HOMES & LOANS IN THE FOREFRONT

WHAT BEING AMREICAN IS ALL ABOUT

2011-05-23T05:08:00.000-07:00

Some of you may know that I take great pride in The National Anthem. This may be the single best version yet. Be sure to watch all the way through,and you'll see why:

This was preformed at Fenway Park as part of the Red Sox Disability Awareness Day.
If you don't find some pride welling up inside you, well....that's your loss.

I Have Burger News Ta Tell You

2011-04-14T05:06:00.000-07:00

OK, I have to admit something I never thought I would. I've found a burger BETTER than In-N-Out. Yes, it's true. I've been a staunch In-N-Out Burger guy since high school. But there's a hot, juicy new burger that's taken my carnivorous heart. It is the Single Cheese Burger at 5 Guys Burgers . What is 5 Guys, you might ask? It's an East Coast chain that is just coming out here. I had seen them many times in Florida, but never stopped by. What a dummy I am!

7945 Haven, Rancho Cucamonga,CA 91730

(909)941-9055

Here's where 5 Guys makes my beloved In-N-Out second best. First of all, when you walk in, you are greeted by giant boxes of peanuts. Because the line for burgers in literally out the door, you'll have plenty of time to eat a handful.And in the wonderful Haitian tradition, you are expected to toss your shells on the floor. Any place that lets you toss peanut shells on the floor is my kinda' joint.

But back to the burgers. Not only are they fresh ground and cooked, but the topping list is insane.You can get the regular lettuce/tomato/onion/pickle combo, BUT WAIT..THERE'S MORE! You can get sautéed mushrooms, jalapeños, A-1 Steak Sauce, green peppers and a bunch of other stuff I can't remember. I would be remiss if I didn't mention the fresh cut Cajun fries as well. I had it on good authority to be sure to try them. Let me just tell you that the velocity with which those fries were inhaled makes me appreciate the body of work my source put into their research.

So if you want to fall in love all over again, you might venture to the N/E corner of Foothill & Haven, in the Terra Vista Towne Center. The restaurant faces out onto Haven. The place will be easy to find. It will have a line out the door,and peanut shells everywhere.

ENJOY!

Cozy Up To The Bar

2011-04-01T05:15:00.000-07:00

I know there's a bar graph involved, but it's really good news!!

If you have a living fear of statistical analytics, or if you're like me and hate all the "Smart Maps" that CNN pulls up and plays with for every conceivable thing they can label in red or blue, fear not! The graph above is good news, and so is the link below:

I swear it's good news and requires no critical thinking.

Pat Palmer-Realtor/Broker

Real Estate The Right Way

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Your FICO Score After A Short Sale

2011-03-31T05:10:00.000-07:00

Research looks at how mortgage delinquencies affect scores How much impact does a short sale have on FICO® Scores? How about a foreclosure? Since I frequently hear these questions from clients and others, I thought I’d share new FICO research that sheds light on this very subject.

The FICO study simulated various types of mortgage delinquencies on three representative credit bureau profiles of consumers scoring 680, 720 and 780, respectively. I say “representative profiles” because we focused on consumers whose credit characteristics (e.g., utilization, delinquency history, age of file) were typical of the three score points considered. All consumers had an active currently-paid-as-agreed mortgage on file.

Results are shown below. The first chart shows the impact on the score for each stage of delinquency, and the second shows how long it takes the score to fully “recover” after the fact.

All in all, we saw: The magnitude of FICO® Score impact is highly dependent on the starting score. There's no significant difference in score impact between short sale/deed-in-lieu/settlement and foreclosure. While a score may begin to improve sooner, it could take up to 7-10 years to fully recover, assuming all other obligations are paid as agreed.

In general, the higher starting score, the longer it takes for the score to fully recover. Even if there’s minimal difference in score impact between moderate and severe delinquencies, there may be significant difference in time required for the score to fully recover. This study provides good benchmarks of score impact from mortgage delinquencies. However, it is important to note that research was done only on select consumer credit profiles. Given the wide range of credit profiles that exist, results may vary beyond what's in the charts above.

Originally posted by Joanne Gaskin

Pat Palmer-Realtor/Broker Real Estate The Right Way Visit Our Website Here Looking For A Change? Click On Our Career Page Here

WARM COCKLES

2011-03-30T06:48:00.000-07:00

OK, I admit it. There's nothing that warms the cockles of my heart more, or makes my morning coffee taste that much better than reading about a real estate broker, agent or attorney getting convicted of real estate fraud. So if your cockels are cold, or you want to join me in a great tasting cup of coffee, feel free to do so. Luckily not everyone is free to do so this morning: For cockle warming, CLICK HERE . If you want to know what your cockles actually are,CLICK HERE .

Pat Palmer-Realtor/Broker

Real Estate The Right Way

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What Do You Do When THIS Is In Your Back Yard??

2011-03-26T07:44:00.000-07:00

The answer to the question" What do you do when The Sweet 16 is in your back yard?" The answer is actually pretty simple. You go to your back yard and watch part of the best sporting event in America, March Madness. This year, one on the arenas hosting The Sweet 16 was the Honda Center, in Anaheim. The teams were San Diego State/U Conn, and Duke/Arizona. For any of you that did your office bracket, the excitement is 100 times greater with 17,000 people cheering their teams with abandon. By the way..for those of you with brackets, VCU just killed you,huh? And don't lie, unless you're from Richmond,VA, you know you didn't have VCU in that one pool that "counts".

Before I wrap this up, if you are ever going to go to the Honda Center and don't want to pay the $7,455 they want for parking, give me a call or email. We found free street parking withing a quarter mile.

Pat Palmer-Realtor/Broker Real Estate The Right Way Visit Our Website Here Looking For A Change? Click On Our Career Page Here

In An Unexpected Move, Bank of America Replaces God With Itself

2011-03-16T05:11:00.000-07:00

This just in. All references to a Higher Power in the Bible,Torah and Quorum have hereby been replaced by Bank of America. In a newly released excerpt from the Los Angeles Times, BofA has hereby designated itself God to the entire world. Verses of your favorite Good Book will now be replaced by credit card service fees. What? You don't believe me?? I'm aghast. Have a little look see at the link below. From what I can read, BofA spokesperson,Betty Riess,will be replacing St. Peter at the Pearly Gates:
Betty Riess Replaces St. Peter At The Pearly Gates

Then again, I'm sure Ole' Bet is doing him a favor. He's been standing there a long time. He probably needs a break. Thank BofA that she's here.

Now if that's not reason enough to move Christmas to whatever day BofA was born, have a look at the video link below. It starts out a bit "industry-centric", but it moves right into the part that should interest you real quick. ..why your loan will cost more with the re-vamped Deity and Their Apostles. Not only that, but comparing Barney Frank to The Scarecrow is funny as hell:

The Apostles According To Bank of America

So next time you're at BofA, please remember to remove your hat and bow your head in thankfulness. No need to give that huge offering when they pass the basket. BofA will just charge your credit card.....Amen.

Pat Palmer-Realtor/Broker
Real Estate The Right Way
Visit Our Website Here
Looking For A Change? Click On Our Career Page Here

1 Minute Housing Market

2011-03-15T05:08:00.000-07:00

Please click here to view the MARCH-2011 Newsletter Housing Trends Newsletter.

Welcome to the most current Housing Trends eNewsletter. This eNewsletter is specially designed for our Forefront Real Estate clientele, with national and local housing information that you may find useful whether you’re in the market for a home, thinking about selling your home, or just interested in homeowner issues in general. The Housing Trends eNewsletter contains the latest information from the National Association of REALTORS®, the U.S. Census Bureau and Realtor.org reports, videos, key market indicators and real estate sales statistics, a video message by a nationally recognized economist, maps, mortgage rates and calculators, consumer articles, plus local neighborhood information and more.

If you are interested in determining the value of your home, click here for a free evaluation report.

Are you a real estate professional looking for a change, visit our Career Page here.

Pat Palmer-Realtor/Broker

Real Estate The Right Way

Visit Our Website Here

Looking For A Change? Click On Our Career Page Here

NUN FRAUD...GO FIGURE

2011-03-09T06:56:00.001-08:00

A long time ago, I quite thinking that I'd seen it all in this industry. Have a look at the link below. I've never heard of Nun Fraud before...much less nuns having half a million dollars to be defrauded out of. Read About Nun Fraud Here

Are you a real estate professional looking for a change, visit our Career Page here

GOOD FOOD, GREAT PRICE-WaBa TERIYAKI

2011-03-04T13:52:00.001-08:00

Every now and again, you stumble across a good place to eat. At lunch today, our office manager, Tony Sevilla ,and I did some stumbling in Rancho Cucamonga. We thought we were walking into a new sushi place, but found had we read all the way to the bottom of the sign, we would have found WaBa Teriyaki. Nowhere in that is sushi mentioned. When we stopped to think about it, that made sense because they don't serve sushi. Luckily, they do serve some mean teriyaki.

9670 Haven #104
Rancho Cucamonga,CA
909-945-3241

The restaurant was very clean, open with a lot of light, and both indoor/outdoor seating. Because it's located in the middle of a good sized professional center, people watching goes well with either a teriyaki bowl or plate.That's a good thing, because that's all they serve. No need for anything else either. It's THAT kind of good. Going with the adage"No one likes to eat in an empty restaurant", there were a LOT of happy people. The food is served quickly, it's low in fat, and more food that $5-$7 should ever allow.

The only drawback is if you aren't stumbling,and actually want to find the place. You won't see it off of either 4th Street or Haven. It's tucked around the back of the N.W. corner of that intersection.

THE BUSINESS END OF A GOOSE

2011-03-02T07:30:00.000-08:00

If it's too good to be true...IT'S A REAL ESTATE SCAM!!! Here's a tip from Ole' Pat... There's no Golden Real Estate Goose laying Golden Real Estate Eggs. What comes out is something much more common in geese.

To see what really comes out of that goose, click on the following link:
Man Indicted On Huge Real Estate Ponzi Scheme

2011-02-28T07:25:00.000-08:00

Sunday morning..a hot cup of coffee..just my dogs and I on a walk. Now both my dogs and I are in pretty decent shape so running out of breath doesn't normally happen. Well, it does to my Springer, Sleepy. But that's after I toss him the Frisbee. Personally ,I'm not about to chase a Frisbee.But, as I round the corner from my house, THIS is what took my breath away:

Upland,CA is still one of the most beautiful, established cities in the area. If you are thinking of buying a home, this is a place you should consider. To make your fact finding a bit easier, Click Here to see Upland Demographics.

Pat Palmer-Realtor/Broker
Real Estate The Right Way
Visit Our Website Here
Looking For A Change? Click On Our Career Page Here

PHO HA IN RANCHO CUCAMONGA-Not Your Grandmother's Soup

2011-02-27T07:45:00.000-08:00

OK, you're at the Foothill Village Shopping Center,on the Southeast corner of Foothill/Hellman, in Rancho Cucamonga. Oh, and you're hungry.

Do you...?

A) Go to Chuck E. Cheese and pay wayyyy too much for really bad food, or...

B) Look over your shoulder and find this ?

Pho Ha-Rancho Cucamonga
9319 Foothill Blvd. #C
Rancho Cucamonga,CA
909-980-7703
Read Yelp Review Here

Trust me when I tell you to leave all the petulant children, inattentive parents and annoying oversized rat, and run as fast as you can to the restaurant with the funny looking squiggly line over the "O" in Pho Ha(prounounce Fa Ha, or Fu Ha..I'm still not totally sure).

So now that I've saved you from the drudgery of The Cheese, let me tell you what Pho Ha is.
What it is NOT is not your grandmother's soup restaurant, unless your grandmother is Vietnamese. In which case, I'd like to be invited the next time she makes soup. What it is, is a very healthy beef or pork based soup. It is served piping hot with various thinly sliced pieces of meat. and noodles already in the soup. With it comes a plate of bean sprouts, lemon wedges and fresh mint sprigs. To it, you can add various sauces that are already bottled on your table.

In addition to the soups, there are a wide variety of other very tasty Vietnamese salads, spring rolls, sea foods, and Asian drinks you may not have tired, but should. All of them are very reasonably priced.

'A couple of warning for you. If you go on a weekend, plan on waiting. The place is generally packed and loud. It's not a place to take your prom date. But if you like very good, reasonably priced, ethnic food, by all means,go.

SERIOUSLY???...REALLY???...WOULD YOU GIVE YOUR SSN TO THESE GOOD FOLKS???

2011-02-24T11:16:00.000-08:00

SOOOOOOOOOOOOO, ummmmmmmmmmm.....Never mind!!!

Well, on second thought, they do offer a money back guarantee.

Are you a real estate professional looking for a change, visit our Career Page here.

1 MINUTE HOUSING MARKET

2011-02-16T07:10:00.000-08:00

Please click here to view the FEBRUARY-2011 Newsletter Housing Trends Newsletter.

Welcome to the most current Housing Trends eNewsletter. This eNewsletter is specially designed for our Forefront Real Estate clientele, with national and local housing information that you may find useful whether you’re in the market for a home, thinking about selling your home, or just interested in homeowner issues in general.

The Housing Trends eNewsletter contains the latest information from the National Association of REALTORS®, the U.S. Census Bureau and Realtor.org reports, videos, key market indicators and real estate sales statistics, a video message by a nationally recognized economist, maps, mortgage rates and calculators, consumer articles, plus local neighborhood information and more.

If you are interested in determining the value of your home, click here for a free evaluation report.

Are you a real estate professional looking for a change, visit our Career Page here.

