Forth Hoyt, Sacramento Area Certified Short Sale Specialist

Forth Hoyt

CRS, CDPE, RDCpro, SRES, e-PRO, PSC

Certified HAFA Specialist,

Certified Mortgage Resolution Specialist

Certified Home Retention Specialist

Sacramento County Master’s Club

Certified Pre-Foreclosure and Short Sale Specialist

California Real Estate License #01319540

forthhoyt@kw.com

Objective:

To assist you and your family with your real estate needs.  To enable a quick, professional, efficient, hassle free transaction through our unsurpassed market knowledge, buyer acquisition systems and negotiation skills.

Designations

• 2011 Internet Marketing Specialis Designation – The Internet Marketing Specialist Designation (IMSD) is a proven training program developed through interviews with over 1,000 Mega-Agents who use  internet marketing as the cornerstone of their buyer acquisition systems.  The IMSD community specifically what works straight from the top real estate professionals nationwide

• 2010 Certified Distressed Property Expert Designation- Completed rigorous, intensive training- most coveted distressed property designation

• 2010 National Association Of Realtor’s Short Sale and Foreclosure Resource Designation Completed NAR’s only short sale an foreclosure resource program

• 2010 Certified HAFA Specialist Designation Certification intensive 14 module class on Treasury’s Short Sale Program
• 2009 PSC Designation; the Pre-foreclosure Specialist Certification class, (PSC) is an interactive, two-day “Short Sale Mastery Workshop”
• 2008 Mortgage Resolution Specialist Designation- Intensive one day boot camp for short sales
• 2008 HRC Certified Home Retention Specialist designation course from Titanium Solutions

• 2008 CRS Designation- completed the rigorous educational and production requirements to earn the Certified Residential Specialist Designation.

• 2007 SRES Designation- Senior Real Estate Specialist – Real Estate Buyer’s Agent Council of the National Association of REALTORS®.
• 2007 e-PRO Designation -  e-PRO is the only National Association of REALTORS® approved Internet Certification Program.
• 2007 RDCPro™ Certification Default Schools’ REO Default Certified Professional
• 2007 CREOB Designation – Premiere Asset Services; Default training designation

Summary of Qualifications

• Lead agent and ‘Rainmaker’; The Hoyt Group, Keller Williams. Consistently in the top 2% – Keller Williams nationwide.
• Member Agent Leadership Council; Keller Williams Folsom
• Chairman of 2008 Finance Committee; Keller Williams Folsom
• Dynamic leader and team builder, distinguished, committed and decisive, consistently motivating others towards success.
• Co-Owner Ethix Appraisal Service.
• Owner and operator of Basin Property Management LLC.
• Certified Keller Williams Trainer and Agent Faculty Member.  I frequently teach in our market center and other Keller Williams market centers in the area.
• Specializing in the listing, negotiating and closing of properties, including short sales and REO.
• Team of specialists include;  2 listing agents, 8 buyers agents,1 licensed transaction coordinator, 1 licensed real estate appraiser, 1 Marketing Specialist, title and escrow, property management as well as a team of maintenance workers that maintain our vacant listings as well as our own personal properties.

Brief History

-2005-present

Keller Williams, Folsom, Ca. (KW is the second largest brokerage in our area.)

Team Leader; The Hoyt Group.  2007 top 1% in production for office.

-2003-2005

RE/MAX Gold, Granite Bay (RE/MAX Gold is second largest brokerage in our area)

Lead Listing Specialist with Team Conway. Team Conway was the #1 Agent Team with RE/MAX Gold in 2003, 2004 with my assistance- I listed and sold up to 42 listings annually, as a team we did over 250  transactions annually consistently #1 or #2 agent team; RE/MAX Gold.

-2001-2002

RE/MAX Gold, Granite Bay

Obtained my real estate agents license in 2001 and began working as lead generator and marketing consultant/coordinator for the Ric Chen. The 2002 yr. #1 listing agent; RE/MAX Gold.

