Tap Into a Massive Profit Market With Foreclosure Short Sales
Posted on February 4, 2009
Filed Under Foreclosure Short Sale, short sales investing | Leave a Comment
By D.C. Fawcett, Business Building Coach to the Foreclosure Industry
When real estate investors evaluate their options for securing deals and making profits, there are several things that may come to mind. Whether it’s owning rental properties, fixing up properties in disrepair, or working foreclosure short sales, the business of real estate is a proven winner.
Working the business of foreclosure short sales is potentially very lucrative so what do most investors do when they seek these opportunities? First, they have to secure leads. Leads for foreclosure short sales can come from many sources and it is the job of the investor to then turn these leads into profit producing deals. This transition for foreclosure short sales centers around marketing and then deal negotiation.
It’s worth a brief mention of what a foreclosure short sale actually is. Basically, foreclosure short sales are where investors negotiate discounts on properties before they are foreclosed. The key to success with foreclosure short sales is short sale training. Every successful business requires dedication and you should also be dedicated to proper training so you can learn how to successfully complete foreclosure short sales.
Despite the leads you can generate from foreclosure listings and the opportunities that exist with foreclosure short sales, I think foreclosure short sales can be risky for the investor because, without the proper short sale training, you run the risk of not really knowing what you are doing. Profits can be lost and so too can opportunities from foreclosure short sales when you lack the proper short sale training you need.
In today’s market, foreclosure short sales are as much as part of investing as any other part of the business and there are tons of deals to be found. Whether you’re just curious how to make a little extra money with foreclosure short sales or really want to pursue a serious business, you owe it to yourself to seize the current opportunity and pursue it.
Make sure you have quality foreclosure short sale training backing you when you invest because the deals are out there and you want to be ready for them. I highly recommend that you commit yourself to foreclosure short sale training, and your pursuit of foreclosure short sales will be more productive and more rewarding. I wish you the very best in success in all of your investing pursuits and in business as a whole.
Posted on March 10, 2010
Filed Under Foreclosure Short Sale | Leave a Comment
Duration : 0:0:0
Posted on March 10, 2010
Filed Under short sales investing | Leave a Comment
Duration : 0:0:0
Posted on March 10, 2010
Filed Under foreclosure investing short sale | Leave a Comment
Duration : 0:0:0
Real Estate Investing, Tricks of The Trade
Posted on March 8, 2010
Filed Under foreclosure short sale investing | 7 Comments
Many factors need to be analyzed and considered while taking a decision on real estate investments. Given below are a few useful tips.
Buying a property a once-in-a-lifetime decision is in most cases and it needs to be taken with great care so that you don’t lose financially. Even if you are indulging in real estate investing from a business point of view, it is essential that you should consider all aspects carefully before committing a large chunk of your financial resources. The following tips will help you in making the right decision.
Useful Tips For Real Estate Investing
You should study the market and watch the latest market trends in order to find out what most people are buying. If majority of the people are buying a particular type of property in a particular area, there must be some solid rationale behind such a decision. If you are confused, you should follow the market trend.
Do not be led by what the property dealer tells you. You should try to do your own research by checking up properties and their prices online. You can check the MLS listings on most web sites and become aware of the prices of similar properties in the neighborhood.
If you are planning to go in for real estate investing in partnership with someone else, you should take a joint decision in either money matters or regarding the management. You should not become partners in both aspects.
It is always a good idea to have a frank talk with the seller as to what he is expecting from the deal. The answer to this simple question will enable you to decide whether you will be able to afford the property or not.
It is essential that you should invest your hard-earned money safely. Experience has shown that you should not invest when the prices are rising as this upward trend might not continue for long and then you might be left high and dry. It is advisable to make a deal when the prices are stable as there is a good chance that the price of your property might go up in the near future, yielding good returns.
You should conduct a proper market survey before investing in real estate. Many people indulge in flipping real estate properties in order to make short-term gains. However, this option is rather risky as you might be stuck with a property if the rates go down or if there are no buyers. Your investment would thus be blocked and you might even have to suffer a financial loss.
The most important tip for buying property is that you should go through all the documents of the property with a fine toothcomb in order to check the license of the broker, liabilities relating to the property and other pertinent details. The contract documents should be properly made by a property lawyer and they should contain names of the parties, property details such as area, address, purchase price and other considerations.