I'LL BE A MONKEY'S UNCLE

2011-02-09T10:59:00.000-08:00

TO READ THE SHOCKING STORY OF THE 79.9% CREDIT CARD BILL & HOW IT EFFECTS THE AGING PROCESS.... Click Here

As part of the new Consumer "Protection" Laws enacted at the beginning of the year, you too can have a credit card with an interest rate of 79.9%. That's not a typo, and it's not a spell check error, and the decimal is actually in the right place. As part of the Credit Card Reform Act ,some card issuers are charging a wheezing breath below 80% interest. It kind of makes you wonder if those in charge of "reform" actually read the legislation they are enacting.The person shown below is an actual credit card customer who has just received their monthly statement. The saddest part of all is they are only 34 years old.

WHY TIME IS WORTH MORE THAN MONEY

2011-02-01T16:00:00.000-08:00

Why do we do what we do? Far too often we get caught up in the hectic pace of...What's Next, What's Left or What's To Come. But if we take a moment, sometimes we find the time to do things because we should. It's a privilege to give that time to a worthwhile endeavor.

Q: WHAT DOES THE ROOT OF ALL EVIL,ANDREW CUOMO AND CIRCUS GUYS WITH FEZ HATS HAVE IN COMMON?(Part 1)

2011-01-25T09:00:00.000-08:00

A: They are all involved in screwing up your appraisal.

Let me take a moment to introduce myself. I'm the root of all evil. This is according to my good friend, The Governor of the Great State of New York, Andrew Cuomo. You see, Andy..'cause that's what his good friends call him, Andy decided the best way to gain timely headlines just before getting himself elected to the governorship...I mean just in time to save every American from we evil mortgage companies, was to point a finger at how we went about our dastardly deeds.

Andy figured out that because I am so evil, I could unduly influence the appraiser I sent to your home during your loan process. The theory goes that I could cross the River Hades, and force my appraiser to come up with totally inflated values on your home, thereby causing the collapse of the real estate market. By the way, I was also responsible for that whole burning of Rome thing. Niro was actually just a crazy fiddler.

Anyway, Andy decided to save you from me by doing what any attorney worried about the good of mankind would do...He sued. Through this suit was born something called HVCC, or Home Valuation Code of Conduct. Part of this lil' ditty is how your appraisal is now conducted.

In those evil old days, I would call an appraiser that I've worked with for years (let's call him Mike), ask him to check the value of your home before going out, and then charging you around $300 for the appraisal. But NOW, I have to go on line(because my evilness forbids me from talking) and order your appraisal with an appraisal management company. These are companies that act as a liaison between the devilish mortgage broker and appraiser. Here's the best part. That appraisal that used to cost $300 now costs $450.Why? Well to protect you, of course. That protection involves the management company randomly picking an appraiser they probably have never met from a list they rarely review.And what of that $450? Well it's immediately charged to YOUR credit card. Here's the next best part. Instead of Mike The Appraiser getting $300 for his expertise, the management company gets between $200-$300 of that $450. The anonymous appraiser now gets around $150 for the same work. Imagine how shoddy THAT work can be! More on that in Part 2 of this post.

Ohhhhhh, and I almost forgot something!! My buddy, Andy Cuomo...Guess who now owns several of the largest appraisal management companies? The banks, of course..DUHHHH! Because who is more benevolent, sacred and caring than BofA, Chase and the rest of the banks.

What has become of Andy's concern for you has become a circus. Unfortunately, the guys in the fez hats have run us all over in their little cars.

KEYS TO YOUR FICO SCORES

2011-01-12T07:34:00.000-08:00

While I don't rely on Yahoo for much in the way of financial information, the article below is spot on.

FICO Questions Answered: Fair, Isaac CEO Reveals 3 Keys to Improve Your Score
Posted Jan 11, 2011 03:59pm EST by Daniel Gross Updated from 3:59 p.m. EST

Many people have questions about the credit scores generated by Fair, Isaac & Co. Today on Tech Ticker, Aaron Task and I figured we'd take our questions straight to the source: Mark Greene, chief executive of Fair, Isaac & Co., creator and proprietor of the FICO score.

"The FICO score is a measure of a consumer's financial health and creditworthiness," Greene says. It's simply a number, ranging from 300 to 850 -- the higher the better. The average FICO score in the U.S. is about 700, and pretty much every bank in the country uses a FICO score when making lending decisions. But while the scores are important, they're not the be all and end all.

"Scores are meant to be one of several things bankers use in doing what we call sound underwriting," Greene says. Lenders should also be taking into account borrowers' background references, their capacity to repay loans, and collateral.

FICO creates the score simply by feeding numbers into its formula: "It's based on pure, statistical evidence, with no judgment or evaluation or emotion." The main factors Fair, Isaac takes into consideration are:

• How much total indebtedness a consumer has
• How long they've had the debt. "Newer relationships are riskier than things you've been paying over a long period of time," Greene says.

• How much available credit is being used: "If you're close to the edge on your credit cards, that's a danger signal."

• The mix of an applicant's credit portfolio -- is it all credit cards (bad) or a mixture of credit cards, a mortgage, and a car loan (better)?

Greene outlines three key ways through which people can improve their scores. First, pay your bills on time. Second, don't get close to the edge: "Don't use more credit than you really need." And third, don't apply for new credit unless you absolutely have to.

It may sound obvious, but the easiest way to avoid a sharp downgrade in your FICO score is to stay current on your mortgage and stay solvent. "One thing people should know is that a foreclosed home or personal bankruptcy is the most severe harm that you can do to your credit score," Greene says. FICO scores can fall by as much as 150 points when borrowers walk away from mortgages or declare bankruptcy; it can take up to seven years to rehabilitate the rating.

Greene helps clear up what may be some misconceptions about the way credit scores are calculated. For example, is it true that every time you apply for a loan it hurts your score?

"It depends on the kind of product you're shopping for," says Greene. With car loans, for example, Fair, Isaac understands that people shop for rates. "If you apply for five different car loans within a couple of days, we understand that you're looking to buy one car at the best rate. And there's no adverse impact on your credit score."

On the other hand, when people apply for five different credit cards in the space of a week, they're usually seeking to open multiple accounts simultaneously. "In those situations we will take a few points off someone's FICO score because we're worried they're sending a signal that they need too much credit."

Is it true that people who have little or no debt may find themselves with lower credit scores? That can be the case. "Warren Buffett used to say that he didn't have a particularly high credit score," says Greene.

Greene also points to a just-launched website, scoreinfo.org, that helps people understand how credit scores factor in this new era of financial regulation. As of January 2011, you have the right to receive your score any time a lender makes certain kinds of decisions -- e.g., if you're denied credit or given credit on less than the most favorable terms a lender offers

In the U.S. economy today, people may frequently find that a credit score is being used by companies to make decisions that have nothing to do with credit. Credit scores have become part of the application process for jobs, car insurance, and health insurance. Greene notes that the credit score can be useful in non-lending contexts: "People who are good with their finances frequently turn out to be good drivers." But he reiterates that they were designed for a purely financial use.

Daniel Gross is economics editor and columnist at Yahoo! Finance

Pat Palmer-Realtor/Broker
Real Estate The Right Way
Visit Our Website Here

IT'S NOT GOOD BBQ IF YOUR FINGERS DON'T STINK

2011-01-06T08:05:00.000-08:00

Yesterday, while in Rancho Cucamonga, I broke two of my own Cardinal Rules (do Cardinals..or cardinals..actually eat BBQ) when it come to BBQ.

Rule #1: Always eat at a Mom & Pop Establishment that has years of actual smoke build up inside and out.
Rule #2: Said establishment should have one of the following in its name...Mama's, Auntie or Tiny's. A sub-rule is that Mama, Aunite or Tiny should actually be in the kitchen.

In a moment of temporary Memphis weakness, Tony (Forefront Real Estate's office manager) and I found ourselves at Dickey's BBQ yesterday.It's important to note that Dickey's is a chain joint, and Dickey was no where to be found.While the service was very good, the prices and the food weren't.

I had the chopped beef,Big BBQ Sandwich. Apparently the term "Big" has different meanings in different parts of the country. Typically, if the entire inside of the bun can be covered by two pickle slices, "Big" isn't the first thing that comes to mind. Luckily, the meat was dry and pretty close to tasteless. The added bonus was that the BBQ sauce was basically colored vinegar. How do I know, you ask? Because it kept coming back all afternoon. 'Sorry you asked, huh?

Tony had a beef plate combination. His comment when he was done was ' For $9, I should be more full". The entire bill was about $23 bucks. When we were done eating, we both noted the absence of need for two very crucial parts of any good BBQ...toothpicks or extra napkins. In fact,the only think I needed was some trail mix to satisfy my remaining hunger.

I'm off to find Mama or Tiny.

OUR NEW OFFICE

2010-12-13T11:30:00.000-08:00

We are VERY proud to announce that Forefront Real Estate has a new home. We are now located in the:

Executive Law Offices Building

3175-E Sedona Court Ontario, CA 91764

While others may be closing up shop, the pride we take in providing honest, attentive service is allowing us to grow. We would like to thank all of our clients for their trust in us. Please feel welcome to stop by and see our new digs.

THE NON-REAL ESTATE POST

2010-11-28T17:25:00.000-08:00

Every now and again, a post has nothing whatsoever to do with real estate. This is one of them.

After a wonderful Thanksgiving weekend, I've confirmed a long held belief.College football is the the greatest sport in America, and here's why:
Games are played at The Big House and at The Horseshoe. They are played on The Farm, in The Swap and in The Bayou After Dark. They gather at Happy Valley, Death Valley and Between The Hedges. One stadium has a BLUE field.

Some rivalries are from the late '80's....the 1880's. They were/are coached by guys named Bear & Bo, The Ole' Ball Coach & The Mad Hatter..Joe Pa' and Woody. Some of them have coached at the same school for generations.

While the players don't play for money(save the snickering), they play their hearts out for things like The Oaken Bucket, The Apple Cup, Paul Bunion's Axe, The Iron Bowl, The Fremont Cannon,The Milk Can and The Bedlam Bell.Some of the biggest college football cities are Ann Arbor, Tuscaloosa, Boise, Baton Rouge and Knoxville.There's Austin, Lincoln and Auburn. I don't know about you, but I couldn't find most of them without a football map.

And then there are the mascots..You have a Nittany Lion and a Georgia Bulldog, there's the LSU Tiger ,Traveler the white Trojan horse and Bevo The Bull. Mind you ,those are all REAL animals. Toss in a push up crazy Duck, an ugly Stanford Tree that has no real meaning, and an Orange Syracuse looking tennis ball thingy and you have mascot craziness.So there you have it. All the reasons college football is the greatest sport in America...well, right up to March. Because that's when March Madness kicks in. But right now, I think I'll make a turkey sandwich.

I DON'T THINK I WANT THIS LISTING

2010-11-26T05:46:00.000-08:00

Do you think this listing agent may have a disclosure issue?

So in today's California real estate market, the listing agent has some 20+ pages worth of disclosure related forms to go over with their seller. There are questions relating to "release of illegal substances (meth labs)" to " pets on the property", to...and I swear this is real..."the likelihood of being hit by a golf ball".But, how does a listing agent disclose to the other agent & buyer that their dream home is actually...A BOMB MAKING FACILITY!!!

Have a look at this link:
How To Fall Out Of Escrow In One Easy Lesson

I don't know about you, but I think the seller should have at touched up the white picket fence just a bit.

TOP 6 THINGS NOT TO BUY FROM POLES

2010-11-20T07:21:00.000-08:00

I have a theory in life. There are only two things that you should ever "buy" from a telephone pole.One is anything you find at the yard sale being advertised on it. The other is the puppy or kitten (often free) that an exacerbated parent it sleeplessly trying to get rid of. Other than that nothing good is going to come from your drive-by, bargain hunting experience.

Does the term " Phen Phen " still ring a bell? If not, it was a weight loss drug that cornered the pole advertising technique many years ago. It was great until people started dropping dead from cardio-hypertension. Pole advertising is the equivalent of Walmart putting razors and breath mints near the check out counter. Do you really need the Mach III blades that bad? Why on earth would you be inclined to buy your new kitchen re-model while going 45 miles an hour?

Maybe my expectations are too high, but I kind of prefer a business card and references when I'm shopping for something that has at least one comma in the price. I'm not very inclined to seek the services of Dr. or Esquire Phone Pole.

So, here is my list of services you should NEVER, EVER,EVER,EVER buy from a pole:

6. Hair Replacement Surgery (This is always a touchy subject with a man of my hairline)
5. Home Re-Modeling Contractors
4. Loan Modification Companies(It doesn't even read right, huh?)
3. Any Attorney Service( God forbid I need a divorce, bankruptcy or bail! But that's not the place I want to learn about my representation)
2. Mortgage Loan (Is it really a stretch to think the "Rates as low as 2%" sign might be a lie?)
1. Realtor(Begrudgingly, I'll give you bus bench, shopping cart handle advertising. But seriously now? Do you really want to list or buy your home from someone tacked to the Haven offramp directional sign?)

BANKS CAN BE A PAIN IN THE ASS OCIATION

2010-11-16T09:22:00.000-08:00

Raise your hand if you live in a condo, town home, or any complex that has a home owners association dues (HOA). OK, now put your hand down because your office mate will think there's something wrong with you. Then again, if you belong to an HOA, there may actually be something wrong.

In the latest twist of " Why BofA, Wells and Citi Should No Longer Be On Your Christmas Card List", it seems that our banking buddies have largely decided to ignore the HOA dues that continue to occur after they have taken a property back. HOA dues are similar to a utility bill in that they need to be paid every month... even after the bank has foreclosed.