Real Estate and Related Education

• 2001 -California Real Estate Salesperson License

• 2005 -Keller Williams Business Planning Clinic
• 2005 -Ultimate Real Estate Success Super Conference with Craig Proctor
• 2005 -Keller Williams Listing Clinic
• 2005 -Keller Williams Time Management with the 4-1-1
• 2005 -Keller Williams Listing Clinic (second time)
• 2006 -By Referral Only Main Event Conference with Joe Stumpf
• 2006 -Keller Williams Consulting Clinic
• 2006 -Keller Williams Train The Trainer Clinic
• 2006 -Keller Williams Buyers Clinic
• 2006 -Keller Williams Consulting Clinic
• 2007 -Keller Williams Listing Clinic (third time)
• 2007 -Keller Williams Buyers Clinic (second time)
• 2007 -Turning Point Leadership Conference with Brian Buffini
• 2008 – CRS PRO-act- Las Vegas, NV- 6 Day Training from CRS Instructors, the industry’s premier trainers.
• 2008 Mortgage Resolution Specialist Designation- Intensive one day boot camp for short sales
• 2008 HRC Certified Home Retention Specialist designation course from Titanium Solutions
• 2008 – Quantum Leap, Pleasanton CA – Business and Life Success Training with Mo Anderson.

• 2008 CRS Designation- completed the rigorous educational and production requirements to earn the Certified Residential Specialist Designation.

• 2009-Certified Pre-Foreclosure and Short Sale Specialist the Pre-foreclosure Specialist Certification class, (PSC) is an interactive, two-day “Short Sale Mastery Workshop”
• 2009- Seller Mastery- with Bruce Hardie
• 2009- Keller Williams Luxury Homes Marketing Clinic

• 2009 PSC Designation the Pre-foreclosure Specialist Certification class, (PSC) is an interactive, two-day “Short Sale Mastery Workshop”
• 2010 NAR’s Realtor’s Short Sale and Foreclosure Resource Designation Completed NAR’s only short sale an foreclosure resource program
• 2010 Certified HAFA Specialist Designation Certification intensive 14 module class on Treasury’s Short Sale Program

Forth Hoyt has become one of the Sacramento area’s premier real estate agents, and a Sacramento short sale and pre-foreclosure specialist. Through his devotion to learning, his work ethic and tenacity and eleven years of Sacramento area Real Estate Experience and hundreds of transactions, Forth has the knowledge and background to provide you with a winning real estate experience!

CRS, CDPE, PFC, IMSD, Certified HAFA Specialist,

RDCPro, A-REO, SFR, SRES, e-PRO, Master’s Club

Certified Pre-Foreclosure Specialist

Short Sale And Foreclosure Resource Designation

The National Association of Realtors

Only Short Sales and Foreclosure Resource Program

El Dorado County Approved And Pended Along With Closed Short Sales

Looking For Short Sale Information in El Dorado County?

Need Short Sale Market Stats or Short Sale Market Information For El Dorado Hills? Sacramento Area Multi-Certified Short Sale Specialist Forth Hoyt Shares Short Sale Market Facts for El Dorado County and El Dorado Hills

The Short Sale is becoming a more viable foreclosure option in El Dorado Hills and El Dorado County.  Short Sales are going pending and approved in El Dorado County much much more successfully than in the past. See the graph above and the chart below that illustrate that short sales are going pending and approved much more that in the past.

	1 month			1 year
	May 10	June 10	% Change	June 09	June 10	% Change
For Sale	187	203	8.6%	227	203	-10.6%
Sold	40	46	15%	21	46	119%
Pended	59	98	66.1%	48	98	104.2%

With the short sale being approved, going pending, and actually closing escrow in El Dorado County so much more frequently and consistently, I wondered how they were doing as a foreclosure option in El Dorado Hills? So lets take a look at El Dorado hills short sale information

But first:

• Short Sale VS. Foreclosure …Tough Decisions Facing El Dorado Hills and El Dorado County Homeowners Today.

The Chart Below shows that El Dorado Hills has an inventory of Active Short Sales that is barely more than 1/4 of the active short sales in El Dorado County, yet Pended and Approved Short Sales and Closed Short Sales that is nearly half of the entire El Dorado County Short Sale Inventory for these categories!

El Dorado Hills Short Sale Market Stats for 6/09 to 6/10

With so much talk about short sales as an option to foreclosure, and with many new Government short sale Programs it’s nice to see they are actually closing and getting short sale approval on more and more short sales.

