Making Home Affordable – Website Helps Homeowners Struggling with Mortgage Payments

Coming on the heels of the Obama Administration's recent launch of a new program to help troubled homeowners, the government has launched a new website to offer assistance to those seeking relief from mortgage payments they cannot afford.  The website Making Home Affordable offers several resources to help troubled homewowners determine if they are eligible for assistance with their mortgage.  There programs are aimed at homeowners struggling to remain current on the mortage payments on their primary residence. Since President Obama announced the Making Home Affordable program, lenders have been flooded with calls from homeowners … [Read more...]

Is it a Recession or a Depression?

Have you heard the old saying: "A recession is when your neighbor loses his job...a depression is when you lose your job." Yeah, that used to be kind of funny until we all found ourselves in a position where we had to decide between the two.  Face it, we are all in one category or the other these days. This saying comes to mind as I read different blog posts and comments about the recent announcements of the Obama Stimulus Package and the Homeowner's Assistance Plan dubbed Making Home Affordable  (for information on this program, check out the official site at www.financialstability.gov).  Clearly, our nation is facing some unprecedented … [Read more...]

Bank-Owned Homes – Selling like Hotcakes!

I recently posted about the zombies of real estate - the short sales.  At the opposite side of the spectrum are the foreclosed homes, commonly known as REO's (Real Estate Owned) or homes owned by the bank.  REO's are being listed at very competitive prices and often sell in a matter of days. In many areas, the majority of homes sold are REO's. Here are some interesting statistics from February: In Gilbert, 51% of homes sold in February were REO's. Only 16% of homes listed were REO's.  Months of inventory of REO's: 2.5 In the City of Phoenix,  81% of homes sold in February were REO's. Only 36% of homes listed were REO's.  Months of inventory … [Read more...]

Are Short Sales Worth It?…The Zombies of the Real Estate Market

Short sales are the most misunderstand real estate transaction out there.  A short sale, or "pre-foreclosure" sale occurs when the Seller is selling the home for less than what is owed to the bank, or banks, if there is a second mortgage on the property.  The transaction can only take place if the bank (or banks) approve the sale, and believe me, this makes for a very difficult transaction that can stretch out for many, many months. With the growing number of homeowners in financial distress, it is no surprise that the number of short sales on the market has increased dramatically.  There is even a cottage industry of companies to support … [Read more...]