They differ in one HUGE respect. If BofA doesn't pay the light bill on a unit they now own, the electric company just turns off the power. But if BofA doesn't pay the HOA bill, that cost mounts up against the HOA. Now since the Big 3 own hundreds of thousands of dwellings with unpaid HOA dues, guess what happens?Well, the HOA raises your dues to make up the difference, little things like maintenance go unattended, and if the HOA isn't healthy, future buyers can't buy that run down, beat up foreclosure that BofA won't pay dues on...because the buyer's lender is worried that HOA isn't healthy. I think I made myself dizzy just then.

Like so many other oversights the banks have managed to,well, overlook, the only way to get their attention is for states to sue them. What a party THAT must be! Bank attorneys arguing with state Attorneys General.Nothing but fun there. Below is a link to an article that outlines the State of Florida's attempt to force banks to pay the HOA dues they are reluctant to pony up on now:
Click Here To Take BofA Off Your Christmas Card List

LAGUNA BEACH vs. SOUTH BEACH

2010-11-12T05:52:00.000-08:00

As some of you might know, I was lucky enough to spend my childhood in Iowa. After years spent earning extra money shoveling snow in the winter, I am also lucky enough to spend my adult life in Southern California.My other favorite place, one that gains more in volocity the time, is Florida. Both have been hit hard by the foreclosure market. Yet, their recoveries are vastly different. California foreclosures are considered non-judicial , while Florida falls under judicial foreclosure mandates. Imagine that anything involving judges and attorneys might get bogged down with little in the way of a satisfactory outcome for anyone. As Florida continually provides reasons to invest passions, time and energy, let's hope it also recovers soon. Below is an excerpt from a Los Angeles Times article that hi lights this point:

By Alejandro Lazo and E. Scott Reckard, Los Angeles Times
November 5, 2010

..California and Florida had a lot in common during the housing industry's last boom-and-bust cycle.Both were overrun by buyers hooked on high-risk mortgages, speculators who helped push prices to historic peaks and builders who didn't know when to stop. When the bubble burst, the two states became leaders in mortgage defaults, price declines and tracts of unsold new homes.But in the last year or so, California's housing market, though still weak, has begun recovering, while Florida's remains on the critical list.

There are several reasons for the difference, but many experts say a key one is the approach to foreclosure.California keeps things less complicated and largely outside the courtroom, making it easier for banks to seize and resell homes. Like 22 other states, Florida requires that repossessions be approved by judges, which some argue provides extra protection for homeowners but can delay the process for months."The California process is very efficient, and that allows the state to work through the foreclosure morass much more quickly, and the result is a more stable housing market and economy," said Mark Zandi, chief economist for Moody's Economy.com."Florida, in contrast, because of the process being so mucked up there, they still have a long way to go in working through their problem loans, and so their housing economy remains under significant pressure," he said.

Home prices in the two states tell the tale.California home sales and prices have tapered off since the boost from federal tax credits for buyers vanished in July, but home values are up considerably from the worst days of the bust. The median price for town homes, condominiums and single-family houses in September was $265,000, up 20% from the bottom in April 2009, according to MDA DataQuick.In Florida, prices in much of the state have struggled to find a bottom. The median price of a single-family home in Florida was $133,400 in September, a 48% decline from its June 2006 peak, according to data from the Florida Assn. of Realtors. Condominium prices have seen an even bigger plunge, with the statewide median hitting $83,400 in September, a 61% drop from its June 2006 peak.

Another closely watched indicator, the Standard & Poor's/Case-Shiller index, shows prices in Los Angeles up 10% from their bottom, San Diego up 14% and San Francisco up 21%. In Miami, home prices have remained relatively flat, up 2% from their bottom, and Tampa-area prices have yet to stop falling.The different types of foreclosure systems have come into focus in recent weeks after major lenders acknowledged that in some states where a court order was required to seize a home they had employed so-called robo-signers, who attested to the accuracy of foreclosure documents without reading them.

Those improprieties prompted some major banks to halt foreclosure proceedings temporarily, sparked investigations by state and federal agencies and led to calls for a national foreclosure moratorium, which the Obama administration has resisted.The paperwork fiasco brought to light a cold fact: Calling in a judge slows the repossession machine.The average borrower in default lost the home after failing to make mortgage payments for 25 months in Florida and the other states where court approval is required for repossessions, according to a study by Amherst Securities Group. The average is 19 months in California and other so-called nonjudicial states.The process could be even faster in states like California, but banks have been slowed by moratoriums, loan-modification programs and their own efforts to manage the number of properties reaching the market....

A WASTE OF MONEY & ANDREW CUOMO

2010-11-01T07:39:00.000-07:00

Sometimes,throwing your money out the window may be a good idea. As a parent, that almost kills me to say. As a real estate and mortgage broker, it almost kills me to tell you why. If, for any reason, you've had an appraisal done on your home in the last 11 months, you may have noticed a few things:

The appraisal costs a lot moreThe guy/woman doing the appraisal has no idea that Foothill, Grand, Garey, Magnolia or Sierra are the major streets in your town

The same guy/woman makes reference to the fact they have been licensed since Thursday

When you finally get your appraisal, the value is low. Upon further inspection, you realize the appraiser has compared your home to a) The year old repo up the street., b) The crack house 5 miles away., c) a home that looks nothing like yours.

What could have caused all of this mess? In the name of "financial reform" it's part of what the government has done to protect you, the consumer. Feeling better yet? Below is an excerpt from an article in today's Los Angeles Times that will go into greater detail:

By Kenneth R. Harney
October 31, 2010
Reporting from Washington —

...In all likelihood, the money you pay (for an appraisal) isn't just going to the person who does the appraisal. It gets split up, and sometimes your lender is getting a sizable chunk of the action. An estimated two-thirds of home appraisals are produced by appraisal management companies, some of them owned in whole or part by big banks.
Many of those companies have slashed appraiser fees from traditional norms — $400 or $500 to the appraiser — and now hire only appraisers who agree to work for $175 to $200. They also require fast turnarounds — complete appraisals delivered within 24 to 36 hours of the assignment.
Since experienced appraisers generally refuse to work for such low compensation and rushed delivery demands, many appraisals are assigned to newcomers to the field. In some cases, critics charge, the jobs go to inexperienced appraisers who are willing to travel far beyond their home markets to get the assignment.
Gregoire and Turner say they routinely hear complaints from realty agents about low-ball valuations turned in by out-of-area appraisers who have minimal knowledge about local market trends and don't distinguish distressed sales from ordinary sales. Sometimes the bad appraisals undervalue houses by tens of thousands of dollars and kill sales or refinancing, leaving buyers, sellers and their realty agents sputtering.
Brian Coester, chief executive of Coester Appraisal Group, an independent management company with a network of 3,000 appraisers in 50 states, agrees that low fees to appraisers "produce low-quality appraisals."
"At $180 to $200," he said, "you're not going to get good work." Pay the appraiser more — say $250 to $350 — "and now you're going to get a quality product." His firm averages $275 to $300, Coester said in an interview, but is constrained by the demands of mortgage lenders, some of whom will pay only $300 for the appraisal but later charge consumers $450 at closing.
kenharney@earthlink.net.

So as election nears, keep in mind those that may have allowed this entire mess to propagate, and those that have "helped" you out since. If you happen to live in New York, think Andrew Cuomo.

CHICKENS ARE STUPID

2010-10-27T08:22:00.001-07:00

Do you know why Chicken Little was stupid? Because he was a chicken. In spite of an otherwise very nice day, young Mr. Little insisted the sky was falling. The same can be said for those who write about our housing market.

Below is an excerpt from a report in today's MarketWatch.com. Now I happen to enjoy MarketWatch a lot. And I don't mean to insinuate that Mr. Goldstein is, in any way, related to common barnyard fowl. His article is merely an example of falling skies, and bad news selling. Let's start off with the "nice day" portion of the story, shall we:

By Steve Goldstein, MarketWatch

WASHINGTON (MarketWatch) — Sales of new homes climbed 6.6% in September, figures released by the federal government on Wednesday showed, representing the second straight month of gains, but still well below the pace when a tax credit existed.
Sales of new single-family homes rose 6.6% to a seasonally-adjusted annualized rate of 307,000, which is stronger than the 300,000 that economists expected in a MarketWatch-compiled poll.
On Monday, a report showed sales of existing homes also were stronger than expected, rising 10%, and the two reports lend support to some economists who believe housing demand hit a bottom in late summer.....

This is very good news! Gosh if we had more of this kind of news, maybe it would build on itself. The birds are chirping, it's a beautiful day, and the sky is blue.BUT WAIT!!! SOMETHING JUST HIT HIM ON THE HEAD!! WHAT COULD IT BE???

....Still, the pace of new-home sales is 21.5% below the same level of last year.
The pace of new-home sales also is considerably below the 414,000 rate in April, when the market was buoyed for a credit for first-time home buyers that has since expired....
Steve Goldstein is MarketWatch's Washington bureau chief.

Dohhhhhh!!!! THE SKY IS FALLING!! THE SKY IS FALLING!!! Now, if we just take a minute here, we would see that that last part is nothing more than a silly pine cone. Of course everything is lower than last year. And yes, sales are off since the tax credit expired. The former is because we hit bottom, and the latter was expected before the credit ever went into place. The current, hard news is that sales are up 6.6%-new homes and 10%-existing homes!!! I think I'm going to go out and enjoy a nice, sunny, improving day. I hope you do too.

Q: HOW DO YOU KNOW WHEN AN ATTORNEY IS LYIING?

2010-10-21T07:35:00.000-07:00

A: When he helps the banks foreclose on you.

If you're weird and enjoy feeling sick to your stomach, or you want to see what blind greed,arrogance and profiteering look like, have a look at this video:
Click Here For Nausea Inducement

DOES YOUR AGENT SUCK

2010-10-18T08:08:00.000-07:00

Would you buy a property from this agent? She only works nights, and is a giant pain in the neck.

While at a friend's anniversary luau last weekend, I heard a horrific tale about our demonic little listing agent.It seems that my friend's cousin and her husband were out driving around, looking at houses, and called the agent listed on the rickety sign in a front yard. I believe it was Cobb Webb Realty, Morticia Sharptooth-Agent. "Luckily" enough, Morticia happened to be in her lair, I mean office, and answered the phone. The next day, our unsuspecting donors...darn, I mean clients, were out looking with Morticia.

Here's where the story gets ghostly.Over the next several days, Ms. Sharptooth showed several properties to the young buyers. In what surely must have been a coincidence, she only showed the buyers her own listings. You see,by doing so on purpose would be a huge breech of her mandated,ethical responsibilities. Do vampires have ethics?...Anyway, in a matter of days, the "lucky" buyers were in escrow on a home.

But (there's always a but in a vampire story,isn't there?) once the buyers looked at what they had signed, here's what they found:

1. Morticia had only shown the buyers her own listings
2. The buyers had agreed to pay the seller's short sale negotiator on top of the purchase price. What is a short sale negotiator,you ask? When a listing agent is too lazy, too stupid, or flat dishonest, on behalf of the seller, they hire a negotiator to handle the transaction. Think sleazy car salesman that you never see. Ohh,and the buyers paid THOUSANDS to this ahemmm...negotiator. As an added benefit, the negotiator was owned by the same broker.
3. When the buyers questioned our pasty agent about the negotiator, she actually pulled other listings that featured these creatures from the dark, and presented them as a normal part of buying a home.
4. Our garlic fearing friend then had the buyers pay off part of the seller's existing second mortgage.Guess how much...yeppppp...THOUSANDS. Let us not forget that Morticia has the listing on this property.
5. When escrow was then hurriedly opened, guess who owned the escrow company? Once again,Morti's own broker. It's smelling a bit musty about now.
6. For the buyer's convenience, Morticia was even nice enough to refer them to a mortgage ghoul(I mean,guy) that she knows. One can only imagine the bloodletting in THAT loan.

The moral of the story is that if you are being pushed by your agent, or something just doesn't feel quite right, IT'S NOT!!! Ask around, call us, carry a wooden stake...just don't go along with an agent because they have glowing red eyes.

I'M A TWO TIMER

2010-10-15T12:48:00.000-07:00

Since it's Friday and the weekend is upon us, what's wrong with a little two-timing? Now hold on a second. Don't run out and call Gloria Allred. She's too busy grubbing headlines with Meg Whitman's ex-housekeeper anyway. The two timing I am talking about is two different, but very telling stories that broke today. And below are both of them: _______________________________________________________________________________

ONE TIMING

The first of our two tales from Realtor Magazine has to do with the distinct possibility that mortgage servicers may very well have to to the two thing they hate to do most. They also happen to be what most people think would expedite the housing mess. One of those is principle forgiveness. The other is realistic, workable, wholesale loan modifications. As we discussed in a recent post, your mortgage servicer is in a whole heap of trouble right now for how they have .. ahemmm...professionally handled their foreclosures. They have been ohhhh so quick to ignore little things like government mandates, best practices, and a pesky thing like forgery laws. But they've been a tad careless in how they processed homes through foreclosure. Just ask the homeowner in Florida who had his home foreclosed on. He'd never been late...BECAUSE HE PAID CASH!!! OOOPSSSSS!!! Because servicers are all now under a HUGE microscope, suddenly things like principle forgiveness and a willingness to modify are all the rage. Those silly kids. They are all caught up in being cool!