• New Government Foreclosure Prevention Program Eligibility- Which Programs Do You Qualify For?  CHECK YOUR ELIGIBILITY NOW

When you look at the year over year numbers, you can really see that short sales in El Dorado Hills are definitely trending upward and being successfully used as an anti-foreclosure tool in El Dorado Hills

The Chart above and graph below show that, not surprisingly,nearly half of the pended short sales in El Dorado County were short sales that were approved and went pending in El Dorado Hills.

1 month			1 year
	May 10	June 10	% Change	June 09	June 10	% Change
For Sale	55	68	23.6%	79	68	-13.9%
Sold	12	20	66.7%	5	20	300%
Pended	19	46	142.1%	18	46	155.6%

With so much talk about  giving homeowners foreclosure options, stopping foreclosure and working homeowners to avoid losing their homes, (except for a principle reduction loan modification that makes sense!) you might think that the foreclosure filings such as notice of default and notice of trustee sales in El Dorado Hills And El Dorado County would both be down. NOT THE CASE!  Foreclosure filings for both El Dorado Hills and El Dorado County are both way up, yet the postponement of the El Dorado County Trustee Sale (at the courthouse steps) have just continued…

Buying A shortsale? 

Short Sale Buying

Are you looking to buy a new home? Are you thinking that now’s a great time to find bargains? Before you make an offer, it pays to know a little about the seller’s situation.

If a home is being sold for below what the current seller owes on the property—and the seller does not have other funds to make up the difference at closing—the sale is considered a short sale. Many more home owners are finding themselves in this situation due to a number of factors, including job losses, aggressive borrowing against their home in the days of easy credit, and declining home values in a slower real estate market.

A short sale is different from a foreclosure, which is when the seller’s lender has taken title of the home and is selling it directly. Homeowners often try to accomplish a short sale in order to avoid foreclosure. But a short sale holds many potential pitfalls for buyers. Know the risks before you pursue a short-sale purchase.

You’re a good candidate for a short-sale purchase if:

• You’re very patient. Even after you come to agreement with the seller to buy a short-sale property, the seller’s lender (or lenders, if there is more than one mortgage) has to approve the sale before you can close. When there is only one mortgage, short-sale experts say lender approval typically takes about two months. If there is more than one mortgage with different lenders, it can take four months or longer for the lenders to approve the sale.
• Your financing is in order. Lenders like cash offers. But even if you can’t pay all cash for a short-sale property, it’s important to show you are well qualified and your financing is set. If you’re preapproved, have a large down payment, and can close at any time, your offer will be viewed more favorably than that of a buyer whose financing is less secure.
• You don’t have any contingencies. If you have a home to sell before you can close on the purchase of the short-sale property—or you need to be in your new home by a certain time—a short sale may not be for you. Lenders like no-contingency offers and flexible closing terms.

If you’re serious about purchasing a short-sale property, it’s important for you to have expert assistance. Here are some people you want to work with:

• Experienced real estate attorney. Only about two out of five short sales are approved by lenders. But a good real estate attorney who’s knowledgeable about the short-sale process will increase your chances getting an approved contract. Also, if you want any provisions or very specialized language written into the purchase contract, a real estate attorney is essential throughout the negotiation.
• A qualified real estate professional.* You may have a close friend or relative in real estate, but if that person doesn’t know anything about short sales, working with him or her may hurt your chances of a successful closing. Interview a few practitioners and ask them how many buyers they’ve represented in a short sale and, of those, how many have successfully closed. A qualified real estate professional will be able to show you short-sale homes, help negotiate the purchase when you find the property you want to buy, and smooth communications with the lender. (All MLSs permit, and some now require, special notations to indicate that a listing is a short sale. There also are certain phrases you can watch for, such as “lender approval required.”)
• Title officer. It’s a good idea to have a title officer do an initial title search on a short-sale property to see all the liens attached to the property. If there are multiple lien holders (e.g., second or third mortgage or lines of credit, real estate tax lien, mechanic’s lien, homeowners association lien, etc.), it’s much tougher to get that short sale contract to the closing table. Any of the lien holders could put a kink in the process even after you’ve waited for months for lender approval. If you don’t know a title officer, your real estate attorney or real estate professional should be able to recommend a few.

