a second appraisal is required which the homebuyer does not have to pay for.

Homes in Stockton: Low Downpayment FHA Loans, Low Interst Rates fixed 30 Year Loans.

Hugh Lilly and Maria Estrada at PMZ Real Estate — Mon, 02 Jan 2012 13:12:00 GMT

Price of homes in Stockton have declined to a purchase price that homes have become more affordable. Young families and middle income families and now more than every able to live the American dream and own a home. The pieces are in place for many to own homes; lower mortgage interest rates, lower prices and low down payment FHA loans. FHA loans permit families to buy a home with a down payment as small as 3.5%. Other loans might not allow such a low down payment. Conventional loans sometimes require as much as 20 percent down.

FHA loans are often more flexible than other forms of financing for mortgage loans and offer a few other advantages:

· Allow home buyers to use gifts for down payment and closing costs

· Do not require a prepayment penalty when you pay off your mortgage early

· An FHA loan may in certain situations be assumable.

· Funding for home improvement when the home you want to buy needs repairs and the seller cannot make those repairs.

The real estate team of Hugh Lilly and Maria Estrada have helped many 1^st time buyers and move up buyers achieve home ownership call us at 209-479-9222 for a free home owner consultation or visit www.your-new-address for homes that qualify for FHA loans.

Homes-in-Stockton: Judicial and Non-Judicial Foreclosures

Hugh Lilly and Maria Estrada at PMZ Real Estate — Sat, 31 Dec 2011 13:59:00 GMT

The Foreclosure Process in California: Mortgage lenders in California may foreclose on deeds of trusts or mortgages in default using either a judicial or non-judicial foreclosure process. It’s important to know the difference. Most home owners with homes in Stockton want to avoid foreclosure and they do have options.
Judicial Foreclosure: Most foreclosures in California are not judicial foreclosures. The judicial process of foreclosure, which involves filing a lawsuit to obtain a court order to foreclose, is used when no power of sale is present in the mortgage or deed of trust. Generally, after the court declares a foreclosure, your home will be auctioned off to the highest bidder. Using this type of foreclosure process, lenders may seek a deficiency judgment and under certain circumstances, the borrower may have up to 1 year to redeem the property.

Non-Judicial Foreclosure: This is the primary type of foreclosure in California. The non-judicial procedure of foreclosure is used when a power of sale clause exists in a mortgage or deed of trust. A "power of sale" clause in a deed of trust or mortgage pre-authorizes the sale of property. In or mortgages where a power of sale exists, the power given to the lender to sell the property may be executed by the lender or a trustee.
Regulations for California Foreclosures
Power of Sale Guidelines: If the deed of trust or mortgage contains a power of sale clause and specifies the time, place and terms of sale, then the specified procedure must be followed. Otherwise, the non-judicial power of sale foreclosure is carried out as follows: A notice of sale must be:
Recorded in the county where the property is located at least 14 days prior to the sale
Mailed by certified, return receipt requested, to the borrower at least 20 days before the sale
Posted on the property itself at least 20 days before the sale
Posted in 1 public place in the county where the property is to be sold
The notice of sale must contain the time and location of the foreclosure sale and property address, the trustee's name, address and phone number and a statement that the property will be sold at auction. The borrower has up until five days before the foreclosure sale to cure the default and stop the process.
The sale may be held on any business day between the hours of 9:00 am and 5:00 pm and must take place at the location specified in the notice of sale. The trustee may require proof of the bidders’ ability to pay their full bid amount. Anyone may bid at the sale, which must be made at public auction to the highest bidder. If necessary, the sale may be postponed by announcement at the time and location of the original foreclosure sale.
Lenders may not seek a deficiency judgment after a non-judicial foreclosure sale and the borrower has no rights of redemption. Most foreclosures in California are non judicial. Many home owners facing foreclosure chose a short sale; visit www.xpressshortsales.com to see if a short sale may be an option for you.

Homes in Stockton: Short Sales and The Debt Relief Act

Hugh Lilly and Maria Estrada at PMZ Real Estate — Fri, 30 Dec 2011 11:31:00 GMT

2012 is rapidly approaching and many of our clients and homeowners in Stockton and Lodi are thinking of taxes. The good news for those home owners that are short selling their homes is they still have until December 31^st 2012 to take advantage of the Mortgage Forgiveness Debt Relief Act of 2007 which provides some relief from the IRS short sale regulations by excluding home-equity debt for some homeowners in some situations. The exclusions apply to the purchase, improvement or refinance of a homeowner’s primary residence.

Unfortunately second homes, vacation homes and income properties do not qualify under the debt relief act.. To qualify the short sale deficiency must have been forgiven by your mortgage lender between 2007 and 2012 to qualify for exemption from IRS short sale regulations. Also, the forgiven amount must be under one million dollars for a single taxpayer or under two million dollars for joint filers.

The bad news is that short sales take time and to qualify for what could be a huge benefit for those underwater in their mortgages the must act now to list and sell their homes. It is important to know your options.