States Plan to Investigate Mortgage Servicers A coalition of attorneys general from as many as 40 states is expected to announce Wednesday the launch of a joint investigation of the mortgage-servicing industry.The attorneys general say they intend to first determine the scale of the problem and correct the issues. Several of them also have said that they believe one of the results of the investigation could be an agreement that forces lenders and servicers to make mass loan modifications or adopt principal forgiveness plans.Ohio Attorney General Richard Cordray says, "I think the mortgage-servicing firms need to understand that they face real exposure now, and they would be well advised to take this very seriously, to clean this up by doing loan workouts to keep people in their homes, which up till now they've just paid lip-service to.”Source: The Wall Street Journal, Robbie Whelan and Ruth Simon (10/11/2010)_______________________________________________________________________________YOU LOUSY TWO TIMER

It was sheer coincidence that this article ended up under this heading. I swear.

So on to our freakishly tanned, and inhumanly leathered buddy, Angelo Mozilo. You remember "Moz". He's the guy that ran Countrywide into the ground, and sold most of his stock just before the crash hit. He's such a kidder!
So today, Angelo decides it might be a much better thing to settle with the SEC than to go to trial. Seems that perhaps mortgage servicers (even ex- ones that look like they are giving the Vulcan salute) may be re-thinking their heretofore blindly arrogant positions.

LOS ANGELES Fri Oct 15, 2010 3:00pm EDT
LOS ANGELES(Reuters) - Former Countrywide Financial Corp Chief Executive Angelo Mozilo has agreed to settle a lawsuit with securities regulators, ending one of the highest profile enforcement actions to come from the financial collapse.
Mozilo, along with former Countrywide President David Sambol and former Chief Financial Officer Eric Sieracki, did not appear in the Los Angeles federal court on Friday morning where the settlement between the U.S. Securities and Exchange Commission and all three executives was announced.
Mozilo will pay a $22.5 million civil penalty, plus $45 million in disgorgement, according to U.S. District Court Judge John Walter.
All three defendants settled without admitting or denying any wrongdoing.
(Reporting by Alex Dobuzinskis; Writing by Dan Levine; Editing by Phil Berlowitz)

BofA's BIG PICKLE

2010-10-13T07:17:00.000-07:00

In this episode of As Bank of America Turns, we look in on how this All American, flag logo'ed institution got themselves all tied up in the sudden foreclosure OOOOPPPSSSSSS!!! they find themselves in. In all fairness to this bastion of arrogance and bad service, the recent foreclosure moratorium isn't just BofA's issue. Almost all the banks find themselves in a similar pickle.

The short version of what's happened is that once upon a time,and in order to more readily transfer your loan from one lender to the other, the large mortgage servicing banks created a company called MERS . MERS' job was to handle all the title transfers between lenders and other boring stuff you never know about when your loan is sold from one bank to the next. There was one tiiinnnyyyyyy problem with all of this. MERS never had the authority to "assume" any beneficial right to the title of your home. This created a "break" in the chain of title. By doing so, BofA and their banking brethren have violated parts of the very agreement they had you sign.

The reality is that none of this probably would have come to light except for one inherent oversight by the Big Boy Banks... blind arrogance. If you are a seller, buyer or agent, and have tried to get anything done..even the complicated stuff like having your call answered(much less returned)..with one of these banks, you know the attitude/disorganization/disdain with which you must go through. The days turn to weeks, which turn to months and in some cases YEARS. By in large, the banks have thumbed their noses at their distressed clients and anyone trying to purchase a home. Funny thing, at some point the public has enough.

Sooooo, after 4+ years of this type of service, people (read: attorneys) started to look into the banks. Guess what they found? Not only did they find the obvious lack of service, but wholesale,systemic and fraudulent problems with the way the banks are handling foreclosures. OOOPPPPSSSSSS!!! Oh, and there's one other ill timed little gem. All this happened square in the middle of an election cycle. Imagine how many headlines a politician can get by stepping into this fray.

Now do I think the banks are entitled to foreclose if a person can't pay? Yes, I do. Unfortunately, a house is no different than a car.If you don't pay, they take it. Do I hope the banks are run out of business for all of this? NO AT ALL. For better or worse, we need a healthy banking system.
But, what we also need is a system designed to be fair in how they conduct themselves.

For a short video on this situation:
CLICK HERE

LOCAL CLAREMONT BUSINESS SUPPORTS CHS STUDENTS

2010-10-10T07:32:00.000-07:00

Casa De Salsa-415 W. Foothill Blvd #321, Claremont,CA

I'd like to thank Casa De Salsa Restaurant for opening their doors to some of the Claremont H.S. Spanish student. I mean they literally opened their doors..before they even opened. A group (including my beautiful daughter) of Spanish students needed to film a video in Spanish. Casa De Salsa is within walking distance of Claremont H.S. The owners opened their doors yesterday a half hour before opening just so the kids could do their filming in the kitchen. They also allowed the kids to stay and re-shoot their video until 12:30.

Usually an effort like this would go largely unnoticed and under appreciated. This is one way to draw attention,and hopefully business, to a local business supporting their youth.

Thank you very much.

BAD COLOGNE & GREAT INFO..THE SACRAFICES ONE MUST MAKE

2010-10-07T14:35:00.000-07:00

I'm back from two rain soaked days at the C.A.R. Expo. While the cologne & perfume were a bit much, there were some VERY educational seminars. Yesterday was spent in seminars on the short sale/ REO market. These weren't rah-rah speeches and self-congratulatory forums by any stretch. Almost across the board, from lenders, to REO/short sale agents, to Ray Mathoda, one of the brightest banker/entrepreneurs I've heard, the overriding opinion is that short sales are now, and will be, the foremost sale transaction in the real estate industry. And the single biggest factor in short sales will be H.A.F.A.

Now if you're asking yourself, "What the hell is HAFA?", I would strongly suggest calling me and pulling up Google. To get you started, below is a link to Real Estate Magazine. When you open it up, go to Page 20. You'll find a very informative overview of HAFA.
http://www.onlinedigitalpubs.com/publication/?i=46004

As a homeowner or Realtor, if you've been through the HAFA hell so far, you probably don't believe a word of this. However, HAFA is now in it's 6th month of existence. As this process becomes more streamlined, so too should short sales One of the astounding figures that was given yesterday is the fact that there are/will be some 12 MILLION short sales in the coming years. HAFA may very well be the real estate version of a standard loan application.

But why short sales ? Why now?

Well there's a couple of reasons why:

Reason#1- The rocket scientists that brought us all "Pick-A-Payment Loans" finally figured out that they tend to loose their a$$ in REO's. Nothing hurts a banking conglomerate quite like loosing money.

But the single biggest reason is:
Reason#2- Because of the banks' disorganization, bad tracking, blind arrogance, and unwillingness to negotiate, people and states started to get attorneys to sue lenders for improper actions during the foreclosure process:
Click Here To Read The Washington Post Article On Foreclosure Problems

So given this very recent development, lenders may very well be more willing to do complicated things like...answer the phone.

YOU WANT ME TO DO ...WHAT?

2010-10-06T05:23:00.000-07:00

ANAHEIM CONVENTION CENTER-800 W. KATELLA, ANAHEIM,CA

Day 1 of the C.A.R. Expo was "technically amazing". Tech Tuesday leads off every California Assoc. of Realtors yearly expo,and this is the first I've seen. For those of us over the age of 30 (and how painfully reminded of that fact I was), real estate is a "hands on","kick the tires" kind of industry.

That way of thinking is no mas for the buyers/sellers of today, and certainly, the future. From company specific phone apps, to documents you can sign from that phone using just your finger tip, real estate is virtual, it's mobile, and it's amazing! As a buyer or seller, more information is available under your signing finger than was available to those of us in the industry not five years ago. Not only that, but you can choose what information you want, how you want to be notified its waiting for you, if you prefer it delivered to your computer, your phone, with a phone call or a text. Pretty soon I'm sure they'll be able to beam me down to you and personally deliver your news. I wonder how well freckles "beam".

For those of you reading this that, like me, may be Realtors, the price of admission paid for itself in the first lecture. If you are also like me and don't particularly like spending your day in a seminars, go anyway. The amount of information available to you is invaluable.

Talk to you all soon..or maybe you prefer an email...or a text...perhaps a Facebook update is more to your liking. I can do that! If I can't, my 15 year old daughter can show me how.

BANK OF AMERICA'S BAD AIM

2010-10-02T08:38:00.000-07:00

"He Who Forecloses From A Glass House, Should Be Careful With The Stones He Throws"

OK, so I'm not as artful as some when it comes to proverbs. Below is another article about BofA's mismanagement of their short sale and REO properties. My last blog entry dealt with a very similar aspect regrading GMAC, so I won't bore you with repeating the details. Please have a look at that as well. Being in the industry that I am, I deal with all of these fine & upstanding institutions on a daily basis. I think it's safe to say that almost to a person, those of us trying to work with BofA's REO and short sale departments find it to be the most intolerable, mis-managed, perhaps less than forthcoming company out there.

Below is an article from today's Los Angeles Times that politely sheds a little light on what arrogance can do to a company:

By E. Scott Reckard, Los Angeles Times
October 2, 2010

Bank of America freezes evictions in 23 states
The bank cites concerns over whether its foreclosure paperwork was handled properly.
By E. Scott Reckard, Los Angeles Times

Citing concerns over whether its foreclosure paperwork was handled properly, Bank of America Corp. on Friday put evictions on hold in 23 states — joining two rivals that have taken similar steps.

The freeze is taking place in states where courts have jurisdiction over foreclosures, Bank of America said. It will not apply to California and 26 other states where foreclosures usually take place without a court order, but the action could put added pressure on banks to ease back on foreclosures more broadly amid high unemployment and continued turmoil in the housing market.

State Assemblyman Ted Lieu, a Torrance Democrat who has written a series of mortgage-related bills, said a moratorium on foreclosures might be appropriate even though California doesn't require court orders before homes are seized.

"I've been thinking perhaps we should start calling for [a moratorium] in California," said Lieu, co-author of SB 1137, the 2008 law requiring lenders to attempt to contact borrowers and to document that they tried before foreclosing. "My suspicion is that the same folks who are doing false signings in other states are likely doing the same thing here with regard to SB 1137's requirements," he said.

Detroit-based Ally Financial Inc. halted evictions in the 23 states last month after the head of Ally's document processing team acknowledged in a deposition that he signed thousands of affidavits certifying that foreclosure paperwork was correct even though he hadn't read the documents.

JPMorgan Chase & Co., the giant New York bank, suspended its evictions this week after problems surfaced with signatures on some of its affidavits.

Charlotte, N.C.-based Bank of America — which became the largest mortgage customer-service provider when it acquired Countrywide Financial Corp. in 2008 — followed suit Friday.

"To be certain affidavits have followed the correct procedures, Bank of America will delay the process in order to amend all affidavits in foreclosure cases that have not yet gone to judgment in the 23 states where courts have jurisdiction over foreclosures," the bank said in a statement.

The affidavits are required to be filed in court when banks make motions for summary judgment to obtain foreclosure orders from judges.

The bank didn't disclose how many borrowers were affected by the eviction freeze.

Also on Friday, California Atty. Gen. Jerry Brown said he would require Chase to prove that it is complying with California foreclosure laws, included a requirement that loan servicers meet with homeowners to explore loan modification options before seizing houses. He previously demanded the same of Ally.

The banks have said they believe the information in the affidavits — such as how much is owed and when the mortgages went into default — is accurate even if the affidavit signers didn't take the time to read them thoroughly because of the glut of foreclosures.

Ally, formerly known as GMAC, includes Ally Bank and Residential Capital. It is the fourth-largest originator of mortgages and the fifth-largest mortgage servicer. Chase is third in both categories.

The largest California-based bank, Wells Fargo & Co. in San Francisco, is the No. 1 mortgage originator and the second-largest servicer, after Bank of America.

Wells Fargo issued a statement saying it was satisfied that "the affidavits we sign are accurate," but it stopped short of certifying that they were all properly signed.

"We audit, monitor and review our affidavits under controlled standards on a daily basis. We will stand by our affidavits and, if we find an error, we will take the appropriate corrective action," Wells said.

scott.reckard@latimes.com
Copyright © 2010, Los Angeles Times

DO YOU KNOW YOUR BANKS DIRTY LITTLE SECRET?

2010-10-01T12:45:00.000-07:00

At the end of this post is an article just released by Realtor Magazine, one that is overdue in coming. What so many people don't realize is the unconscionable job that GMAC, BofA, and Chase are doing in facilitating their short sales and loan modification under the government's Making Homes Affordable program. In short, lenders make far more money by foreclosing on homes than modifying or short selling them. If that doesn't make sense, you're not alone.

But, if you're BofA... (Well if you were, first of all, you'd never answer your phone or return a call. With a great sense of indignity, you'd loose entire files full of paperwork many times over and wonder why people were upset with you, and so you'd have no friends)...you can allow a short sale and take far less than you lent , pay real estate commissions, deal with junior mortgages and tax liens and make little money. ORRRRRR, you can delay & stall by employing a massively inexperienced,underpaid, under trained and overworked staff to make a mockery out of the premise you are trying to help your clients.By taking this road, the homeowners you are trying to "help" eventually give up and walk away.

Why would you go to all this trouble and deception? Well, because once you foreclose, ALLLLL those junior mortgages, liens and bothersome homeowners go away. Yep! You now have a free & clear asset. Ohhhhh, and here's the BEST part for you. If you are BofA, you can then take that free & clear asset, and borrower 3 TIMES it's value for your own purposes. You're pretty darned smart for a bank. 'Not so great for helping your clients, but you'll be RICH!!!!

