Real Estate TERM of the DAY – Earnest & Option Money
04.09.11
Todays video on TERM of the DAY is Earnest & Option Money, Means of aquiring a title to a home.
Do I still OWE the Debt in a Short Sale or Foreclosure?
03.22.11
A home owner in Utah that loses their home to a Foreclosure or sells it by a Short Sale transaction may still be liable for the debt.
In a Foreclosure a Lender has the right within three(3) months of the foreclosure sale to file a so-called deficiency lawsuit (the difference between the property’s fair market value at the time of the foreclosure sale and what is owed on the home). If they do not file within the three(3) months, the liability disappears. With that being said the second lien holders that did not initiate the foreclosure can sue on the amount still owed them as an unsecured claim against the borrower.
In a Short Sale, a Lender can file a claim of deficiency for up to six years after the sale, unless the bank spcifically forgives the deficiency in the short sale approval documents. The Lender if unwilling to forgive a deficiency in a short sale agreement, a home owner in some cases may be better off allowing the home to go to foreclosure.
“There are a lot of folks walking around right now that do not know that in three or four years they’re going to wake up and have a letter coming in from debt collectors.”
Home owners should be aware of the TAX consequences. If the debt is forgiven, lenders will send out a 1099 form. This is because the deficiency amount is counted as ordinary income in the year of the foreclosure or short sale. With that said, the Mortgage Forgiveness Debt Relief Act of 2007 allows home owners of primary residences to escape taxes on forgiven mortgage debt.
In 2010 over 8,000 foreclosed properties were sold in Utah, short sales make up 27% of all active listing in Salt Lake County.
If you are facing a deficiency suit, the only relief may be a Chapter 7 bankruptcy filing, which wipes out the debt. In addition, a Chapter 13 bankruptcy filing can wipe out unsecured claims and allow a home owner to keep his or her home as long payments are made, according to Curtis Bullock, attorney for the Utah Association of REALTORS and as a REALTOR I would recomend that you seek tax and legal professionals regarding shorts sales and foreclosures.
Varolo In Your Daily Life……..”An extra way of making MONEY”
03.19.11
There are so many different topics I would like to discuss with all of you that I have had a tough time deciding which one should be next. I’ve been searching for something legitimate to do online to earn some extra money and a friend Chad of mine told me about his cousin that started this online place for you to make money and points and that I should check it out it is FREE to sign! Well, like a kid in a candy store trying to make up one’s mind I decided to go with how to fit Varolo growth into your daily routine and life. When starting out we are super excited and it seems that our efforts (when we are excited with something fresh and new) do not seem like a chore but moreover it is FUN! After a few days, a week, or a couple of weeks do you begin to lose interest? I believe we all do at some point and this happens because of many different reasons. I will go out on a limb and say the main reason we lose interest is due to the fact that with all of the time we are spending on Varolo trying to get new sign ups, watching commercials we are NOT seeing a return on our investment (our time) or ROI. For instance I made $1.02 the first week and a half (I started in a mid week on a Wed.) This in turn can begin to weigh in the back of our minds. Asking ourselves questions such as “Is this really worth it”? “What else can I be doing with my time”? And of course there are many more like this that start to float through our thoughts. So what happens when these type of thoughts start to consume us? We begin to believe these thoughts. Moreover we become negative and start to look for other opportunities. Or we just surf Facebook (or other sites) and waste our time. To me these thoughts & questions are a negative way of thinking. I think you get the point so let’s move on. What can we do about this and make sure it does not happen? How do WE stay motivated? What can we do about this to make sure it does not happen?
I signed up with Varolo in December. I currently have over 450 in my village and growing. How has this growth happened? Goal setting!!!! Looking at Varolo as a long term venture for myself. By not looking for instant gratification (I could write an entire blog on that one) and asking myself questions. Most importantly “What do I want to get from Varolo”? Yes we all want the pot at the end of the rainbow today but also we know that that is not reality. Write down how many you would like to see in your village one year from now based soley on your time and efforts. Just your efforts and yours alone. Divide that nuumber by 12 (Months) or better yet by 365 to get your daily average you need to hit your goal by the end of that one year. Keep it simple and obtainable. For the fact that you will more than likely exceed your goal in one year because you are not including what the people you sign up will do for you. Now ask yourself how much time per day you need to devote to obtaining your daily goal. Write it down. Post it notes work great BTW. Now you are keeping your sanity and staying focused and motiviated. Make it a daily habit, sit down, spend that amount of time you think you need to in order to get your daily signups. I think 3 a day is a realistic number. This will not occupy your entire day and probably take you an hour of fucused attention on the computer or phone. You wake the next day and see you got 5 signups. You do the same thing and spend one hour and wake the next day and you have 2 more. 7 in two days is 3.5 per. Your ahead of your goal and what the main key is the fact that however you are going about getting these signups, IT IS WORKING…..YAY!!!!!