Some of the other risks faced by buyers of short-sale properties include:

• Potential for rejection. Lenders want to minimize their losses as much as possible. If you make an offer tremendously lower than the fair market value of the home, chances are that your offer will be rejected and you’ll have wasted months. Or the lender could make a counteroffer, which will lengthen the process.
• Bad terms. Even when a lender approves a short sale, it could require that the sellers sign a promissory note to repay the deficient amount of the loan, which may not be acceptable to some financially desperate sellers. In that case, the sellers may refuse to go through with the short sale. Lenders also can change any of the terms of the contract that you’ve already negotiated, which may not be agreeable to you.
• No repairs or repair credits. You will most likely be asked to take the property “as is.” Lenders are already taking a loss on the property and may not agree to requests for repair credits.

The risks of a short sale are considerable. But if you have the time, patience, and iron will to see it through, a short sale can be a win-win for you and the sellers.

* Not all real estate practitioners are REALTORS®. A REALTOR® is a member of the NATIONAL ASSOCIATION OF REALTORS® and is bound by NAR’s strict code of ethics.

 Are you looking to buy a new home? Are you thinking that now’s a great time to find bargains? Before you make an offer, it pays to know a little about the seller’s situation.

If a home is being sold for below what the current seller owes on the property—and the seller does not have other funds to make up the difference at closing—the sale is considered a short sale. Many more home owners are finding themselves in this situation due to a number of factors, including job losses, aggressive borrowing against their home in the days of easy credit, and declining home values in a slower real estate market.

A short sale is different from a foreclosure, which is when the seller’s lender has taken title of the home and is selling it directly. Homeowners often try to accomplish a short sale in order to avoid foreclosure. But a short sale holds many potential pitfalls for buyers. Know the risks before you pursue a short-sale purchase.

You’re a good candidate for a short-sale purchase if:

• You’re very patient. Even after you come to agreement with the seller to buy a short-sale property, the seller’s lender (or lenders, if there is more than one mortgage) has to approve the sale before you can close. When there is only one mortgage, short-sale experts say lender approval typically takes about two months. If there is more than one mortgage with different lenders, it can take four months or longer for the lenders to approve the sale.
• Your financing is in order. Lenders like cash offers. But even if you can’t pay all cash for a short-sale property, it’s important to show you are well qualified and your financing is set. If you’re preapproved, have a large down payment, and can close at any time, your offer will be viewed more favorably than that of a buyer whose financing is less secure.
• You don’t have any contingencies. If you have a home to sell before you can close on the purchase of the short-sale property—or you need to be in your new home by a certain time—a short sale may not be for you. Lenders like no-contingency offers and flexible closing terms.

If you’re serious about purchasing a short-sale property, it’s important for you to have expert assistance. Here are some people you want to work with:

• Experienced real estate attorney. Only about two out of five short sales are approved by lenders. But a good real estate attorney who’s knowledgeable about the short-sale process will increase your chances getting an approved contract. Also, if you want any provisions or very specialized language written into the purchase contract, a real estate attorney is essential throughout the negotiation.
• A qualified real estate professional.* You may have a close friend or relative in real estate, but if that person doesn’t know anything about short sales, working with him or her may hurt your chances of a successful closing. Interview a few practitioners and ask them how many buyers they’ve represented in a short sale and, of those, how many have successfully closed. A qualified real estate professional will be able to show you short-sale homes, help negotiate the purchase when you find the property you want to buy, and smooth communications with the lender. (All MLSs permit, and some now require, special notations to indicate that a listing is a short sale. There also are certain phrases you can watch for, such as “lender approval required.”)
• Title officer. It’s a good idea to have a title officer do an initial title search on a short-sale property to see all the liens attached to the property. If there are multiple lien holders (e.g., second or third mortgage or lines of credit, real estate tax lien, mechanic’s lien, homeowners association lien, etc.), it’s much tougher to get that short sale contract to the closing table. Any of the lien holders could put a kink in the process even after you’ve waited for months for lender approval. If you don’t know a title officer, your real estate attorney or real estate professional should be able to recommend a few.

Some of the other risks faced by buyers of short-sale properties include:

• Potential for rejection. Lenders want to minimize their losses as much as possible. If you make an offer tremendously lower than the fair market value of the home, chances are that your offer will be rejected and you’ll have wasted months. Or the lender could make a counteroffer, which will lengthen the process.
• Bad terms. Even when a lender approves a short sale, it could require that the sellers sign a promissory note to repay the deficient amount of the loan, which may not be acceptable to some financially desperate sellers. In that case, the sellers may refuse to go through with the short sale. Lenders also can change any of the terms of the contract that you’ve already negotiated, which may not be agreeable to you.
• No repairs or repair credits. You will most likely be asked to take the property “as is.” Lenders are already taking a loss on the property and may not agree to requests for repair credits.

