CHECK THIS OUT: : According to agents I spoke with, that were handling foreclosures in Silicon Valley and surrounding areas, it seems obvious that the market is picking up. There are multiple offers on the premium properties, mostly REO’s.   So.. if you want to buy a fixer upper, which are currently not selling very well, then, you can make a low offer and probably obtain the property.   HOWEVER…. if your trying to buy that beautiful home, in your favorite location, that’s priced like a fire sale, you may need to compete with other offers.   If you’re not willing to make a competitive offer, you probably won’t get the home. The Banks are reaching their bottom lines. The offers are coming in higher causing many foreclosure homes to be sold at list price or more.   This is definitely driven by area so talk to an expert in the area where you’re looking. Some areas are slower to recover than other areas. Though the recovery will not be over-night many experts are seeing a big change in the market. Silicon Valley Real Estate market has always been ahead of the recovery curve and there are reasons why.

My advice is,,, buy now!  If the government bail out or LOAN MODIFICATION works the REO’s (Bank foreclosures) will begin to disappear. In fact it’s beginning to happen already. I’m checking statistics and I can see it happening. If you want the numbers for different areas, call me.

As I predicted, the media is beginning to pick up on the increase.
They are always behind what the realtors see happening in the market.
TAKE NOTICE! What you’re reading in the news paper and hearing on television about the real estate market is about 30 to 45 days behind what is actually happening. HERES WHY….

The news papers and television media are geared to report on the "Closed Sales Transactions".

EXAMPLE: The End of October and beginning of November were very slow because of the election. These sales will close in December. So the news in December will speak of slowing sales. Don’t believe it. That news will be because of the slow period just before and after the election. Smart Buyers will be buying in December because REO’s will be decreasing and they are the best buys. 

DID YOU KNOW: There is currently a government moratorium on Foreclosure until Jan 9th 2009. This is because they want to get the Loan Modification going and try to stop the large number of foreclosures. If they are successful the number of REO’s will decline rapidly.

So bottom line: If you want to invest in foreclosure properties don’t wait!
The best deals disappear first!

The BIG BAILOUT or… Loan Modification

THE BIG BAILOUT! or… Loan Modification



What Do You Know About the Bail Out? Are You About to Loose Your Home??

Well like the rest of us you’re probably getting mixed messages about the Government Bail Out . After checking with several of my clients and discovering that there is a lot of incorrect information floating around I decided to check with a couple of banks.

Each bank is handling the bail out differently. So… it’s important to check with the bank that holds your mortgage.

Some banks told me that they are requiring good credit (685 fico score) a hardship letter, proof of income, and your bills can’t be more that 35% to 40% of your income. Many people that need loan modification can’t fit into these parameters

In some cases if you owe more that your home is worth the bank may reduce the amount you owe. However they are leaning more toward rate reductions and extended time periods. For example, if you have a 30 year mortgage they may extend it to 40 years and this would lower your payments.

"New Hope" Is the name given to the new "FHA Bail Out Program". It has some advantages but again it’s not going to work for everyone. Be sure to ask at your bank about how the FHA program works and if it will work for your situation.

My advice is to go to your lender and ask questions. Most of the lenders have a form you will need to fill out to get started. The faster you act the sooner you may get help. Don’t wait! The lines will form fast.