We know that the possibility of short selling your home can be a hard decision to make. That's why we created the Short or Stay Calculator to help you crunch the numbers. Visit www.xpressshortsales.com and calculate whether a short sale is for you.

Homes in Stockton: Consumer confidence improves in December 2011

Hugh Lilly and Maria Estrada at PMZ Real Estate — Thu, 29 Dec 2011 13:03:00 GMT

Consumer confidence improves in December
The Conference Board Consumer Confidence Index improved to 64.5 (1985=100) in December, up from 55.2 in November. The Present Situation Index increased to 46.7 from 38.3, and the Expectations Index rose to 76.4 from 66.4.

Consumers' assessment of current conditions improved in December. Those stating business conditions are "good" increased to 16.6 percent from 13.9 percent, while those stating business conditions are "bad" declined to 33.9 percent from 38.0 percent. Consumers' assessment of the job market also was more positive. Those claiming jobs are "plentiful" increased to 6.7 percent from 5.6 percent, while those claiming jobs are "hard to get" decreased to 41.8 percent from 43 percent.

Hopefully this translates into a turnaround in the real estate market in Stockton and Lodi. Homeowners’ values for their homes in Stockton are still declining. Employment is essential the missing piece for turnaround in the Stockton real estate market. Mortgage rates and home prices are at an all time low. Foreclosures and short sales continue to be the majority of homes for sale on the MLS.

Short Sales and Homes in Stockton: Does Bank of America or Wells Fargo Own Your Mortgage?

Hugh Lilly and Maria Estrada at PMZ Real Estate — Wed, 28 Dec 2011 11:01:00 GMT

One of the important consideratons in doing a short sale is who is the actual investor. Just because Bank of America, Wachovia, Wells Fargo or Chases name is on you monthly mortgage statement doesn't mean they own the loan. This is important for you to know when considering a short sale. There can be three layers when trying to get a short sale approval from your mortgage lender:

The servicer
The investor
The PMI (private morgage insurance)

Many lenders sell the majority of their loans to investors such as Fannie Mae or Freddie Mac and retain the servicing. This information is very important to know by you and your agent it could be the difference between a denial or approval for a short sale.

The Xpress short Sale Group at PMZ is an experienced and one of the leading short sale teams in the Stockton, California area. We package short sales for success.

There are no upfront fees please call us for a free consultation at 209-479-9222 to discuss your options. Visit www.xpressshortsales.com and calculate if you should stay or sell through a short sale.

Homes in Stockton: What is a Short Sale

Hugh Lilly and Maria Estrada at PMZ Real Estate — Mon, 26 Dec 2011 12:50:00 GMT

A short sale is a sale of real estate in which the proceeds from selling the property will fall short of the balance of debts secured by liens against the property. In addition, the property owner cannot afford or chooses not to repay the liens full amounts.

Therefore, the lien holders agree to release their lien on the real estate and accept less than the amount owed on the debt. Any unpaid balance owed to the creditors is known as a deficiency.

Short sale agreements do not necessarily release borrowers from their obligations to repay any deficiencies of the loans, unless specifically agreed to between the parties. That is why finding the right short sale specialist is paramount. Avoiding foreclosure is the prime goal of most homeowners in Stockton, Lodi and San Joaquin County.

You need to be aware of protections for homeowners in California, in regards to deficiencies:

· The IRS Tax Relief Act of 2007

· SB 938 1^st mortgages short Sales and foreclosures

· SB 458 2^nd mortgages

For more information on these important protections contact Hugh or Maria at 209-479-9222.

To see if a short sale is right for you visit www.xpressshortsales.com where you can calculate the real numbers on our short sale calculator. Please leave a comment below, thank you.

Homes in Stockton: Stay or Short Sell My Home, Short Sales in Stockton

Hugh Lilly and Maria Estrada at PMZ Real Estate — Thu, 22 Dec 2011 15:34:00 GMT

Short selling your home can be a frustrating, confusing and a difficult decision to make. The Xpress Short Sale Group at PMZ Real Estate hopes that these results can assist you in making the best financial decision for you and your family. Over 75% of homes for sale in Stockton are either a foreclosure or short sales. Thhe objectives of most homeowners is to avoid foreclosure and there are alternatives to forclosure.

In the report below you will see two major items.

The first is your home's estimated value. There are a number of nuances that go into estimating a home's value. So this in no way should replace an on-site professional assessment. Our intention is to provide an educated guess based on current known factors.

The second is the results section. This section projects when your home will break even and become an asset again in three different market appreciation conditions (slow, average, and aggressive).

If this basic information is leading you to consider a short sale, call me. We can discuss all of your options and even refer you to other resources. The chart below is real the private information has been protected but the numbers are real for a Home in Stockton in The Spanos Park area. Please visit www.xpressshortsales.com for your own short or stay calculator.