In a summary:
Make your goals and make them realistic.
Write them down and keep them in front of you.
Keep the sanity and keep out negative thoughts.
Stay focused and make it a habit.
Adjust accordingly.
And most of all….Make it a fun game for yourself.
Keep in mind what works for you may not work for me but doing something is better than doing nothing at all. I would rather have $1 in my pocket then $0
Once again I ask that you PLEASE leave comments. They are important to help me to help you.
Thank you all kindly for your time, I hope my writings and advice help you in one way or another. I truly care about you and your success.
It is easy to do and a actually fun. You get paid to watch commercials at your leisure plus every time you watch a spot and comment on what you thought you are entered in a drawing for cash. Was pretty skeptical at first but I have trust in my friend Chad so I joined and this idea will work. The advertisers pay for everything, so it is completely FREE. All you do is spend 10 minutes watching commercials everyday and you get rewarded. See for yourself:
http://www.varolo.com/village/EagleTeam
If you are still unsure please also check out www.varoloislegit.com, this is a blog where people have put there 2 cents worth down and so can you. I read what people had to say and it made me think…what do I have to lose. Thank you for reading this post, so come it’s FREE yes FREE check it out you have NOTHING to loose and a lot to gain. See you on the Varolo!
Email me personally at eaglejc_99@yahoo.com
Stay true to yourself and your goals!
Keep On Keepin On!
http://www.varolo.com/village/EagleTeam
How will my credit be damaged after a short sale or foreclosure?
03.19.11
After this BLOG post I will post “Do I still OWE the Debt in a Short Sale or Foreclosure?”
According to the reporting agencies:
The impact a foreclosure, short sale or bankruptcy have on credit scores can vary depending on the credit profile of a particular person. The amount of the score’s drop is based on the person’s starting score. In general, a foreclosure will reduce a credit score by 140 points, he added; a short sale will drop the score by 130 points.
Both a foreclosure and a short sale will remain on a credit report for seven years, they are often reported differently. A foreclosure is reported as a foreclosure and a short sales can appear as “settled for less than balance owed,” or similar terminology.
There are distinct advantages for someone to choose a short sale over a foreclosure. Specifically, they will have the ability to become homeowner’s again faster vs had they experienced a foreclosure…here are the recently updated lending guidelines:
Conventional Conforming (FNMA/FHLMC)
1) Foreclosure is 7 years
2) Deed-in-Lieu is 4 years < 80% LTV and 5 years > 80% LTV for primary residences. 7 years for second homes and investment properties regardless of LTV.
3) Short Sales is 2 years < 80% LTV and 5 years > 80% LTV and 7 years > 90% LTV
4) Bankruptcy is 4 years
According to TransUnion foreclosure won’t in and of itself impact credit, particularly since it arrives on the heels of hard financial times.
“Foreclosure will be regarded as a derogatory action on a credit report and will have a more serious impact than a loan modification or a short sale, but only if it is publicly reported,” ……If a property is going into foreclosure, more than likely the damage has already been done to the person’s credit report with missed mortgage payments that resulted in the foreclosure.”
Note: it’s the MISSED payments that do the most credit damage vs the actual short sale or foreclosure.
A bankruptcy could cause a credit score to tumble upwards of 365 points and appears on the credit report for seven to 10 years, depending on the type of bankruptcy. Again, if the starting score is already low, bankruptcy will drop that score significantly fewer points than if the starting score is high. So, if you have a B/K and your credit score is already low the actual credit point drop is LESS compared to someone with a higher score.
Real Estate TERM of the DAY
03.11.11
Todays video on TERM of the DAY is Adverse Possession, Means of aquiring a title to a home.
Getting your home show ready to sell!
02.04.11
The reality today is that you as the sellers don’t want to spend big to get your house in tip-top shape for buyers. The good news is that there’s plenty you can do for free or at a very low cost. With forecasts on rising home-improvement spending this year, I believe it will still be a challenge to convince sellers to pay for upgrades that will please buyers.
With the amount of housing inventory available, your home needs to be looking its very best. Here are some things that will help.
Details
You may not want to shell out money to professionally stage your home, but getting it sparkling and clutter-free requires little more than elbow grease. After clearing away clutter, polish the hardwoods, clean the countertops, and dust the light fixtures. You can make a stainless steel sink shine with thrifty cleaning remedies such as baby oil or club soda, according to DoItYourself.com. Fisher likes Howard Products’ line, which includes Restor-A-Finish (about $5 per can). It comes in various wood finishes and can be used to polish cabinets and even blend out minor scratches and imperfections.
Tips:
Box it up. Most people pack up after they sell the house, but why wait? Start packing as early as possible—ideally, before putting the home on the market.