The risks of a short sale are considerable. But if you have the time, patience, and iron will to see it through, a short sale can be a win-win for you and the sellers.

* Not all real estate practitioners are REALTORS®. A REALTOR® is a member of the NATIONAL ASSOCIATION OF REALTORS® and is bound by NAR’s strict code of ethics.

 Are you looking to buy a new home? Are you thinking that now’s a great time to find bargains? Before you make an offer, it pays to know a little about the seller’s situation.

If a home is being sold for below what the current seller owes on the property—and the seller does not have other funds to make up the difference at closing—the sale is considered a short sale. Many more home owners are finding themselves in this situation due to a number of factors, including job losses, aggressive borrowing against their home in the days of easy credit, and declining home values in a slower real estate market.

A short sale is different from a foreclosure, which is when the seller’s lender has taken title of the home and is selling it directly. Homeowners often try to accomplish a short sale in order to avoid foreclosure. But a short sale holds many potential pitfalls for buyers. Know the risks before you pursue a short-sale purchase.

You’re a good candidate for a short-sale purchase if:

• You’re very patient. Even after you come to agreement with the seller to buy a short-sale property, the seller’s lender (or lenders, if there is more than one mortgage) has to approve the sale before you can close. When there is only one mortgage, short-sale experts say lender approval typically takes about two months. If there is more than one mortgage with different lenders, it can take four months or longer for the lenders to approve the sale.
• Your financing is in order. Lenders like cash offers. But even if you can’t pay all cash for a short-sale property, it’s important to show you are well qualified and your financing is set. If you’re preapproved, have a large down payment, and can close at any time, your offer will be viewed more favorably than that of a buyer whose financing is less secure.
• You don’t have any contingencies. If you have a home to sell before you can close on the purchase of the short-sale property—or you need to be in your new home by a certain time—a short sale may not be for you. Lenders like no-contingency offers and flexible closing terms.

If you’re serious about purchasing a short-sale property, it’s important for you to have expert assistance. Here are some people you want to work with:

• Experienced real estate attorney. Only about two out of five short sales are approved by lenders. But a good real estate attorney who’s knowledgeable about the short-sale process will increase your chances getting an approved contract. Also, if you want any provisions or very specialized language written into the purchase contract, a real estate attorney is essential throughout the negotiation.
• A qualified real estate professional.* You may have a close friend or relative in real estate, but if that person doesn’t know anything about short sales, working with him or her may hurt your chances of a successful closing. Interview a few practitioners and ask them how many buyers they’ve represented in a short sale and, of those, how many have successfully closed. A qualified real estate professional will be able to show you short-sale homes, help negotiate the purchase when you find the property you want to buy, and smooth communications with the lender. (All MLSs permit, and some now require, special notations to indicate that a listing is a short sale. There also are certain phrases you can watch for, such as “lender approval required.”)
• Title officer. It’s a good idea to have a title officer do an initial title search on a short-sale property to see all the liens attached to the property. If there are multiple lien holders (e.g., second or third mortgage or lines of credit, real estate tax lien, mechanic’s lien, homeowners association lien, etc.), it’s much tougher to get that short sale contract to the closing table. Any of the lien holders could put a kink in the process even after you’ve waited for months for lender approval. If you don’t know a title officer, your real estate attorney or real estate professional should be able to recommend a few.

Some of the other risks faced by buyers of short-sale properties include:

• Potential for rejection. Lenders want to minimize their losses as much as possible. If you make an offer tremendously lower than the fair market value of the home, chances are that your offer will be rejected and you’ll have wasted months. Or the lender could make a counteroffer, which will lengthen the process.
• Bad terms. Even when a lender approves a short sale, it could require that the sellers sign a promissory note to repay the deficient amount of the loan, which may not be acceptable to some financially desperate sellers. In that case, the sellers may refuse to go through with the short sale. Lenders also can change any of the terms of the contract that you’ve already negotiated, which may not be agreeable to you.
• No repairs or repair credits. You will most likely be asked to take the property “as is.” Lenders are already taking a loss on the property and may not agree to requests for repair credits.