See, they don't tell you all that when they are misplacing all fifteen years worth of financials they ask you to send in. So at long last, the arrogance that has taken hold is starting to come back in a haunting way. If our Legislative & Executive branches of The Federal Government can't seem to bring these practices in line, perhaps a huge class action will.

Daily Real Estate News September 30, 2010

Second Big Lender Stops Foreclosures A second major mortgage lender, JPMorgan Chase, has stopped foreclosures so it can review loan documents for errors."It will probably slow things down for a couple of months while these documents are reviewed," said Rick Sharga, senior vice president at foreclosure listing service RealtyTrac Inc. "It won't stop things."But if Sharga is wrong and more problems surface, they are likely to slow the foreclosure crisis still more, making it drag on for several more years, other analysts say.In any case, an increased number of lawsuits are likely. Christopher Immel, a Florida lawyer who represents foreclosed home owners, says many former home owners could sue their lenders, alleging errors in documents.GMAC Mortgage was the first big lender to pause foreclosures while it reviews past files.

Source: Associated Press, Janna Herron and Alan Zibel (09/29/2010)

THE BEST RESTAURANT YOU'LL NEVER FIND

2010-09-28T13:38:00.000-07:00

VIVA MADRID-225 YALE AVE,CLAREMONT

If you are looking for a wonderful evening in a great restaurant...keep looking. Don't get me wrong, this is the place you want to go. You just need to FIND it. The first thing that will strike you about this tapas restaurant is that you can't see it from the street. It's kind of like a treasure hunt, with the meal being the treasure. So that you don't roam aimlessly around Downtown Claremont (unless you want to because it's a great place) here's a map and a hint:(Look for a walkway just south of Rhino Records)

When you find the walkway, just look for the line of people waiting to get in. If you arrive more that 30 minutes after opening, the line will surely be there. Viva Madrid is a small, funky place where the chairs don't match, and there's not a spot on the wall without something adorning it.So what is everyone waiting for...tapas!

What are tapas? These are tapas. Tapas are part of a meal made of of wonderful hor d'oeuvers. There are well over 50 on the menu, and one is as good as the next.Half the fun is trying things you have never heard of. If you really don't like it, it will only set you back a few bucks anyway.Personally, I love the seared dates wrapped in bacon, and the squid with chorizo. Then again, the paella is ridiculous, as is the shrimp in wine/garlic sauce. I'm not a drinker, but the sangria seems to flow freely as well.If you're married, take your spouse. If you're not, be careful.It's part of an evening where you may end up that way. A great meal and then a stroll through Downtown Claremont is a great way to start your weekend.

PLEASE FLIP ME OFF

2010-04-25T08:57:00.000-07:00

Because the blame game can be so easily re-written to suit a politicians needs, "flippers" are now the scourge of the earth. While I'd like to thank them for taking my place in that line as a real estate/mortgage broker, the fact that these folks are now being blamed for the ills of the market crash, and the terrible idea that they may bring prices back up now (the nerve of them sustaining a market), are mis-informed at best. And if your first name has the abbreviation Sen. or Rep. or Attny.Gen. ahead of it, wake up *Editor's note* If your name is Sen. Bob Dutton, thank you for being a visionary and not a reactionary. Keep up the good work.

"Flippers" are the folks, generally mom-n-pop contracting businesses, that use their own money to purchase the nastiest of the nasty repo'ed homes and fix them up. Let me take a moment to dispel a rumor here:

Rumor: When you bid on a repo, you probably won't get it because the evil flippers are going to outbit you and pay cash. WRONG. Generally flippers aren't interested in the home you want to move into. They are interested in the home you can't move into. If you've been out house hunting and walked into a home that looks like the "after" photo of a nuclear test site and smells like a sewage treatment plant, you couldn't get a loan on that home if you wanted. Your lender is extremely leery of what they deem as Health and Safety Standards. BUT, a flipper is paying cash...his own cash...in full... to buy this lil' gem, put thousands more into it to make it habitable, and then put it back on the market.

If you live in a neighborhood near a house that looks like it belongs in an Appalachian hollow more than Suburbia,USA, you should HOPE a flipper buys that house. In fact, you should take him a plate of cookies and coffee to keep him full and caffeinated. There are tens, if not hundreds of thousands of these uninhabitable homes on the market right now. And over the next few years, there's many more to come. Some how the idea that a person is willing to risk their own money (amounts that have a comma and at LEAST two digits to the left of it), fix up a home while lessening blight has become a bad thing. And it's bad because heaven forbid, that person wants to make a profit on it. The gall of a person wanting to be a capitalist! Wherever did that idea come from?

So next time you walk into a house that smells freshly painted, has new carpet, a shiny air conditioning unit in the back, a freshly sodded yard, and/or an electric panel that won't shoot an arc through the entire house when you flip a switch, thank a flipper.

SOUTHERN CALIFORNIA HOME PRICES HIGHER AGAIN IN OCTOBER -- latimes.com

2009-11-17T14:16:00.001-08:00

As our market continues to calm, Southern California is seeing the beginning of home appreciation again. Are things all better now? Of course not. And there are those who will say it's only a temporary spike. Or others that will some how blame The First Time Buyer Tax Credit Extension for skewing the numbers. Personally, I am glad to find and share good news. We have forgotten that a large part of any market's decline or rise is based on emotion and confidence. Headlines have a way of building on themselves either way. So please take a moment and click the link below:

Southern California home prices edge upward again in October -- latimes.com

SENATE APPROVES HOME BUYER TAX CREDIT 98-0!!!

2009-11-04T15:41:00.001-08:00

This just in:
Senate OKs extension of home-buyer tax credit and jobless aid -- latimes.com

From previous blog responses, I know not everyone is in favor of the Home Buyer Tax Credit Extension. I am. Given all the money being thrown at corporations, this stimulus money is already doing what it is designed for, stimulating the home sector of our economy. The bill is now being sent to The House for approval.

EVER HEARD OF REALTYTRAC ? YOUR CREDIT CARD HAS

2009-11-04T06:21:00.001-08:00

Realtytrac is a huge, public, search & tracking website. If you've done any real estate searches over the last year (and let's be honest, who hasn't), you have probably used them. But like so many other "Search Now and Not Know You Pay Later" sites, RealtyTrac has a funny way of beefing up their bottom line at your expense. Below is a link from today's Los Angeles Times. After you're done reading it, check your credit card bill:
Real estate company's pitch leads to unexpected bill -- latimes.com

This article is another very real reason why information availability can be a good AND a bad thing. It also illustrates the value of having a good, local Realtor at your side. The list of homes and information you get from your Realtor.. let's just say Forefront Real Estate for instance... are truly free, and contain the most current and reliable information in the market. Pubic websites are great for initial research, but don't rely on them. As you have seen, there can be strings attached. And those strings are tied to your wallet.

HVCC, " Andy's Law" ON THE WAY OUT

2009-11-01T06:15:00.001-08:00

HVCC, or " Andy's Law", appears to be on it's last breath. The end can't get here fast enough. This is one of the most ill conceived, heavily trumpeted laws to come out in the entire housing crisis. In the name of publicity, its author, New York Attorney General Andrew Cuomo, has done a great disservice to both the business community and anyone struggling to get a home loan. Please see the latest link from the Los Angeles Times below:
Home valuation code could soon undergo major revamp -- latimes.com

IF CHICKEN & WAFFLES SOUNDS TERRIBLE, YOU MIGHT BE FROM IOWA

2009-10-28T06:33:00.000-07:00

I am...from Iowa, I mean. I love chicken, and there's nothing wrong with a good waffle. But if you grew up in The Mid-West, chances are you have never put the two together. It's kind of like Hall and Oats, bottles and water or sun and morning.... individually all of them are OK. But put them together and NOW you have something.

Chicken & waffles is a traditional Southern/soul food dish. If you happen to live anywhere in the greater Los Angeles basin( L.A., Long Beach or Pasadena), there's no better place than Roscoe's. It ain't fancy, but it sure is good. I've taken several friends there over the years.Almost to a person, they go with great hesitancy.. until dinner is served. The fried chicken comes either plain or smothered (that means with gravy for my Mid-Western brethren) and always piping hot. Without question, the waffles are the best I've ever eaten. I don't know how eggs, flour and water come out that good, but they do.

The side dishes are equally as good. The collard greens fresh and cooked with pork fat. A little Red Rooter Hot Sauce and vinegar makes them just right. For those that have not had authentic, down home mac & cheese, this is the time. Don't think Velveeta and pasta. It's something totally different. If you want to be a real glutton, get an order of hot water corn bread too.

If you plan on going at lunch or for a weekend dinner, also plan on waiting. Trust me, it's worth the wait.

FEARED FLOOD OF FORECLOSURES IN CALIFORNIA MAY BE AVERTED-- latimes.com

2009-10-21T07:50:00.001-07:00

This article just broke in the L.A. Times:

Feared flood of foreclosures in California may be averted -- latimes.com

While we are far from seeing a healthy market, the beginning has now started.

POSITIVE NEWS EXPECTED IN HOUSING REPORTS - MarketWatch

2009-10-18T10:28:00.001-07:00

This just in from MarketWatch:
Positive news expected in housing reports - MarketWatch

INTEREST ONLY LOAN MODIFICATIONS-NOW THERE'S A DUMB IDEA

2009-10-16T05:52:00.001-07:00

Can something come full circle when it's still spiraling out of control? I just saw this this article: click here . It seems that Chase Bank is lobbying to get approval to do Interest Only Loan Modifications. Maybe it's just me, but aren't interest only loans part of the reason our homes are worth about 1/2 of what they were. This assuming you are actually still in your home.

My personal assumption is that none the TARP money given to banks was used for intelligence testing. Loan modifications don't work. They are a band-aid on an amputation. Well over 50% of all mods end up back in default within a year:

So what could possibly possess one of the largest mortgage banks in the world to combine one of the worst loan features ever to grace the pages of a promissory note with one of the least effective ways of dealing with the foreclosure market? Well, I didn't get any TARP money, so far be it for me to assume.... but mayyyyyyybe, it's because by making the modifications seem like a better idea to the client,the client will move forward with one. And by doing so, that loan is taken off of the bank's delinquent loan list. There by making the bank appear healthier. I'm just sayin'!!!

HOUSING UPTURN IN CALIFORNIA-- latimes.com

2009-10-14T05:53:00.001-07:00

The link below sheds some light on the appreciation in the local market.

Housing upturn occurring in some parts of Southern California, data show -- latimes.com

KOBE BRYANT, GRAUMAN’S CHINESE THEATER, OZZIE OSBORNE & A PICKLED TONGUE SANDWICH ON RYE

2009-09-28T09:09:00.000-07:00

Only in L.A. are all the things in this blog title possible to see in one afternoon. Well, sort of. My daughter wanted to see some star’s homes, so yesterday we made a day of it. If you enjoy watching humanity on parade, Grauman’s Chinese Theater is absolutely the place to be.

We started out there by looking at the stars on The Walk of Fame. While a sidewalk marker of Julia Roberts may be eye catching, the real show revolves around the people at eye level. There were wanna’ be’s, might be’s, and those that just want to be seen. You can go a block west, to the Hollywood Wax Museum and see very large candles that look frighteningly like Kobe Bryant, Snoop Dog or a host of other stars.

If shopping is more your thing, The Hollywood & Highland Center is just on the east side of Grauman’s. Personally, I’ll keep an eye on the parade of humanity while my wife and daughter shop.
From there, it was off to the Hollywood Hills to the star’s homes. Through Google, we found a semi-reliable list of stars. If you want to drive by Ozzie Osborne’s front gate, you can. Ditto for Madonna. But really, it looked a lot more like a big, giant hedge row to me.
Whether most of these people still live in the homes is anyone’s guess. However, if you want to find yourself lost in some beautiful areas of Los Angeles, it’s the way to go.
After working up a serious hunger, we drove east to the Fairfax District, and home to Canter’s Deli. Canter’s is a very historic part of L.A. It’s famous for it’s patrons, food and, well, being Canter’s. Always wanting to try ethnic foods, I opted for the pickled tongue sandwich on rye. If you’re not Jewish, this might sound bad. I’m not, and it wasn’t. In fact, it was very good. My wife had pastrami, and my daughter had a lox sandwich.

All were tasty and the bread was bakery fresh. The one negative I would say was the price. Three sandwich lunches with waters and ice tea ran over $50. Given the number of other Jewish delis in L.A., I would probably opt for a different one next time.

SHORT SALES, FICO SCORES AND YOU

2009-09-18T06:40:00.000-07:00

FICO scores have been a mystery since they were first unveiled many years ago. Toss in today's short sale market, and neither Houdini nor any self-respecting Las Vegas odds maker would try to predict what your scores may be. However, I just read the article below in this morning's L.A. Times. I thought it was very insightful:

NATION'S HOUSING

Mortgage problems are walloping Americans' credit scores

Late payments, delinquencies, short sales and foreclosures are on the rise -- and so are the number of borrowers seeing their credit scores plummet, according to scoring company VantageScore Solutions

By Kenneth R. Harney

September 13, 2009

Reporting from Washington - When you do a short sale of a house, or modify the mortgage, is there much of an effect on your credit score? What if you walk away from the mortgage altogether?

A scoring company created by the three national credit bureaus -- Equifax, Experian and TransUnion -- has some eye-opening numbers. VantageScore Solutions, whose risk-prediction scores are now being used by some of the largest mortgage companies and banks, has found that the way consumers handle their mortgage problems can have profound effects on their credit scores.