Real estate investing in the form of foreclosures is a viable option. Foreclosure signifies the sale of a property of a homeowner by a bank or a lender when the owner is not able to pay back a loan.
All the above tips are merely guidelines to help you in making the right decision. However, a proper analysis of the situation, common sense and your gut feeling should prove to be your best guide.
James Klobasa
http://www.articlesbase.com/non-fiction-articles/real-estate-investing-tricks-of-the-trade-126246.html
Short Refinancing Frequently Asked Questions:
Posted on March 8, 2010
Filed Under foreclosure and short sale | Leave a Comment
What is a Short Refinance?
A short refinance is when a lender accepts less than what is owed on the mortgage to allow the home owner to refinance.
Will A Short Refinance Damage My Credit?
It depends; unfortunately this question has both a Yes and No answer. The short refinance could show up on your credit as Settled For Less Than Full and may drop your scores 50 -70 points. But in actuality most lenders will report as “Mortgage Paid” after a short refinance, which will actually increase your scores as it has no negative impact, but it all depends on your lender.
Can I get Get Cash Out From The Refinance?
No, since the lender is taking a loss as they reduce the amount you owe them, they will not allow the homeowner to get any money at closing.
Will I have to Pay Back The Difference?
Most lenders will normally release the home owner of the full balance in writing.  Especially if they know you don’t have any significant assets. And typically the IRS will require that you pay taxes on the forgiven amount but in 2007, they no longer consider the forgiven debt as taxable income on primary residences. Please consult with your tax advisor for more details on The Mortgage Relief Debt Act.
How Long Will The Process Take?
It depends on your specific lender, but normally you are looking on about 30 â 45 days. The key is to make sure you give the lender everything they need in a timely fashion and continuous follow up with your lender on a daily basis.
What Will I Need To Qualify?
Once you lenders give you the go ahead to start the Short Refinance procedure, then it’s just a matter of getting qualified for an FHA Loan. FHA has some of the lowest fixed rates available in today’s market as well as the the highest loan to values which is preferred by most lenders that are participating in short refinances.
How Much Will This Cost Me?
It depends on the loss mitigation professional that you are working with, but most normally charge about 1% of the new loan amount which is paid at closing and normally the only upfront fee is for the FHA appraisal.
Why Would A Lender Participate In A Short Refinance?   Â
Lenders only care about two things, which is how much you owe them and how much the house is currently worth. The reason they will consider to do a short refinance is because they will get more money out of a short refinance when compared to a short sale and a significant amount more than if the house was suppose to go into foreclosure. The short refinance is based on the market value of the property, while the short sale is based on the best offer and no one in this market is going to pay market value for a home today. Also the average foreclosure will cost a lender about $100,000.Â
Marlon Baugh
http://www.articlesbase.com/mortgage-articles/short-refinancing-frequently-asked-questions-730762.html
Foreclosure in Nevada Steps and Procedure
Posted on March 8, 2010
Filed Under Foreclosure Short Sale | Leave a Comment
Challenging Wrongful Foreclosure in Nevada
 LAW OFFICE OF MALIK W. AHMAD
ATTORNEY AT LAW
Â
(702) 270-9100
Â
Â
Â
Foreclosures are on the rise and in fact the largest in United States according to the latest statistics. Where ever two or more people get together they are discussing economy or foreclosure in Nevada, and especially in Las Vegas. This is a brief guide for lay persons about how to challenge foreclosure successfully, a feat that is possible though difficult. However, this memo is not a substitute for legal assistance, which is usually essential in this complex area of the law. Please get a proper legal help from a licensed and qualified attorney in Nevada as well as in Las Vegas. Also, be very suspicious of agencies or people who are calling from outside Nevada, with a different area code. Ask them first question what is the name of their attorney and his date of admission and possibly if you can speak to him directly. Please under no circumstances give any information to them.