The risks of a short sale are considerable. But if you have the time, patience, and iron will to see it through, a short sale can be a win-win for you and the sellers.

* Not all real estate practitioners are REALTORS®. A REALTOR® is a member of the NATIONAL ASSOCIATION OF REALTORS® and is bound by NAR’s strict code of ethics.

Sacramento  Short Sales Shark Attack

“Just when you thought it was safe to go back in the water…”

“Houston, we have a problem…”

“We’re not in Kansas anymore, Toto!

Can’t think of any more silly quotes right now, been a long day, but I just got an email from Chris McLaughlin, one of the nations top real estate attorneys and a huge investor of real estate; hope he doesn’t mind, but it was so interesting I thought I’d pass it on to you here.

Forth,

Just when you thought things were turning the corner…
looks like we could be in for a double dip recession.

Don’t take my word for it … why do you think the FHA recently gave the green light for property flipping to FHA buyers?  They know things are going to get worse, so they need to start moving more properties ASAP.

Here’s why:

#1 While the subprime crisis may be showing signs of
stabilizing, the ARM crisis is just beginning to rear
its ugly head. 

According to one business journalist: “The big wave of Option ARM resets has yet to come, and given the drop in home prices, refinancing won’t be realistic.”

Look for more short sales coming in 2010.

#2. Municipal Defaults: yep, local towns and counties
are feeling the pinch with foreclosures and tax
defaults draining their coffers.  And when a town
goes broke, it will put their resident’s property
even further underwater.

Look for more short sales coming in 2010.

#3.  Commercial Real-Estate Collapse: The second
largest chain of malls has already declared
bankruptcy.  Obligations needing refinancing
in the commercial market are in the trillions.
And most of them, even with positive cash flows,
are as underwater as residential mortgages.  As
these businesses crash, they will cause even
more unemployment.

Look for more short sales coming in 2010.

#4.  Loan modifications aren’t working.  Unless
and until there is meaningful principal reduction,
most people getting a loan modification will stop
making their payments if they are $100,000+
upside down on their home.  And there are A LOT
of people upside down.  Look for lots of “jingle
mail,” where the homeowner just sends back the
keys, in 2010. 

Look for more short sales coming in 2010. 

But look for a lot more buyers now that FHA has given the green light. 

Are you seeing a theme yet?

Foreclosure Rates May Soar

Foreclosure Notice in Sacramento

Courtesy Chris Mcglaughlin

One in every 7.5 homeowners either fell into delinquency or foreclosure as of November 30, 2009, according to the December mortgage monitor report from Lender Processing Services.  The total number of delinquencies reached a record high of 9.97%, a 5.46% increase from the previous month and a 21.29% increase from November 2008. Loans falling into more severe delinquent categories reached 5.01% through November, compared to 1.52% of loans improved toward a current status.  That’s compared to November’s mortgage monitor report, when 4.02% of current mortgages through December 2008 fell into delinquency by October 2009.  More than 4% of the loans that were current in December 2008, fell behind by 60 days or more, including foreclosure, by the end of November 2009. 

Click here for Sacramento short sale help.

It’s the highest rate for that part of the year since LPS began reporting the data.  The foreclosure rate in November reached 3.19%, a 1.46% increase from the previous month and an 81.41% increase from November 2008. This doesn’t include the amount of homes falling into the shadow inventory of foreclosure. Some data providers like First American CoreLogic speculate that number could be as high as 1.7 million as the roadblocks of the government incentive programs and moratoriums clog the foreclosure pipeline.  “Foreclosure starts continued to decline as a result of loss mitigation efforts like the federal government’s Home Affordable Modification Program (HAMP) and elevated delinquent loan volumes,” according to the report. “The reduction in foreclosure starts, combined with the steady increase in the number of seriously delinquent loans, has resulted in an ever-growing ‘shadow’ inventory of troubled properties.”  The states with the most non-current loans were Florida, Nevada and Mississippi. Those with the fewest were North Dakota, South Dakota and Alaska.

Understanding Foreclosure

Foreclosure– how do you mean that?

