Monthly Archives: June 2010

BE CAREFUL!!!!!

Mortgage Info

Content Originally posted in ActiveRain by-Harry D’Elia-(This is a Repost)

Fannie Mae announced today that they will make people who can make their payments and who do a strategic default will make them wait seven years before they are eligible for a Fannie Mae loan. It is estimated that there are 11 million homes acros America who are under water. That means the home owner owes more on the mortgage than the current market value of the home. We are facing the worst real estate bubble in the history of this county. There were predictions that we could have up to 21 million households upside down in their house in three years. I believe Fannie Mae is taking an early position to make people think twice before they perform a strategic default.

DEFINITION OF A STRATEGIC DEFAULT

This is when a home owner is walking away from their mortgage that they could pay but have decided not to because they owe more than their house is were worth at the current time. Home owners are not seeing any hope. So, their ideal suggestion is to give up and start all over.

Furthermore, Fannie Mae stated that they will pursue deficiency judgments in states that allow this by law. Please contact Harry D’Eliato learn more about your option in Arizona. Do you want to be on this list? Strategic defaults are continuing to rise because people have lost hope in the American Finance Machine. People on Wall Street continue to receive big bonuses at Christmas time and the American home owner is losing their home. Where is the balance? Who is monitoring Wall Street?

Fannie Mae will look at each hardship as it crosses it desk. A person with an acceptable hard ship or an approved short sale will only have to wait two years before obtaining a mortgage backed by Fannie Mae. Another option for home owners is to sign over their house in a “deed in lieu of foreclosure” to avoid a lengthy foreclosure process.

Statistics show that 7 out of 10 people who were foreclosed on their home did not seek a real estate professional for assistance.

**BE VERY CAREFUL if you are considering this. Ethically it is dead wrong, but I do understand how Wall Street has many homeowners across the nation in disarray and desperation due to the program(s) they developed out of sheer GREED thus creating the housing market bubble to burst.  BUT this may not be your best option or an option at all. PLEASE weigh all your options so that you have something to stand on!  Kimberly

What We’re Hearing – Do You agree?

Mortgage Info, Professional Corner, ,

REPOST from Paul Muolo Broker Universe…..VERY interesting point of view.

THE MAIN EVENT: When it comes to mortgage banking, it’s all about jobs folks. I know I might sound like a broken record on this topic but Friday was another one of those “this can’t be happening” days in the stock market. By the time the gate closed, the Dow had plunged 323 points, sending the yield on the 10-year near its 52-week low. There’s no point in rehashing the reasons for the carnage. You know what they are. But a few thoughts for you: We are in uncharted territory here. The good news for lenders (and I guess, servicers) is that mortgage rates are going nowhere any time soon. That’s a given, but how do you, as a mortgage banker, profit from this? Loan applicants should be beating down your doors, hoping to refi. Is anyone funding a 4% 30-year FRM yet? (If so, drop me a line atPaul.Muolo@SourceMedia.com.) But wait, before you can refi or buy a home, you need a job and if Uncle Sam is the only one doing any significant hiring, then we’re all in trouble. You can blame the poor job picture on technology, perhaps. Computers, cell phones, and all those gadgets we love make us more productive. Why hire another worker bee when one reporter (for example) can do the work of two? You get the picture. I wonder if the Republicans were in charge whether the jobs picture would be any better. We’ll never know, really. Come fall if angry voters pull the lever to “throw the bums out” most of the bums getting the boot (regardless of party affiliation) will be the Democrats. But what if the GOP captures the House and Senate? Will they prove to be the deficit hawks they now claim to be? The GOP certainly wasn’t worried about spending money when George W. Bush was in the White House. Anyway, it’s a mess. Then again, maybe the jobs picture is really better than the numbers show. Maybe, as one stock analyst said Friday morning, there really are a lot of “semi-retired” people out there, collecting unemployment because, well, they can, and these people are really just sucking the blood out of unemployment insurance funds and skewing the numbers upward. It appears the U.S. auto industry is actually on the mend, and hiring. But as we all know, homebuilding (traditionally) is a huge creator of jobs and right now that sector is flat on its back…

10% BRAIN POWER and 90% ASS POWER

Inspirational, Mortgage Info, Professional Corner, , , , , ,

REPOST- ARTICLE BY LARRY BETTAG-credits and contact info below.  A must share for anyone in any industry!  This one is well worth your time.

When I was in high school, I was the perfect C student.

I’d come home my first quarter and I got 3 C’s and 3 D’s.  Second Quarter was 6 Cs.  3rd Quarter was 3 C’s and 3 D’s.  Final grade…..6 Cs.  I had a hard time adjusting to high school.  Frankly, I hated the studying.  My grades were my evidence that I hated studying.  Everytime my report card came in that year, and throughout my years of high school, I could hear my dad walking down the hallway for the “talk.”  By the 3rd time he came down, I had it memorized.  The magic phrase was life is 10% brain power and 90% Ass Power.  It’s never been more true in my life.

My 3 brother’s are MDs and my sister graduated number one out of Notre Dame’s MBA class.  I was the dumb one, but my mom and dad had two things they stress to me over the years.  Mom said that her role was to get me to heaven.  My dad said that his role was to make sure that I’m successful in life.  For him, it came down to 10% brain power and 90% Ass Power.

Long story short…

I went on and got a Master’s Degree in Clinical Psychology and subsequently graduated law school from Northern Illinois University.  Dad was right and now I’m saying the same B.S. to my kids.

When it comes to real estate, I will tell you invariably 100% of the time, I see the same thing.  Never a variation.

10% Brain Power and 90% Ass Power.

I see people who are more intelligent than me (I know that’s hard to believe).  But then I think that they really aren’t more intelligent than me because they won’t put forth the effort to be successful.

CRITICAL QUESTION????  HOW DO YOU DEFINE INTELLIGENCE?

If it’s I.Q. I’m right there, but not hanging in the Mensa Society or anything like that.  If it’s being smart enough to be successful, I think I’m post graduate in my level of thinking.

I had a great friend who made $1,000,000 of income

originating loans a few years back.  30 FHA purchase transactions a month.  At the end of the year, he said never again.  He was burnt out.  That was 5 years ago and he’s barely making it.  He’s barely at 3 deals a month.  I don’t think that it’s a sprint, but if you’re in this business you need to be in it for the long haul.  It’s a marathon, not a sprint.  It’s the ass power, the work ethic, the “get it doneness” that separates winners from losers.

I’m amazed at the talent that I see in my business, but those with the most talent often won’t work.  It’s such a welfare mentality.  “I’ll go to work today, check my e-mails and hope that the phone rings” doesn’t work in today’s market.  Players vs. Pretenders.  If you are going to work, you need to work hard.

If I were to make a bottom line statement here it’s that failure to work with a purpose, means that your livelihood in this business is in jeapardy.

My reason for writing this post is for inspiration.  You don’t have to be the smartest.  But anyone who is willing to work on purpose and who will out work the competition will be successful.  Remember,

10% Brain Power and 90% Ass Power

Larry Bettag – Regional Vice President, Midwest Region

Illinois FHA Specialist

630-417-7172-Cherry Creek Mortgage Company