Show off the laundry space. Buyers will be impressed if the laundry room is fresh, inviting, and organized. Make sure light bulbs are working, and hide soaps in a cupboard or line them neatly on a shelf.
Focus their attention. Pick a focal point for each room. For example, the focal point of a bedroom is usually the bed, and for a music room, it’s the piano. If a room is mostly empty, you can help draw attention to a corner with a plant or mirror.
Floors
Hardwoods are on most buyers’ wish lists (red oak being the most popular, according to the National Floor Trends 2010 market study). Hardwood flooring averages about $5 to $15 per square foot, plus about $2 to $8 per square foot for installation, so it’ll be pricier than vinyl, carpet, or other options. But it can make a huge difference. You may find less expensive hardwoods by going directly to installers, who buy their inventory wholesale, Fisher notes. If it’s a small area, the upgrade won’t be as expensive. To imitate the look for less, try vinyl or Bamboo flooring, a sustainable resource that resembles wood but averages $4 to $6 per square foot.
Tip:
Call the experts. Dirty, worn carpet may benefit from professional cleaning, ranging about $180 to $390 for a 1,300-square-foot home. Refinish it for cheap. Practically any beaten-up hardwood can be salvaged with refinishing, about $340 to $900 for a 15-by-15-foot room, according to CostHelper.com. Call a professional tile company to freshen up ceramic tile grout—or, for do-it-yourselfers, hardware stores sell grout paint.
Add a layer on top or bottom. One other option for lackluster flooring: Use an area rug, even over carpets. It’ll add a splash of color, and bring definition to living areas. If you’re adding inexpensive carpeting, consider upgrading the carpet pad. It’s only about 50 cents more per square foot and it will make a budget carpet feel luxurious.
Lighting
New lighting fixtures are a quick way to create ambiance. Just avoid brass lighting fixtures, which had their heyday in the 1980s. A kitchen and bath designer David Alderman 2011 National Kitchen and Bath Association president said “More contemporary choices are brushed nickel and chrome finishes. Also, rust and oil-rubbed bronze are becoming more popular as more home owners set out to have lighting that doubles as an accent feature”. Use lighting to highlight special features—pendant lights to show off that kitchen island or sconces to illuminate a foyer. Under-cabinet lighting in the kitchen is affordable and makes countertops sparkle. Fluorescent light strips tend to be more affordable and easier to install than puck lights.
Tips:
Go natural. Open those blinds and wipe down the windows. You’d be surprised at how much a simple window cleaning can instantly improve natural light.
Save on energy costs. Compact fluorescent bulbs remain the go-to choice for energy efficiency. Early CFLs didn’t always deliver on light quality or convenience, but they now come in warm, neutral, and cool colors, and major manufacturers are now enclosing the spiral tube in a conventional bulb shape.
Don’t forget the basement. The biggest problem with basements is a lack of adequate lighting. While the natural-lighting flow often can’t be altered, adding lights will create a sense of open airy space on a par with the rest of the house. Paint walls an opaque color so natural light will appear brighter.
Paint
A few gallons of paint can go a long way in making a home more chic—and the cost can’t be beat. Covering a 12-by-12-foot room with two coats will cost you about $50 to $100, including supplies. “A home’s interior painted in a pale yellow or light green, or even beige, gives buyers an idea of what they can do with a space,” says Bill Fields, vice president of merchandising for the Lowe’s paint division. Remember to reserve darker or trendier colors for accent walls or to highlight details such as a fireplace or an arched doorway. Common color picks for accent walls are dark red, green (not lime green, though), or a stone gray. Or instead of introducing a new color, use the paint in the rest of the room as a guide, choosing a color that’s three shades darker. To bring depth to a long hallway, Fields suggests painting the wall at the end of a long hallway a different shade than the others.
Tips:
Shine with sheen. Flat or matte finish is difficult to clean and shows scuffs. Increasing the sheen can brighten rooms. Eggshell or satin bounces light off the walls to make spaces seem larger. Semi-gloss, higher on the sheen level, is a good option for kitchens and bathrooms since it’s easy to clean, the shiniest of all, is best for big “statement” areas, such as the front door. But gloss accentuates flaws, so use it sparingly.
Create monochromatic harmony. Use different variations of the same color throughout the home. The Paint Quality Institute, a paint education resource, refers to this as “layering.” Choose a color card, which usually has about three or four similar hues, and use two or more colors from the single card. Use the lighter colors in the main living areas and darker shades for the rooms that branch out, such as the bedrooms, is a suggestion.
Paint the baseboards white. But don’t use stark white, which can take on gray tones against some wall colors. If the home has dated stained-wood trim, simply painting it off-white can bring it up-to-date. But don’t forget to use a primer first.
7 Ways to Create a Cohesive Style
Small updates will have a more dramatic impact if home owners are careful to keep the styles consistent and find ways to draw out the home’s best features. Here are some tips from experts on how to make small improvements pay off.