For example, loan modifications that roll late payments and penalties into the principal debt owed on the house can actually increase borrowers' scores modestly. Refinancings of underwater, negative-equity mortgages -- which the Obama administration's Making Home Affordable program offers through government-controlled Fannie Mae and Freddie Mac -- may have little or no negative effect on scores, even though the homeowners might have been tottering on the edge of serious delinquency before refinancing.

The Vantage credit score, the primary competitor to the long-dominant FICO credit score, rates borrowers on a scale range of 501 (subprime, the highest risk) to 990 (super-prime, the lowest risk). Unlike Fair Isaac Corp.'s FICO scoring system, whose scores can vary by 50 to 100 points based on which bureau supplied the underlying credit data, Vantage scores are about the same for each consumer.

When homeowners negotiate a short sale with lenders, they sometimes assume that there will be relatively little effect on their scores. After all, the loan was successfully paid off, there was no foreclosure, and the lender voluntarily agreed to accept a lower balance than was owed.

But according to VantageScore researchers, short sales can trigger big drops in credit scores. Sarah Davies, senior vice president of analytics, said a homeowner with an excellent score of 862 might plummet 120 to 130 points after a short sale.

Although it's true the lender may lose less money through a short sale compared with a foreclosure, "it's still a derogatory event," Davies said. The full debt was not repaid and the lender lost money.

What happens when borrowers walk away from their mortgage debts altogether -- the so-called strategic defaults that have become commonplace in some large markets such as in California? They should expect 140- to 150-point hits to their scores, plus negative marks on their credit bureau files for as long as seven years.

People who file for bankruptcy protection covering all their debts (mortgage, credit cards, auto loans, etc.) will get hit with an average 355- to 365-point drop in their scores. Bankruptcies remain on borrowers' credit bureau files for 10 years.

With all the mortgage delinquencies, short sales and foreclosures experienced by U.S. consumers in the last couple of years, has there been a deterioration of average scores across the board? Absolutely.

For example, roughly 36.6 million of the 213 million consumers tracked by the three national credit bureaus in the first quarter of 2008 had Vantage scores above 900 -- the super-prime credit rung. That select group represented 17.2% of the country's consumers.But by the end of the second quarter of this year, just 15.4% -- 33.3 million out of 216.9 million individuals' files -- were left among the elite. By credit industry standards, that's huge.

More Americans' scores are slipping into the worst credit category as well. In the third quarter of 2006, 34.4 million consumers were in the lowest segment -- 16.6% of 206.9 million individuals. But by the second quarter of this year, 18.3% of all files were in that category -- 39.8 million consumers out of 216.9 million.

Most of these changes -- fewer people with excellent credit, more people in the lowest brackets -- have been caused by late payments on home mortgages, serious delinquencies, short sales and foreclosures, according to VantageScore researchers.

But the bottom-line good news about scores is that homeowners facing financial stress can experience minimal dings to their credit if they contact their loan servicer or lender early in the game -- when they first discover that they may have trouble making their monthly payments -- and take the first steps toward a loan modification or refinancing.

"Start that conversation early," said Barrett Burns, a former lender and now chief executive of VantageScore. If you wait and fall several payments behind before seeking a modification, "you can lose 240 points on your score" and damage your ability to obtain credit for years.

kenharney@earthlink.net

Distributed by the Washington Post Writers Group.

DAY TRIP TP OAK GLEN

2009-09-14T07:12:00.000-07:00

Other than being a real estate/ mortgage broker, if I had it to do all over again, I’d be a food and travel reporter. That way, I’d get paid to do two things I really enjoy. But since I’m not, I’ll just blog about it instead.
I took my family and some friends to Oak Glen yesterday for a day of apple picking and exploring. If you’re not familiar with Oak Glen, it is located in the lower mountains above Yucaipa. It’s an easy, scenic drive. On they way up, we came to a stop while a group of horse back riders crossed the road. That set the tone for a wonderful day. We started out at Riley Farms. The Rileys own several different apple related businesses on Oak Glen Road. This stop was a family run, working apple farm. When we arrived, we were given all the apple pickin’ supplies we needed. These consisted of bags and an apple picking basket. From there, we were free to explore the grounds. What I found most interesting is that the Rileys live in a log home on the premises. The family and staff could not have been more friendly or helpful. Along with various kinds of apples, there are also several blue berry and black berry patches. You may want to bring gardening gloves if you are going to pick these. The only drawbacks we found were the berries had been pretty well picked over, and the apples were still quite small. But given the amount of fun we had, it was all worth it.

From there, we ate at Apple Annie’s in Oak Glen. Like everywhere in Oak Glen this time of year, it pays to get there early. The line starts forming about 11:00. Apple Annie’s is famous for their fried chicken, and it didn’t disappoint. The restaurant is located in Oak Tree Village. There are several shops, vendors, and most importantly…. the petting zoo. For $2, and an additional $1 for a cup of corn feed, we got to pet baby pigs, feed goats, sheep and emus. Once again, I was reminded what good, family fun is all about.
If you make the trip, let me know what you think.

HEY BUDDY. DID YOU KNOW THAT OBAMA'S REALLY AN ALIEN?

2009-09-10T08:32:00.000-07:00

OK, OK relax for a minute. No need to start hoarding water, duct taping your doors & windows shut or fleeing the onslaught of alien Obamas. This isn’t 1938, I’m not Orson Wells, and Obama really isn’t an alien. Although judging by the amount of hysteria over the last year or so, only one of those three disclaimers seems obvious. (Look at my photo and then Orson’s) And don’t worry, this isn’t some political rant all done up in either red or blue. Just for the record, I didn’t vote for Obama, nor do I support the “spend now & we’ll figure it out later” school of economics.

What this rant is based on is the utter ridiculousness and disrespect being shown for the office of The President. These are just a sampling of the kinds of paranoid propaganda I've heard in the last year. And isn't propaganda is the stuff we always frowned on when used by Tokyo Rose ,Nikita Khrushchev ,or even our own beloved Joe McCarthy ? He even had an "ism" named after him.

Here we go:

Obama isn't a U.S. citizen. Come on now. You mean to tell me the same government that can monitor every one of your individual cell phone calls, read a license plate from space, and fly planes with no pilots can't substantiate a guy's birth place before he became president? There were only TWO guys left in the running. Then again, do aliens have birth certificates?

Obama is a radical Muslim AND a racist Christian. WOW, that's a lot of holidays to work into the Presidential calendar. And it's almost as absurd as...

Obama is a Communist/Fascist/Socialist. HUH??? Now I am by no means a poli-sci expert, but I don't think you can actually be all three of those, especially at the same time.

Obama was sworn in on the Koran. Hey Goober, I know you can enlarge that photo of the USC cheerleader, how's about you do the same for the swearing in. In fact, Obama was sworn in on Lincoln's Bible.

Obama's health plan will subject you to a death panel. A death panel!! Really?? Someone's been staying up late at night in Alaska watching the Twilight Zone marathon again.

Obama's speech to school kids will be used to indoctrinate them. Ummmmm, just a thought here. You might have considered taking a moment to actually read that speech before you got your dander all raised. It was the same kind of photo op speech that every president I can ever remember has given to school kids. Anyone remember what George Bush was doing the morning of 9/11?

These examples, coupled with the WWF style shout downs during town hall meetings are what led to this posting. Whether you voted for him or not, whether you like or despise him, Obama holds the office of President of The United States. That office needs to be shown a helluva lot more respect than it is currently. As a people, we showed a lot more respect for it during Watergate, the Iranian hostage era, Iran/Contra, "Read My Lips", Monica Lewinski and water boarding. It seems to me that we have a host of vastly more serious problems in this country than worrying about a man's funny sounding name, the party affiliation he holds, or the color of his skin. I'm all for debate and compromise. There's a lot about Obama's policies that worry the hell out of me. But it's really hard to discuss any of them when Tilda from rural South Anywhere is yelling incoherently during said debate. More over, how can I begin to debate ole' Til when she's convinced that Air Force One is now actually a space ship?

DOES THIS GIVE YOU GOOSE BUMPS TOO?

2009-09-09T06:54:00.000-07:00

Don’t you hate when the people around you talk and joke during The National Anthem? I sure do. To me, those are both signs of rudeness and stupidity at the least, and more than likely disrespect toward our country. I officiate high school basketball, and have the privilege of hearing The National Anthem 30-50 times a year. Sometimes, it’s a small child singing totally off key, sometimes it’s the standard Whitney Houston-Super Bowl version, and sometimes it’s an amazing version done by the home team’s pep band(Upland High’s gets me every time!). There are two things in common with every version. One is I get the goose bumps staring up at the flag on the wall just as the impossibly difficult part begins to build.. Oh, say does that star-spangled banner yet wave.O'er the land of the free … It’s one of those moments that instantly makes me proud to be American.
Unfortunately, the other thing that invariable happens is the good folks in the stands with ADD like symptoms (the ones still eating that big tub of Orville Redenbacher’s), feel compelled to yell out, whistle or otherwise draw attention away from the reason we all stand and face the flag. Because let’s face it, yelling out..YEAAAAAAAAAAAAAAAAAAAA!!! is far more important than doing something we so seldom do enough of, taking a moment to share in our patriotism of this country.
So next time you are at a game, do me a favor. Save your yelling until The Anthem is over. You’ll have plenty of time to tell me how bad I suck DURING the game.

DOES MICHAEL VICK DESERVE AN 2ND CHANCE...DEPENDS

2009-08-14T06:04:00.000-07:00

Micheal Vick absolutely deserves another chance.... at freedom. No doubt in my mind. He has paid his debt to society, and is free (therein being the key word) to do what he chooses with the rest of his life. Now, here comes the good part. Under no circumstances does he "deserve" another chance in the NFL. First of all, being deserving means you've done something meritous. I think we can all agree dog fighting isn't that. Michael Vick chose to head up,foster and make money from a felonious enterprise,dog fighting. This while making millions under the employ of the Atlanta Falcons. And then lied to his boss about it.
None of my agents can run a sub 5 second 40, nor do their jerseys sell in our lobby. But you can bet your sweet pig skin that if an agent ever brought a fraction of that kind of embarrassment to my company, I don't care how many homes he sold, he's not welcome back. Or as another example, what happens to your license if you get caught by your state committing a heinous felony? You're probably looking to get your CFL (and that doesn't stand for Canadian Football League) license. Because your Real Estate Department banned you for life.
Yes, I am a dog lover.Mine is asleep under my feet right now. But I'm not the PETA, throw fake blood on your fur, kind of fanatic. And I'm a huge lover of sports as well. What I'm not a fan of is stupidity, arrogance, manufactured contrition or self-entitlement. Off the field, I hope Michael Vick gets his life together. After all, he is a 29 year old young man. On the field, I don't wish him bodily harm. However,I do hope he fails miserably.Then, and only then, will he realize that he blew an opportunity very rarely seen in life.

WHY WE NEED MORE INVESTORS IN THE MARKET & WHY FLIPPING IS GOOD

2009-08-10T07:18:00.000-07:00

We need to have more investors in the market and we need them flipping properties. There, I said it. I know it won't be long until the riotous crowds start descending on me. But before they do, let me explain. Investors aren't the scourge of the earth. Well, at least not most of them. They are looking to buy an under-valued asset. No different than a stock or a bond fund. And here's why investors are helpful in this market:
1. There are hundreds of thousands of REO and short sale properties on the market. Values will not be going up until demand at least equals supply. In the ever tightening lending markets, investors fill a void by paying cash. It's very true that they may take a potential buyer out of a transaction, but that buyer should be putting offers in on multiple homes, thereby taking two properties off the market.
2. Investors buy up a lot of the very distressed (read: completely trashed) properties. These are units that, due to health and safety issues, can not be financed anyway. Investors buy these up cheap, and fix the inherent problems. At this point,the unit is now gone from total disrepair to some form of turn key for a buyer. That subsequent buyer will get into a home and not have to spend thousands doing repair work they would other wise need to. And I'm pretty sure the neighbor living next door doesn't mind a lawn that actually has grass and windows not made of plywood.
3. Investors buy/sell or buy/rent repeatedly. One by one, that gets more properties out of the hands of the REO listing agents and non-responsive banks we've all grown so fond of dealing with.
When you put all of that together,investors help stabilize the market. Since I see the agitated crowd starting to mill outside now, I will make one more point before the horse mounted,riot police descend. In an effort to quell investor purchases/flips ,FHA, Fannie Mae & Freddie Mac(the latter two having made repeated, brilliant decisions to the point of government receivership) have mandated that no property can get a loan on it if title has changed within the previous 90 days. In fact, an offer can not even be written prior to the 90th day. Hmmmmmm. That law might have worked really well 3-6 years ago, BEFORE the appreciation horse left the barn.THAT'S the time investors needed to be reigned in. THAT was the time when demand far outstripped supply. THAT'S when everyone was on Easy Street. It would have made great sense to calm the market by making "flippers" hold their investments for 90 days. But in the market today, it makes no sense. If your house is worth less that it was 3 years ago, raise your hand. 1...2...1,453,312. I count fast. The point is, why take away a tool that can actually help stabilizeand start to appreciate an asset that you are either living in, or hope to buy? I think it's time to conclude this post. It's some what unnerving to see yourself burned in effigy.

HERA RAISING

2009-08-06T10:01:00.000-07:00

If you applied for a loan after 7/30/2009, there is a new, and as of yet, little known law in effect that has the potential to cost you a lot of money. Hopefully, that opening line grabbed your attention. The new law is called the Housing and Economic Recovery Act, or H.E.R.A. Sure, it sounds wonderful. Who would argue with Housing and Economic Recovery? If fairness, there are lots of parts of this law that are beneficial. And while the law was designed to protect the public from predatory lending, it instead, serves to delay loan closings.