Understanding Foreclosure Timelines

Foreclosure: a process and an event…

Most of the time, Foreclosure means one of a couple of things; a process, as in “my Brother is in foreclosure”, or it can be an actual event: “that 4600 square foot home went for $243,000 at the foreclore sale the other day…”

You see, foreclosure as a process means the three steps a bank or investor goes through to take a  home or piece of property back;

The legal Foreclosure Time-Lines in California:

After you are 60 days past due on your mortgage payment, (or 90 days since your last payment), the bank can file a notice of default:

Then, 90 days after that, the Notice of Trustee Sale can be filed. No earlier than 20 days later, the Trustee Sale can be held-

So;

60 days late = Notice of default

90 days = Notice of Trustee Sale

21 days= Trustee sale

The fastest your bank can take a home back in California is 171 days late on payments or 211 days since the last payment.  Most banks and servicers are being very slow to file the initial Notice of Default- almost all wait over six months.  The Notice of Trustee Sale may take up to a year after the Notice of Default is filed.  Even after the Notice of Trustee Sale is filed, the banks/sevicers are now re-scheduling over 3/4 of the Trustee Sales, many for an additional 30, 60,or 90 days initially and then rescheduling again if they have made contact with the homeowner and there is any hope of a loan modification or short sale.  They don’t want any more foreclosures unless it is clear there is no  foreclosure solution. The writing is on the wall: Less foreclosures and more short sales for 2010 and beyond!

Tags: Foreclosure+Timelines, Understanding+Foreclosure

December Sacramento Trustee Sale Report 

November California Notice of Default and Notice of Trustee Sale Numbers…

Graph of California Notice of Defaults/Trustee Sales

Courtesy dr.housingbubble.com

Sacramento Trustee Sales Continue to be Re-Scheduled on nearly 90% of trustee sales at 720 9TH ST  downtown Sacramento most days. Imperfect foreclosure, and/or new policies under the HAMP/TARP guidelines are usually blamed.

The whole state of California has been experiencing this too, lately, even though Fannie Mae said on Dec. 15^th that they were not going to re-schedule or postpone any more Trustee Sales.

According to Sean O’tooles blog on ForeclosureRadar (www.foreclosureradar.com), the only website that tracks every California foreclosure and provides daily auction updates, issued its monthly California Foreclosure Report for for November 2009. Despite apparent headline month-over-month declines in foreclosure activity, the real story requires looking at changes in the average daily activity. November had only 18 days on which filings could be recorded or trustee sales held because of fewer days in the month, Veterans Day and the Thanksgiving Holiday, while October had 22 recording days, and 21 trustee sale days. After adjusting for this difference in days we find little month-over-month change in the statistics, with the exception of Notices of Trustee Sale which declined 13.4 percent, Cancellations which rose 40.0 percent and Sales to 3rd Parties which rose 8.0 percent on a daily average basis.

“We’ve been waiting to see some impact from the Home Affordable Modification Program,” says Sean O’Toole, Founder and CEO of ForeclosureRadar.com. “The 40 percent increase in cancellations this month is likely just the beginning of what we expect will be a wave of cancellations under this program”.

Foreclosure Filings

It is important to recognize that the decline in Foreclosure Filings is primarily due to a difference in the number of days documents can be recorded month-over-month and not fewer filings each day. With just 18 recording days in November versus 22 in October, average daily filings of Notices of Default only declined 1 percent, while Notices of Trustee Sale declined 13.4 percent from the prior month.

Buying a Sacramento short sale will definitely become easier and easier in the next several months and the process will continue to evolve, change, and morph into a more traditional transaction for years to come.

Buying A Short Sale

Contact a Certified Short Sale Agent about buying a short sale.