This memo is divided into the following parts:
⢠Filing Bankruptcy before Foreclosure Occurs
Â
⢠Suing to Enjoin Foreclosure before It Occurs
Â
⢠Suing to Set Aside a Foreclosure that Has Already Taken Place
Â
⢠Filing a Counterclaim in the Detainer Action after Foreclosure Has Occurred
Â
⢠Filing Bankruptcy after Foreclosure
Â
⢠Procedural Grounds for Challenging the Foreclosure
Â
⢠Substantive Grounds for Challenging the Foreclosure
Filing Bankruptcy before Foreclosure Occurs
Â
Â
This is often the shortest and simplest procedure. It has the following advantages: a bankruptcy filing automatically prevents foreclosure temporarily and sometimes permanently; you have the opportunity to cure a default in your payments by paying the delinquent amount in installments over a reasonable period; you may be able to reduce or eliminate the fees of the lenderâs attorney; and you may be able to avoid interest on the amount you are delinquent (though not interest on the loan itself).
Generally, you will need a lawyer in bankruptcy. You must file before the foreclosure sale takes place, a time that usually is only 20 or so days after the foreclosure process starts with a letter to you or a notice in a newspaper.
Suing to Enjoin Foreclosure before It Occurs
Â
Â
To obtain an injunction, you must file a complaint in a court. You will need a lawyer. The process is made more arduous by a requirement that you give five daysâ notice to the lender before seeking to enjoin the foreclosure. This reduces the 20-day period to 15 days for acting.
Â
Temporary injunctions require a âclearâ showing of âimmediate and irreparable injury, loss or damageâ or âthat the acts or omissions of the adverse party will tend to render [the] final judgment ineffectual.â Judges take this requirement seriously.
Â
The most difficult requirement of all may be the need to give a bond âin such sum as the court ⦠deems properâ unless you successfully obtain permission to bring the action as an indigent person. A homeowner with only modest amounts of other assets and income may be unable to qualify as indigent and may also be unable to find anyone willing to provide a bond, especially one on short notice.
Suing to Set Aside a Foreclosure that Has Already Taken Place
The grounds for setting aside a foreclosure are limited to âsome evidence of irregularity, misconduct, fraud, or unfairness on the part of the trustee or the mortgagee that caused or contributed to an inadequate price.â Defenses like the absence of a delinquency or violations by the lender of federal or state commercial law may not be raised.
You have the burden of proof in a lawsuit to set aside a foreclosure. Damages are the only remedy. There is nothing to prevent a third-party purchaser from keeping your house even if he knows of your claim against the lender and even if he believes that your claim is meritorious.
Filing a Counterclaim in the Detainer Action after Foreclosure Has Occurred
Foreclosure may be challenged by a counterclaim when the lender (or other new owner of the property) seeks possession by a âdetainerâ action. It is better to file the counterclaim in writing, and the grounds for doing so are discussed below. It is preferable that you use a lawyer to assist you, but most persons do not.
There is an initial problem. A statute says: âThe estate, or merits of the title, shall not be inquired intoâ in a detainer action. Lenders may assert that a wrongful foreclosure may not be challenged even when the parties are before the court on the issue of possession, the right to possession is necessarily founded on ownership, and ownership depends on the lawfulness of the foreclosure. In our view, the statute disallows only attacks upon title based on transactions prior to the creation of the deed of trust. We also believe that the statute is inapplicable to counterclaims seeking to set aside a foreclosure, even if it bars defenses to the detainer action.
Not every new owner is successful in obtaining possession. It may overlook the proof that is necessary to show that it the foreclosure was conducted properly and that it was entitled to foreclose â things like affidavits or testimony showing that you did not make timely payments. You may and should contest every assertion made by the new owner, even if you do not have a lawyer. The new owner has the burden of proof. If it fails to meet that burden, the judge may conclude that you are entitled to remain in possession even though you no longer own the home.
On the other hand, if the new owner is successful in the detainer action, it is entitled not only to possession but also to the rental value of the property from the date of foreclosure until the date of removal. You have only ten days for an appeal to Circuit
Court and must furnish a bond. The amount of it can be prohibitive: a âsufficient amount to cover, besides costs and damages, the value of the rent of the premises during the litigation.â Even the furnishing of an affidavit of indigency may be insufficient to retain possession during an appeal.
Â
Filing Bankruptcy after Foreclosure
It is possible to set aside the foreclosure through the bankruptcy process. The grounds that may be asserted are discussed below.
There is some good news even if you lose the challenge; bankruptcy usually discharges all or part of a deficiency judgment against you for any amount still due after the foreclosure occurs.
