Short Sale Process

Please review the below Calendar of Events.  Month/Day Time County Location  March 2, 2011  Times: 10:00am, 2:00pm  Riverside County  Location TBD  April 1, 2011  Times 10:00AM, 2:00PM  Orange County  Location TBD May 1 , 2011  Times 10:00AM, 2:00PM  Los Angeles County  Location TBD  June 1, 2011  Times 10:00AM, 2:00PM  San Bernardino County  Location TBD  July 2, 2011  Times 10:00AM, 2:00PM  San Diego County  Location TBD  August 1, 2011  Times 10:00AM, 2:00PM  Riverside County  Location TBD  September 1, 2011  Times 10:00AM, 2:00PM  Orange County  Location TBD  October 1, 2011  Times 10:00AM, 2:00PM  Los Angeles County  Location TBD  November 1, 2011  Times...

This bill requires the holder of a first mortgage or deed of trust that is secured by residential real property to accept, as full payment, the proceeds of a short sale to which it agrees in writing, and obligates that note holder to fully discharge the remaining amount of the borrower's indebtedness on the deed of trust or mortgage following the sale. Assembly Amendments specify the bill does not apply if the trustor or mortgagor is a corporation of political subdivision of the state. Existing law is as follows: 1. Prohibits a lender from using pursuing a borrower for a...

Most people now know that lenders can’t come after borrowers for losses on purchase money loans. Unfortunately many folks lost that protection when they refinanced as the law, Civil Code of Procedure 580b, only applied to the original loan. Senate bill 1178 intends to fix that by extending 580b, the “purchase money rule” to any refinance of that original amount. Note that the protection would still NOT extend to owners that did cash-out refinances, and that makes sense. The whole idea behind the purchase money rule is that the borrower would not have been able to buy the home without...

Cedar Investment Group, Inc. is a full service real estate firm with expertise in the short sale process. We offer assistance to homeowners who are struggling to make their mortgage payments, are already behind on their payments, and want to short sale their houses. We also offer free loan modification assistance for those who qualify. In today’s housing market, a short sale often times makes the most financial sense for you and your family, you can usually rent a similar house for less than a modified payment and buy another house in two years after a short sale. After a foreclosure...

In 2009, the Treasury Department introduced the HAFA program to provide a viable option for homeowners who are unable to keep their homes through the existing Home Affordable Modification Program (HAMP). The HAFA program takes effect on April 5, 2010 although some servicers may implement it sooner if they meet certain requirements and sunsets on December 31, 2012. Home Affordable Foreclosures Alternatives Program: Guidelines and Forms. HAFA provides incentives in connection with a short sale or a deed-in-lieu of foreclosure (DIL) used to avoid foreclosure on a loan eligible for modification under the HAMP program. Servicers participating in HAMP are...

The following time-line is applicable for non-judicial California Foreclosures under a Deed of Trust. Foreclosures begin with the Trustor (borrower) not making the monthly payments to the Beneficiary (Lender), the first missed payment is technical default, but in practical terms, most Beneficiaries do not begin the process until the third payment is missed. If the Beneficiary cannot resolve the defaulted payment amount with the Trustor through Forbearance or other Loss Mitigation measures, the Beneficiary will instruct the Trustee to begin Foreclosure proceedings. Day 1 Notice of Default is filed with the county recorder Within 10 business days Mail Notice of...

Foreclosure Fix-it Scams LA Times has an article about the FTC starting to crack down on what are referred to as “foreclosure fix-it” scams. They include a list of common warning signs, which follows: 1. Guarantees to stop your foreclosure, irrespective of how much you owe or how much income you have to resolve your unpaid bills. Most major lenders and the servicing companies they employ are willing to negotiate loan modifications to cut payments or reschedule debts, but if you don’t have the income to handle even lower payments, foreclosure is hard to avoid. Any company that spins you...

Foreclosure is the legal process lenders use to try to recover the loan amounts they are due on past due home loans. Most lenders in fact do not want to own real estate and would rather have the loan paid off, or the loan payments being currently paid. Most homeowners who have suffered a financial setback also would like to prevent foreclosure, keep their home, and get the loan payments current. This page is designed to help you the borrower sort out the options to avoid foreclosure and hopefully reinstate your home loan. Fannie Mae, Freddie Mac, HUD, and the...

If you are considering a real estate short sale of your home, you should be aware that you may receive a form 1099-C for the amount of the lender's losses. This is considered loan forgiveness in the eyes of the IRS. If you have other assets such as saving and you are not insolvent, you may end up being responsible to pay ordinary taxes on the amount of the 1099-C. If you settle a debt with a creditor for less than the full amount owed, you may be required to report this forgiven debt as regular income, with certain important...

Short Sale is the new buzz word. With all the talk about short sales today, you might be asking yourself that very question. First, you should understand what a short sale is. A short sale occurs when the mortgage lender agrees to take less than the full balance owed on your mortgage to sell your property. You may ask "why would a lender do that?" A lender will agree when your financial situation is causing you to fall behind, or sometimes the potential to fall behind, in your mortgage payments, thereby resulting in a foreclosure. Lenders prefer short sales over...