However; your Buyers Agent- if they are at all experienced with with todays market- will know that there are some short sales will never close!Secondary Mortgages (any Junior Liens) that have been added after the purchase or have been refinanced (any non purchase money loans) are full recourse in California– the first will go away with the house– no matter what; if it goes to foreclosure, closes as a short sale, whatever… but non-purchase money seconds may stay intact and become non-secured debt… just like credit card debt.Short Sale qualifying is just asking questions; the right questions will allow yor agent to find shortsales that have a high chance of being approved: Your Short Sale Specialist will find out things like:1) The Kind of loans involved; recourse or non-recourse.2) If recourse; the sellers (think homeowners) financial situation, hardship status and/or their willingness/ability to make a contribution, sign a note, or otherwise pay off any secondary note holders demand (which may be full recourse).3) Which banks are involved and their policies regarding first liens, secondary liens, recourse debt, hardship rules etc.4) Know the market, the absolute market value of the home– (banks don’t like to leave money on the table) what the Broker’s Price Opinion, or Appraised value of the home will be and the amount of money the first will be short; and the policies of each bank involved–If you don’t know these things gong in, you will find them out during the process, usually weeks or months into the short sale process… Contact a Certified Short Sale Agent about buying a short sale right here.  Many, many times, the short sale you have fallen in love with and cannot live without may very well become an REO.There is also the chance that your short sale will, at the eleventh hour, not be approved because the banks or servicers suddenly want to include language stating the seller agrees that the lender has the right to pursue a deficiency judgment or the balance unpaid on the promissory note… Many homeowners, when they realize this problem is not going away, file bankruptcy– again, at the eleventh hour- after you and your family have been waiting months for the home of your dreams.Make sure your Buyer’s agent is also a Sacramento short sale listing agent and a Sacramento Short Sale Specialist and works with a team that specializes in these complicated and ever-changing transactions!Short sale negotiating is definitely a moving target– it is nearly a full-time job just to stay on top of educated of all the different banks, servicers, secondary investors rules of procedure and the institutional/political policy changes.Some short sales will never close! Find out why!By the way…here’s where I remind everyone that I am NOT a lawyer, and that if you have any questions or concerns about your legal situation– get an attorney! I have several great Real Estate Law, Mortgage Law, Contract Law and Bankruptcy Law specialists that I can refer you to!

Contact a Certified Short Sale Agent about buying a short sale.

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Sacramento Foreclosure Solution Expert Report

Short Sale Help Is On The Way! BofA Implements The REOTrans Equator Short Sale Process Module.

Sacramento Short Sales are here to stay… and with more and more defaults and homeowners in foreclosure, short sales will become even more and more rampant in Sacramento.

Bandk of Amerioca Short Sale System

Short Sale Help

The problems with most Sacramento short sale transactions are the extremely slow communication, processing, negotiating and approval of short sale files.Even though their are several banks that have been really good to work with; Wachovia has been good for a long time, Chase is becoming a breeze; Wells Fargo is getting things lined up, and now even Freddie Mac and Fannie Mae are pledging to help the Short Sale Process to become smoother.

Click here for Sacramento short sale help.

The “writing is on the wall” for 2010 to become the year that servicers, banks, institutions and secondary investors all get their act together to help make the short sale process more mainstream, less painful, confusing and stressful for buyers!

Over the last few years; often times, after Sacramento buyers have written offers on two, three, even four or more short sales without success, they just quit looking at short sales altogether and look for an REO or equity sale…

We will Surely look back at 2010 as the year the game changed… as more and more banks implement systems to make the Short Sale Processmore streamlined, easier to manage and even transparent; more like traditional real estate transactions! Sacramento’s real estate market will see a huge change as Bank of America gets its act together and starts closing short sales faster and more consistently

Click here for Sacramento short sale help.

The new Equator Short Sale Processing Module  (formerly known as REOtrans) has been launched as the industry’s first short sale processingonline portal. The amount of people I talk to here in the Sacramento area just amazes me; its like one of every three or four people I visit with about their mortgage have a BorA or Countrywide BofA

Although Equator has declined to name the lender, the new Internet based platform, as recently reported by the San Francisco Chronicle, will be used by Bank of America. A representative from BofA recently told the Chronicle that they were using the Equator platform to manage the short sale process. Great news, as Bank America is hands down the WORST bank to deal with on short sale files right now! 

The Short Sale platform will allow everyone involved in the transaction to work together, in real time with access to all documents, processing requests etc. and will be a huge asset in helping to shorten the time frames of short-sale approvals.

As reported in DSNews:

“This is the first time that short sales have been handled through an electronic platform,” said Equator CEOChris Saitta. “With our new system, everyone works together in real time, dramatically improving communication and approval timeliness for our client, its borrowers, vendors, and real estate agents.”

Just think– The short sale process becoming more like traditional real estate!

Click here for Sacramento short sale help.

If you are a buyer or a homeowner with questions about your options, Contact me today for Sacramento Short Sale Help!

The Sacramento Short Sale “Mirage”

Many of my Sacramento short sale home buyers have waited 4 to 6 months to close on a short sale, sometimes longer.