Procedural Grounds for Challenging the Foreclosure
⢠Failure to Give Personal Notice. No personal notice to a borrower is required by statute. However, we believe that federal and state constitutions require personal notice to each borrower, either by summons or by certified mail that is actually received, and we are litigating cases so as to establish this principle.
⢠Insufficient Notice by Newspaper Publication or Posting in Public Places. Under Nevada statutes, advertisement of a foreclosure sale must be made three different times in âsomeâ newspaper âpublishedâ in the âcounty where the sale is to be made.â Only 20 daysâ notice is required, and the use of publications read almost exclusively by lenders and lawyers is permitted. Both the shortness of the time and the use of obscure newspapers seem vulnerable to constitutional objection. In addition, some counties have no eligible newspapers. In this case, written notice may then be posted in five âof the most public places in the county.â There is no guidance about what such places are or how they are to be determined. This is too vague a standard to pass constitutional muster.
⢠Failure to Give Notice Required by the Deed of Trust. Many deeds of trust require notice of foreclosure by certified mail, or at least by mail, in addition to notice by newspaper publication. Many also require notice â before foreclosure is sought — that the entire sum has been declared to be due because of a late payment or other default.
⢠No Meaningful Opportunity to Dispute the Foreclosure. This too is a constitutional challenge to Tennesseeâs foreclosure process. It is based on the notion that making you find a lawyer and file a lawsuit in 15 days, assume a high burden of proof, and furnish a bond are unfair hurdles imposed on you.
⢠Defects in the Foreclosure Sale. Nevada judges have said that the foreclosure must occur in the county in which the property is located; it must take place at an accessible location; and a lender may not use a purely technical default as a basis for foreclosure. However, when the lender demands the full amount of the debt, they have refused to let the borrower cure the delinquency by paying the disputed amount before the foreclosure occurs. They also have ruled that there is no minimum price that must be paid and have allowed the lender to recover a deficiency judgment if the amount received in the sale is less than the amount owed. They have yet to decide whether the combination of a shockingly low price and another procedural defect are sufficient to disallow the foreclosure.
Substantive Grounds for Challenging the Foreclosure
The following claims and defenses are among those that may be raised so as to defeat a foreclosure altogether or reduce the amount of any deficiency:
⢠Estoppel: Late Payments Were Accepted on Other Occasions. This suggests that the lender waived the right to refuse late payments and was estopped from foreclosing.
⢠Refusal: The Lender Refused to Supply a Pay-Off Amount or Accept Full Payment so Foreclosure Could Be Avoided. Despite unfavorable precedent, this could be a viable ground.
⢠Military Service: A Borrower was in Military Service at the Time of the Foreclosure.
Â
⢠The Loan was Unconscionabl:. That is, the inequality of the bargain is so manifest as to shock the judgment of a person of common sense, and the terms are so oppressive that no reasonable person would make them on the one hand, and no honest and fair person would accept them on the other.
⢠Unfair and Deceptive Practices (UDAP): The Making of the Loan, or the Servicing of It, was Riddled with Unfair and Deceptive Practices that Violated the Nevada Consumer         Protection Act.
⢠Unauthorized Fees: The Servicer Collected Unauthorized Fees for the Escrow Account, or  as Late Charges, or as Attorney Fees during the Foreclosure Process.
⢠Signatures: One Spouse Was Required to Sign the Mortgage Note even though the Credit of the Other Spouse was Sufficient.
⢠Capacities: One or More Borrowers Lacked the Mental or Physical Capacity to Borrow.
⢠YSP: (Yield Spread Premium): The Mortgage Broker Was Paid an Unlawful Sum by the    Lender.
⢠Fiduciary Responsibilities: The Lender Violated a Relationship of Trust with the Borrower that Developed in the Lending Process.
⢠Fraud or Misrepresentation: There Was Fraud or Misrepresentation by the Lender in the Making of the Loan.
Malik Ahmad Attorney at law
http://www.articlesbase.com/bankruptcy-articles/foreclosure-in-nevada-steps-and-procedure-740749.html
Posted on March 7, 2010
Filed Under Foreclosure Short Sale | Leave a Comment
Duration : 0:0:0
Posted on March 7, 2010
Filed Under short sales investing | Leave a Comment
Duration : 0:0:0
Posted on March 7, 2010
Filed Under foreclosure investing short sale | Leave a Comment
Duration : 0:0:0
keep looking »