Here is my opinion on some of the flaws:

The federal government wants you to be aware of what your A.P.R. is, and if it's gone up since your loan application was taken. Sounds good. But here's a couple of questions. Do you know what your A.P.R. is? Have you ever known? Did you know it is different than your interest rate? If you are like 99.9% of all Americans, the answers are "no". The link that follows, is a pretty good definition... have a look . OK, are you still awake? That probably still didn't make a lot of sense. FLAW #1: The government wants to protect you from an increase in your A.P.R., yet they have never come up with a good definition for it. The federal government came up with this rather useless number in...get this..1968. Yes, an A.P.R. has been on mortgage loans for 41 years, and most people wouldn't know it if it was written in flashing neon red lights.

If your final A.P.R. increases by more than .125(1/8)% from your initial loan disclosures to your final ones, you must be given an additional six business daysto decide if you still want your loan. That actually sounds kind of good. But wait. How does that figure get increased? Well, the most simple ways are if interest rates went up from the time you started until the time you were ready to lock your loan. Or how about if the sales price changed, maybe you decided to change loan programs all together.Any of those very simple, normal things could very easily trigger that extra waiting period. So how does this effect you? FLAW#2: In order to avoid this extended wait period, your bank, mortgage broker will likely show a marginally higher interest rate and/or loan costs in your initial disclosures. Keep in mind, the waiting period is only triggered if your final A.P.R. is higher. FLAW 2A: The odds of your initial disclosures being higher actually will increase with the new law.

Once the lender has or package to start with, you must be sent(read: you must wait) and additional 4 business daysbefore your appraisal can be ordered. The premise is so that you will have three business days to receive the previously mentioned flawed disclosures in your mail...not your email,mind you. You're mail..as in post office. FLAW#3: Does the government not know about this new thing called the Internet?

Now here's where the numbers meet the road.You potentially have just enountered an additional 10 business days of waiting. Business days don't count Sundays,folks.And in buying a home, you have two VERY important dates to be aware of. The first is your inspection contingency period. Basically that is the number of days you have to inspect a property once you are in escrow. During that time, you can potentially cancel the transaction if you need. In a normal market here in California, that time period is 17 days. In this fun filled, wacky foreclosure market, it's quite common for the seller to lower that to 10 days. OOOPPSSSSSS. See the problem with the math? Your contingency period could effectively be up while you are waiting for "T's" to be crossed and "I's" to be dotted. Don't think for a minute the large bank that you are negotiating with as the seller gives one rip that you can't meet their time frame. At that point, there is a risk of forfeiture of your initial deposit.

The second date in all of this is the time frame you need when locking in your interest rate. Once in escrow,a typical loan could actually close in thirty days. Most lenders would lock your loan for no additional charge for 30 days. THESE are calander days.And trust me, Sundays count. With all the extra time afforded you for your own "protection", you will no longer be able to close in 30 days. Some lenders I use won't even offer a 30 day lock unless your final loan papers are drawn. Here's the gem in this one. A 45 day lock could cost you an additional .5% in your loan fees(On a $200,000 loan, that's an additional $1,000). $1,000 sure seems like a lot to protect you from an A.P.R. that most people don't know about to begin with.

In closing, there is a lot wrong with the real estate and mortgage industry. Some very much the fault of business. Some also the fault of buyers and sellers. The government did need to step up its oversight. However, it's a slippery slope when it also starts mandating how a free enterprise industry and their clients must go about day to day functions. If you are interested in buying or refinancing, please take time to familiarize yourself with the H.E.R.A law. There are some wonderful things in it. But the parts I've outlined are some potentially detrimental aspects.

BUYING A HOME AT A COURT HOUSE AUCTION

2009-07-30T06:24:00.000-07:00

Have you ever thought about buying a foreclosure on "the court house steps"? The process is a public auction that lenders sometimes hold at the county court house. I recently attended one in Florida. Thankfully, if was held in a nicely air conditioned room. Florida, in late July, can be a bit on the tropical (read: so humid the mosquitoes can't breath) side. But I must warn you, that road to riches is paved with some bus-sized pot holes.

I have worked with a local broker in Florida who was nice enough to take me along and explain some of the ins and outs. There were two glaring ones. The first is the property itself. When buying at any kind of auction, it is the biggest case of "buyer beware" you will ever encounter. You can be the lucky winner of a property that seems well under market. But (there's always one of those, huh?), if you don't do your homework, you may also be the lucky recipient of all kinds of previous tax liens, mechanics liens, IRS liens and various other hidden problems. You need to research these through a local title company, and possibly a real estate attorney. Then you have the physical condition of the property. Keep in mind, this is not only a home that was probably in some state of disrepair when the previous sellers left, it has sat for an extended period of time since then. Homes tend to die when left vacant. The roof, plumbing, electrical, appliances are but a few things that can rapidly deteriorate when a house is left vacant. Throw in mold, vandalism and vagrancy and you have a potential money pit.

The other gem in all this is the auction process. I was in a room with 40-50 other bidders, an interesting lot to say the least. Of all the people in the room, there were 5 or 6 "players". Basically, these were brokers that had a lot, I mean a LOT, of investor money behind them. They all know each other and, to some degree, work in concert. To say most of them were anything but cordial to the rest of the folks in the room would be an understatement. Let's just say that Southern hospitality was not a concept these folks were familiar with. So, if you as an eager, prospective home purchaser are interested in 1 or a few homes, know who you are going into battle against. You are not just bidding against those particular guys. You are bidding against them and all of their clients as well.

That is a short version of four hours spent in a public auction. There is money to be made buying property this way. There's a bunch of money there. But, (there's that pesky "but" again), if you are unfamiliar with the process, be very careful. You may end up with a nightmare instead of your dream home. Please have a look at this article. It will give you some more information: http://www.realestatewebmasters.com/blogs/gulf-coast-associates/5166/show/

PALM SPRINGS (MOVIE COLONY) POOL HOME

2009-07-16T13:22:00.000-07:00

***JUST LISTED***

384 Valmonte Sur,Palm Springs(Movie Colony)

4 Bed/2.75 Bath/2700 Sq.Ft.

$795,000

Click here for more information

HVCC-HOW TO DELAY YOUR LOAN IN 1 EASY LESSON

2009-07-02T11:49:00.000-07:00

What does HVCC stand for, and what it is? Well, it stands for Home Valuation Code of Conduct. And it's Fannie Mae & Freddie Mac's (this does not appy to FHA) attempt at sending appraisers to their rooms for being bad. The assumption is that because lenders/brokers and appraisers had an actual working relationship, that appraisers would risk their licenses and give that lender the value needed to do a loan for a client. Did that happen? Of course it did. There's bad appraisers, just like there's bad lenders,bad post men and so on. But appraisals are an opinion of a range of value, most generally given by a licensed,qualified appraiser. The guy walking around your house with a little wheel on a stick isn't Bernie Madoff. And he probably didn't cause the real estate bubble to burst. But he is a convenient scape goat. Until HVCC became a reality, you most often had an appraisal ordered by either your lender or mortgage broker. And yes, there was this terrible thing called a rapport established. How dare two professionals try to work together to get your appraisal done. In my years, that rapport didn't lead to the 3 walled hovel down the street getting appraised at $400,000. It led to things like an appraiser meeting a client after normal hours,looking at comparable sales to establish a general value before the appraiser took your check for $350, and things of that nature.
But now in the infinite wisdom of those with the least amount of it, when you order an appraisal, it is given to an appraisal management company. The theory is that by using an intermediary, those bad ole' appraisers won't be able to get away with their shenanigans anymore. 'See the management company will then contact an appraisers on their "list". The appraiser may be from the local area...maybe not. And almost assuredly, the management company's knowledge of that appraiser is the resume he turned in, and a license search. The management company will then charge you between $400-$500 in ADVANCE...on your credit card. Because obviously, an appraiser couldn't be trusted with collecting a check at the door. Now here's where it gets very interesting.
Remember in the good old days an appraisal cost around $350? Well now, for the right to baby sit appraisers, the management companies charge you more. And the appraiser(who, by the way, is generally self-employed) may get $200-$250 of that fee, for doing exactly what he used to get $350 to do. Hmmmmm. Guess what quality of work and responsiveness you may see? And it gets better. Because lenders don't all use the same management companies....here it comes......they probably won't accept the same appraisal. Which means, if you decide you want to go to a different lender, you have to pay all over again. In the words of Homer Simpson....DOHHHHH!!!
The one silver lining in all of this. A bill, H.R. 3044, granting an 18 month moratorium on the wonderful world of HVCC has just been introduced... Click Here to read an article on it. Hopefully it will get appraisers out of their Time Out Chairs and back to doing appraisals like they should.

4th of JULY IN UPLAND

2009-06-30T05:58:00.000-07:00

OK, I can admit it. Nothing makes me forget I'm an adult faster than a 4th of July fireworks show at Upland High School. Summer, family, BBQ'ing and colorful stuff blowing up above my head. The only thing better than hearing grown men & women say "Ooohhhh" and "Ahhhhhhh", is hearing the same thing from children.

That's why I will be at Upland High School for the annual 4th of July spectacular. Upland has a wonderful sense of community and that's always apparent at this gathering. It's the most popular, one day event in town. So come early. Parking can be tough. You can park at Upland High School, or along many of the businesses on Foothill Blvd. Click here for more information.

WANT TO TEST DRIVE YOUR HOME? GET A HOME INSPECTION

2009-06-22T07:47:00.000-07:00

There's one part of a real estate transaction that often gets overlooked. Or worse yet, in the interest of saving $300-$400, isn't done at all. That is a home inspection. Sometimes, it's confused with an appraisal. An appraisal is a valuation of a property done by an appraiser, and generally done in conjunction with a purchase money loan or a refinance. Its purpose is to give an accurate value range to the lender and client. In California, appraisers are governed by the OREA .

A home inspection is a valuation of property condition. It is generally done as part of a buyer's contingency period for investigating a property being purchased. Basically, it gives a buyer the opportunity to test drive the home they are about to buy. A lender does not require a home inspection. A very important note here. In California,as in most states, there is no formal licensing requirement for home inspectors. Kinda' scary,huh? However, there is a recognized association that oversees those inspectors with a greater level of education and commitment. It is the NAHI.

So what do you get for your $300-$400? Well, you get a general overview of a property's condition from crawl space to rafters. Keep in mind that an inspector may not be a contractor, and isn't being paid for those services. Instead, consider him a trained eye looking for hidden problems. Those problems can range from electrical, water leakage, pressure, health and safety to grading, plumbing and a host of other potential issues.
Even in a normal real estate market, almost any(including new) properties have some issues. And if your current market is like ours in The Inland Empire area of Southern California, most of the properties you are seeing are "distressed". That's a polite word for beat up.
So why would it be the best $300-$400 you loose? Well, if your home inspection reveals major problems you don't want to inherit, or the seller won't agree to fix, you have a right to cancel your contract. And keep in mind, no seller is bound to fix anything you discover.
If you do happen to live in this general area, I do recommend an inspector for you to consider.
His name is Jim Turner, and you can visit his website by clicking here. And to see what a home inspection looks like, click here .

CAMB, CAFFEINE & KEY CHAINS

2009-06-19T06:25:00.001-07:00

I went to the CAMB Expo yesterday at the Anaheim Convention Center. I went for two reasons; to see what vendors were still in the game, and for one seminar in particular. While not normally a big convention guy (although the FHA key chains will hopefully remind selling agents to return the keys to the lock boxes from whince they came), it was refreshing to see and hear that familiar business buzz again. Lenders, title, escrow and supporting vendors were talking the talk. While smaller in number, I think the vendors there realize we've all made it through a very trying time...a rather polite way to put it.

More valuable than the nifty scratch pads though, was the seminar series that was available all day. The one I found most valuable was the "Red Flag",or FACTA, Compliance seminar. While a 9:00 a.m. compliance seminar on anything isn't a replacement for caffeine, it was incredible helpful. Brad Kelso of Informative Research was the presenter and did a great job of outlining this new federal mandate. In short, by 8/1/09, any of us that are involved in any kind of consumer lending (real estate related or not), must have a policy & procedures manual in place. So on top of sustaining your business, mowing your yard, and the upcoming camping trip to El Capitan State Beach (sorry, self-indulgent moment there), we have to spend the time to work up a P & P manual. But all is not to worry. As part of his presentation Brad showed us where to go on his site for help.Click here. I have to say that, as of now, Forefront Mortgage has not used Informative research. Based on the presentation and on line tool box, we will. Brad is also emailing out the Power Point presentation in the coming days. I will post that in a follow up.