1. Concentrate on big impact rooms. Be selective about what you do. Kitchens and bathrooms still usually offer the most bang for your buck.
2. Go neutral. Don’t introduce too much color to the “bones” of the home. You don’t want buyers to see too much bold color on cabinets and walls and say, “‘I have nothing to go with red, “Buyers will have a tough time seeing past it.” Stay neutral with walls, cabinets, and fixtures. Bring in pops of colors through accessories.
3. Consult an expert. A professional stager or remodeler can work within your budget and pinpoint where best to spend your dollars. For a list of contractors or interior decorators, ask colleagues or friends for recommendations or check the Web sites of organizations such as the Real Estate Staging Association or the National Kitchen and Bath Association.
4. Know when inexpensive won’t work. Certain projects simply can’t be done cheaply, especially in a high-end home. “If it’s a luxury home, replacing the vanity with an off-the-shelf product from a big-box store isn’t going to cut it. “Most consumers will be able to tell that you did something cheap. They won’t even see the value of it, so you’re better off cleaning what’s there and having it appear its best.”
5. Find inspiration. For design guidance, grab a catalog from Pottery Barn, Restoration Hardware, or Williams-Sonoma. “Anything you see in there is fairly consistent with what the average consumer is looking for”.
6. Plan your budget. Even small projects can carry a premium if a contractor is needed for installation. For labor savings, bulk your work, grouping several projects in a full day’s work rather than hiring a handyman or contractor for separate hourly jobs.
7. Complement the architecture. If it’s a two-story colonial home, avoid overly contemporary updates, such as stainless steel countertops. Likewise, if the exterior is modern or contemporary, stay away from traditional styles, such as dark wood or classic lighting fixtures.
Real Estate TERM of the DAY
02.01.11
Administrator & Administrator’s DEED - a person appointed by a court and a DEED conveying property
Home Ownership the American Dream??
01.29.11
Are there still as many people today wanting and yearning to own their own home? Do people really know the difference between owning their own HOME as opposed to a HOUSE? I believe there needs to be more education to the first time home buyers about owning and the responsibilities that go in to owning a HOME .
House is a place to come to eat and sleep and not much really take place at. Not a lot of memories or activities. It also serves as a place to keep our stuff and protect us from the elements.
Home is the one place where we create an environment that’s all our own. It’s also where we establish traditions, mold our family’s values, form our identity, a place you feel at peace, and comfortable. A home reflects your personality. But does it matter whether we own the home or not? In the past several months, as the country has worked to sort through the wreckage of the financial crisis, that question has been hotly debated, with some critics saying that too much emphasis has been placed on the virtues of home ownership.
It is said that “Home ownership is perhaps the surest way to accumulate net worth that there is, and it is often the largest and most important part of the total portfolio of many middle-income Americans,” and “The beauty of home ownership in this regard is that it tends to be a slow, almost inexorable wealth builder. In many ways, it operates more like a savings account than an investment. Each mortgage payment is like making a savings deposit, slowly building equity.”
Young People Want to Own, Too
One thing that’s clear from a 2010 poll: Young adults are just as committed to becoming home owners as their parents and grandparents before them.
Of the 798 young adults (ages 18–29) who participated in the poll, about three in four say owning a home provides a healthy, stable environment for raising a family, and more than two-thirds say owning contributes to their long-term financial goals. More than eight in 10 said that over a period of several years, it makes more sense to own a home.
At the same time, young adults believe it has become more difficult to achieve the American dream. Seventy-one percent say it is more or much more difficult than it was for their parents’ generation, and 72 percent predict it will be even more difficult for the next generation.
Something I found and wanted to reprint here… “This difficulty would almost certainly be exacerbated by the elimination or reduction of incentives such as the mortgage interest deduction, says Fitchburg, Wis., practitioner David Stark: “The MID has been with us since the early part of the 20th century and is deeply embedded in the economics of our housing industry. While I’m sure the housing market, over a period of many years, could eventually adapt to the loss of the MID, it would be a painful process to go through.
“If you want to prolong the recession by another few years, keep talking about eliminating the MID,” Stark says. “On the other hand, if you’re interested in seeing the recession end and employment pick up, then don’t even think about eliminating it, and pursue policies that will build a floor under housing values and restore consumers’ confidence in the value of their home.”…
Out of a poll that was taken the vast majority of home owners (95%) and renters (72%) say that owning a home makes sense long term. With this being said let’s learn and teach that HOME ownership is of GREAT value.
Introduction to Video’s I will be doing
01.20.11
I will be doing video’s on Real Estate, these video’s will be on Real Estate TERMs, Real Estate buying, selling and investing. I will also looking at doing business video’s as I get going.
I hope that you find these educational and helpful.
Thank you