Property Info

John
Phone: 209-xxx-xxxx
Email:xxx@comcast.net
2349 xxxxxxxx
Stockton, CA 95209

Mortgage Info

Estimated Value: $248,400.00
Balance: $398,000.00
Interest Rate: 5.00%
Monthly Payment: $2,133.00

Results

Slow Appreciation	Average Appreciation	Aggressive Appreciation
Break-even 9 year(s), 6 month(s) $243,162.00 total cost	Break-even 7 year(s), 1 month(s) $181,305.00 total cost	Break-even 5 year(s), 7 month(s) $142,911.00 total cost

Homes in Stockton: How Does a Short Sale Affect Your Credit?

Hugh Lilly and Maria Estrada at PMZ Real Estate — Thu, 22 Dec 2011 13:01:00 GMT

This question is asked very frequently by my clients with Homes in Stockton and involves a number of unique variables. The first thing to keep in mind is that the moment you are 30+ days behind on your mortgage payment, your mortgage lender has the right to report to all of the credit bureaus that you are 30 days behind on your payments. When a late payment is reported to the three major credit bureaus, it does have a direct affect on your credit.

After going through a Short Sale or a Foreclosure, most people have multiple 30, 60, and 90+ day late payments reported on their credit report. When the actual Short Sale is completed, most banks will report to your credit report that your account was “paid in full for less than the full amount.” Your credit report may also be marked as “settled.” It is important to keep in mind that each lender has a different way of reporting that a Short Sale was done, but this is the most common language used. If your home were to go to Foreclosure you would most likely see the bank report “Foreclosure” on your credit report. It is difficult to gauge how much damage will be done to your credit score when comparing a Short Sale to Foreclosure.

We know that the possibility of short selling your home can be a hard decision to make. That's why we created the Short or Stay Calculator to help you crunch the numbers. Visit www.xpressshortsales.com . and calculate whether a short sale is for you.

We have negotiated short sales where the homeowner has been current on payments. In most cases we can get your short sale within weeks, not months! By working with our team you will avoid the long drawn out approval and sale process that is notorious for most banks. Allow us to get your home approved to sell and sold within 45 days. Below is our contact information. Hablamos Espanol.

We are Short Sale and HAFA Certified Short Sale Specialists. Visit our web-site at www.expressshortsales.info for the informative report 5 Alternatives to Foreclosure. Click on the Short Sale Page for your short sale package.

****Please comment on this Blog.

Stockton Neighborhoods: Brookside, Lincoln Village, Morada, Morada Ranch, Beck Ranch Spanos Park, West Spanos Park, Weston Ranch, Port of Stockton, UOP.Stockton and Lodi Zip codes: 95208, 05204, 95205, 95206, 95207, 92209, 95210, 95212, 95215, 95219, 95242. 95240

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Homes in Stockton: Why Would a Bank Say Yes to A Short Sale

Hugh Lilly and Maria Estrada at PMZ Real Estate — Tue, 20 Dec 2011 15:00:00 GMT

With foreclosures on the rise in the US, banks are looking for any way they can to minimize their foreclosure losses. It more cost effective for your lender to agree to a short sale rather foreclose on a home. Short sales and foreclosures comprise much of the market for homes in Stockton and homes in Lodi.

· Banks aren’t in the business of owning real estate and collecting monthly mortgage payments, so a bank will take a minor loss in a short sale to start that payment cycle again.

· In addition, if the home is in foreclosure, a bank must pay for upkeep, insurance, and other costs. Plus, through the foreclosure process, the bank would incur legal and court fees.

The truth of the matter is that a bank can minimize their loss by ten, twenty, even thirty percent in a short sale over foreclosure.

Homes In Stockton: Do I have to pay the difference between what my house sells for and the amount I owe

Hugh Lilly and Maria Estrada at PMZ Real Estate — Mon, 19 Dec 2011 13:32:00 GMT

Distressed homes in Stockton are the majority of homes listed for sale on the MLS and short sales have proved to be the answer for many homeowners. The question we get asked most often is, do I have to pay the difference between what my house sells for and the amount I owe on the home after I do a Short sale? In most cases, no you don’t; nevertheless, there are certain situations you may have to. Consult us with your questions and visit our web-site www.expressshortsales.com for free reports on alternatives to foreclosure.

· SB 932 in California protects homeowner’s from paying a deficiency on the purchase money first mortgage on a short sale or foreclosure and on second mortgages

· SB 458 protects you for short sales but not foreclosures.

· The IRS tax relief act of 2007 has been extended to December 31 of 2012 protects homeowner’s from paying a deficiency on the purchase money first mortgage.

There are certain situations where you may be responsible for a deficiency, such as having a home equity line of credit; other loans, such as construction loans and lot loans, often require the homeowner to pay the difference back. They are often negotiated favorably for the homeowner.

Don’t go it alone consult a real estate professional for more information, by talking with us and allowing us to ask you a few questions we can establish whether or not your loan is one that would fall under the deficiency rights or non-deficiency rights. There’s a very fair probability that you will not be obliged to pay any of the money back to the lender.

Short sales are complicated and Many real estate agents are not experienced and will create situations, even though you are not liable for the deficiency, will create one for you because of their inexperience. Steer clear of inexperienced agent practicing a short sale on your home and call the XPRESS SHORT SALE TEAM at 209-479-9222.