HIGHLAND POOL HOME-REGULAR SALE

2009-06-17T05:51:00.000-07:00

***JUST LISTED***

1565 Central Avenue,Highland

4 Bed/2 Bath/1330 Sq.Ft.

$165,000

Click here for more information

SHOPPING FOR A LOAN LIMIT

2009-06-14T11:32:00.000-07:00

In today's market, it's not so much a Tale of Two Cities, as it is a Tale of Two Loan Limits... or if you count FHA loans, make it Three. There are basically three loan sizes out there. Instead of Small, Medium and Xtra Large, we have FHA, Conventional, and Jumbo.
FHA loans are those that are direct government loans. They tend to be more forgiving of past credit problems, allow a higher debt ratio and a lower down payment. The loan amount FHA allows varies county to county,and state to state. To find out what your FHA loan limit is,
click here .
That would be the "Small". Relative to everything else, this is the single most popular, and easiest home loan to get.
Next is the Conventional, or "Medium" loan. The term "Conventional" is kind of a catch phrase for those loans backed by FannieMae & FreddieMac . Both of them have a maximum loan limit of $417,000. While more restrictive than what it used to be, this money is still flowing into the home loan market. Both FHA and Conventional loans are most often 30 or 15 year, fixed rate loans that offer interest rates in the 5%-5.5% range.
Now the hardest type of loan (some might say almost impossible) to get right now is a Jumbo ,or "Xtra Large", loan. These are for home loans above $417,000. They come at a much higher interest rate and a much larger down payment. I saw a very interesting article in today's L.A. Times that hi- lites this point. See the article here.
So what does this all mean to you ( he asked rhetorically)? Well, if you are selling your home in a short sale or non-distressed sale, keep in mind someone has to buy your home. And unless they have cash, they have to get a loan. It may be wise to set your price close to that $417,000 range so that the buyers have a much better shot at getting financed to buy your home.
Now, if you're a buyer, guess what? You have to shop at the same loan store as everyone else. Do you want to try to find a loan that very few are getting, or would you rather get your financing in order and take advantage of an incredible opportunity to buy a home at the lowest price in years?

INEXPENSIVE SUMMER FUN

2009-06-09T19:05:00.001-07:00

Summer's Here!!!

Say it with me now...Summer is HERE! OK, so it's cloudy today and 65 degrees. But there are two distinct things that tell me warm Southern California nights are upon us. And I've spotted both. One is the sound of Vin Scully calling a Dodger game. Whether you're a Dodger fan, Angel fan, or no fan at all, hearing Vin Scully means summer. Some of the best things in life really are free. And dozing off to Vinny is definitely one of them.

The other sure sign summer is here are the sites, sounds and smells ( that darn kettle corn does it every, single time) of a local farmers market/street fair. Nothing turns a person back to their childhood faster than cruising around a blocked off street, eating a funnel cake, bbq, roasted corn, tri-tip sandwich, and/or kettle corn. Unless of course, it's listening to a cover band play your favorite high school songs while holding your spouses hand and watching your child laugh and shop for ...well in my case, anything.

If you are now thinking about fresh cranberry bread,bonsai plant, or a henna tattoo, you'll find it

at any number of local downtown street fairs. It's fun, it's family, and it's the best inexpensive fun you can treat your family to. So below are a list of links to Upland, Claremont, Pomona, San Dimas and La Verne's Farmer's Markets:

Upland Farmers Market

Claremont Farmers Market

Pomona Farmers Market

San Dimas Farmers Market

La Verne Farmers Market

If you see a skinny, bald guy eating way too much bad food, be sure to stop by and say hi.

TOP 5 AREAS OF RECOVERY

2009-06-04T09:29:00.000-07:00

Don't look now, but the sky may have begun to stop falling. With so much very real, worrisome news out there, we sometimes loose perspective that the very beginnings of a recovery are starting to appear. While they may be very small beginnings, they are appearing more and more. Unlike the stock markets, which tend to be forward looking ( housing stocks started their slide before the entire market fell off a cliff), the news cycle tends to play catch-up. That old saying "bad news sells" basically insures that.
What I've seen more and more is real estate in our local area, The Inland Empire (Upland, Ontario, Claremont, Fontana, La Verne and San Bernardino, Riverside, Moreno Valley), is an explosion of ready, willing and able buyers. Most foreclosure/ short sale listings now have multiple offers on them. And not "multiple" as in just two or three. It's not uncommon at all to have ten, fifteen or more offers on one property. I saw the video below this morning and thought it tied in really well. Hope you enjoy it.

Visit msnbc.com for Breaking News, World News, and News about the Economy

FHA 203K...IT'S THE LOAN FOR HOMES THAT "NEED A LITTLE TLC"

2009-06-02T10:11:00.000-07:00

I'm going to assume anyone that's been out house hunting has seen an ad in realtor.com , trulia or zillow that goes something like this:
"Home has lots of potential...just needs (here's the hook) a little TLC". Generally translated, that means the home is in varying stages of ugly. Until recently, your choice was to buy it and then have enough money to fix the "ugly". FHA has given you an alternative. It is called the 203K loan . Granted, it's not a particularly inspiring title, but look where "Pick A Payment" got us! Anyway, if the property you want needs that TLC,and the repair costs are under $35,000, a 203K loan will let you finance those costs, close your loan, hold the repair costs back and let a contractor bill for the repairs. There are tons of things covered, but in brief: carpet, paint,broken windows, appliances, air conditioner, cabinets, and many more. Also, there are funds available for rehabs far above $35,000. But I may bore you to sleep listing the additional criteria for that. It would be better if you drop me a line on that part.

HILLTOP ESTATE IN RIVERSIDE

2009-06-01T05:46:00.000-07:00

***JUST LISTED***

16310 Landon Court,Riverside

5 Bed/4 Bath/4552 Sq.Ft.

$405,000

Click here for more information

$8000 TAX CREDIT CLARIFIED

2009-05-29T15:04:00.000-07:00

President Obama and HUD today clarified and expanded the use of the $8,000 tax credit for first time home buyers, formally called The American Recovery and Reinvestment Act of 2009 .
Below is a press release from Realtor magazine. This is great news for those trying to take advantage of this buyers' market.

Source: Robert Freedman, REALTOR® Magazine Online

HUD: Tax Credit Can Be Used on Closing Costs
FHA-approved lenders received the go-ahead to develop bridge-loan products that enable first-time buyers to use the benefits of the federal tax credit upfront, according to eagerly awaited guidance from the U.S. Department of Housing and Urban Development on so-called home buyer tax credit loans that was released today.

Under the guidance, FHA-approved lenders can develop bridge loans that home buyers can use to help cover their closing costs, buy down their interest rate, or put down more than the minimum 3.5 percent.

The loans can't be used to cover the minimum 3.5 percent, senior HUD officials told reporters on a conference call Friday morning.

Thus, buyers applying for FHA-backed financing with an FHA-approved lender that offers a bridge-loan program can get a bridge loan to bring down the upfront costs of buying a home significantly but would still have to come up with the minimum 3.5 percent downpayment.

There remain many sources of assistance for buyers needing help with the 3.5 percent downpayment, including many state and local government instrumentalities and nonprofit lenders.

In addition, some state housing finance agencies have developed their own tax credit bridge loan programs, so buyers in states whose HFAs offer such programs can monetize the tax credit upfront to cover all or part of their downpayment. These programs are separate from what HUD announced today.

The first-time homebuyer tax credit was enacted last year--and improved upon earlier this year--to help encourage households to enter the housing market while interest rates are low and affordability is high. The credit is worth up to $8,000 and is available to households that haven't owned a home in at least three years. The credit does not have to be repaid, and is fully reimbursable, so households can get their credit returned to them in the form of a payment.

Learn more about the credit, including how to apply for it this year even if you've already filed your taxes, at REALTOR.org.

SCAMS & SHAMS

2009-05-27T10:19:00.000-07:00

I was looking around the California Association of Realtors (C.A.R.) website this morning, and found this flier on Foreclosure/Short Sale Scams. Unfortunately, because of the vast number of distressed properties here in Southern California, there are more scam artists popping up every day. Before you do anything with a solicitation , I strongly encourage you to call your lender directly. They are the ones making the decisions on the money they lent. You don't need to pay someone else to negotiate for you. At best, you'll spend money you didn't need to in getting the same result. And you could end up spending a LOT of money on nothing at all.

PRE-APPROVAL OR PRE-QUALIFICATION..THE WORD AFTER THE "PRE" MAKES ALL THE DIFFERENCE

2009-05-26T06:22:00.000-07:00

Have you ever gotten one of those solicitations in the mail that looks just like an actual check? The one that you look at and think your long lost Uncle Sal must have passed and left you a fortune...only to discover that the stupid thing is really only an application for a credit card?

There's a BIG difference between that and an actual inheritance check from Uncle Sal.

Well the same holds true when you are trying to buy a home. In today's market, the "seller" involved is generally a bank. Whether you are involved in a short sale or a foreclosure, there's an unknown guy in a suit deciding whether to accept your offer or not. That guy cares about one thing, and one thing only.... are you actually able to buy the house you are offering on. That's where Uncle Sal's Axiom comes in.

When you apply for your mortgage loan (which you should do before you ever start home shopping), there are two kinds of proof your lender or broker will provide to the bank guy in the suit. One is a pre-qualification, and one is a pre-approval. By in large, one is basically worthless, and the other is gold. The difference is in the fine print. A pre-qualification is when a lender doesn't want to take the time to fully underwrite your loan application. So they give it the once over and come up with an official looking letter. The problem is, it's the loan version of a credit card solicitation. And believe me, the banker guy in the suit knows the difference all day long. It offers no actual commitment to lend. In these cases, your lender wants you to go find a home first, and then they will underwrite your loan. Most brokers and lenders have a convenient version of a "pre-qual" saved as a Word doc template in their computer. Just add your name and the terms of the contract you are offering and..POOF...you're "pre-qual'ed".

However, a Pre-Approval letter is just that. Your entire loan application has been looked at and approved by the underwriter at your loan institution. It has a list of loan conditions you need to meet, maximum interest rates, terms, etc. As you will see below, it looks a whole lot different than a pre-qual. And to the guy in the suit (the one deciding whether to sell you the house you want or not), it looks like gold.

THIS IS A PRE-QUALIFICATION

THIS IS A PRE-APPROVAL

So if your lender or broker won't go to the effort of getting you pre-approved, find another one. Or better yet, call me! I'll do whatever I can to make your offer golden.

RANCHO CUCAMONGA UNDER $100,000

2009-05-22T12:39:00.000-07:00

***JUST LISTED***

8990 19th Street #291,Rancho Cucamonga

2 Bed/2 Bath/925 Sq.Ft.

$99,995

Click here for more information

TRI-LEVEL ELEGANCE

2009-05-22T12:30:00.000-07:00

***JUST LISTED***

4552 Jessica Drive,Los Angeles(Glassell Park)

3 Bed/2.5 Bath/1812 Sq.Ft.

$4999,995

Click here for more information

INVESTOR'S DELIGHT

2009-05-21T14:06:00.000-07:00

***JUST LISTED***

1637 Larkspur Lane, Beaumont

4 Bed/3 Bath/1959 Sq.Ft.

$149,995

Click here for more information

A TAX NOTICE I WAS GLAD TO GET

2009-05-18T15:24:00.000-07:00

So I go out to my mailbox a couple of weeks ago, and pull out my Sports Illustrated, Realtor Magazine and a bunch of advertising I had no need for. But then I came across this:
Not a particularly attractive post card. And quite frankly, getting anything with a county,IRS,or Franchise Tax logo on it is not necessarily good news. BUT...as I scanned to the bottom, I was over joyed at the sight of my home's value being upside down. The reason being, the County of San Bernardino is the one entity that I want to think my home has de-valued. Not only that, but this was accomplished in the recent election under Prop. 8 .
Smelling a reduction in my property tax (which may be the only smell I enjoy more than orange blossoms), I decided to investigate. Lo and behold, it worked! I lowered my mortgagepayment by $185.69/month. And I didn't even have to pay for the postage.It can for you too. If you live in San Bernardino County,and got the same post card....

Here's how:
1. Get a copy of your tax bill Click Here..Just follow the instructions and it will take you a link that says "Parcel
Number". Now click on that. Then click the link that says "View PDF".
2. When you see your tax bill (you'll know because the next thing you will see is Dick Larsen's name in large font)
look just below his name, and see the number under "Total Tax Rate" . Mine is .010594, or 1.0594%
3. Here's the only math you have to do. Use my tax bill as an example. My "Maximum Assessment" is
currently $575,341. Multiplying that by the Total Tax Rate gives you my existing yearly
taxes of $6095.16 ( $575,341 x 1.0594%= $6,095.16)....Now do the same for the "Fair Market Value as
of 1/1/2009" . That figure is $365,000 ($365,000 x 1.0594%=$3,866.81)
4. Subtract those two figures, and you'll get the yearly tax savings ($6,095.16-$3,866.81= $2,228.35) Since
my taxes are built into my payment, I divide $2,228.35 /12= $185.69.That is how much my mortgage
payment dropped. If it wouldn't have made for an uncomfortable moment, I might have actually kissed my mail
man. If the math is confusing, just drop me an email, or call and I'd be happy to walk you through it.

And just like Billy Mays.....WAIT...THERE'S MORE!!!
If your mail man wasn't nice enough to give you one of those postcards, and you think your property is worth less than when you bough it, you can petition the County of San Bernardino to lower your taxes. Click Here.. and be taken to the application page for The County.You may still get a reduction.

WAIT...THERE'S STILL MORE!!!
If you don't happen to live in San Bernardino County, here are some links you may be able to use:
For Orange County Click Here
For Los Angeles County Click Here
For Riverside County Click Here

If your taxes are built into your payment,and depending on your lender, you may have your payment reduced in the next month. And yes...THERE'S STILL MORE!! You may also have a refund from the overage your lender now has in your escrow account.

HERE WE GO

2009-05-17T11:13:00.000-07:00

Welcome to my first blog and I'm glad you stopped by. In the weeks and months to follow, I hope to bring some unfiltered insight into the rapidly changing world of residential real estate and mortgage. I've been lucky enough to call this industry home for some 25 years now. I started with a full head of hair and all my sanity. As you can see, experience comes at a price!

I hope you will become a regular reader and pass my link on to others. My company website offers lots of helpful ideas, calculators and a full MLS search feature. Click here for a look .

If you have any suggestions or ideas you'd like to see here, please don't hesitate to email me.