Millions of Americans are faced with the possibility of foreclosure yet do not realize they have definite and reliable options to save their home. A nationally renowned Short Sale expert offers 5 concrete tips that could help save one’s time, credit and home.

Millions of Americans are faced with the possibility of foreclosure yet do not realize they have definite and reliable options to save their home. Short sales expert, Eli Tene is working to inform distressed property owners of these viable alternatives, the foremost being a short sale transaction.

“We have seen a wave of 100% financing, refinancing and cashing out beyond the real affordability level of the buyer in the last few years,” said Tene, CEO of I Short Sale Inc. “Buyers are taking cash out of their properties as casually as if they were making an ATM withdrawal.” Tene explains that, unfortunately for the buyer, payday comes at a time when they are least prepared for it. “Mortgages used to be up to 25% of your total income. We now see in many cases that the mortgage is 60, 70 and 80% of the buyer’s total income. There is no way to survive it. Any slight change in your life or income immediately affects your ability to pay,” says Tene.

I Short Sale Inc. has seen a dramatic increase in distressed property owners opting for a short sale rather than letting their home go into foreclosure. The real estate market is just now “catching on” to this wave of alternative and creative financing options; however, Tene has been facilitating short sales for over 16 years.

Most property owners who find themselves unable to pay their mortgage still have opportunities to preserve their home and protect their credit. Tene offers five tips that could save your home:

1.    Talk to your lender as soon as possible. Don’t wait to go further into delinquency. Time works against you. Once your payment is overdue, your opportunity to get the lender’s cooperation declines.

2.    Don’t be afraid of your lenders. The lender is in the lending business, not the real estate business. They do not want your property. They want to work with you to ensure the loan is paid.

3.    Beware of scam artists. Predatory lenders and distress opportunity scammers often target people in financial distress. They try to force you, in a time of panic, into high cost mortgages, which increase your financial problems and the risk of losing your home. Predatory lenders usually offer loans with hidden fees and rate increases. Be aware of “magicians” who pitch dream solutions that sound too good to be true. If it sounds too good to be true, the dream will likely become a nightmare. There are no magicians in this industry. Don’t agree to promises that are unrealistic. Look for a real solution.

4.    If your loan is insured by the department of Housing and Urban Development or the FHA, you may be eligible for a one-time payment to bring your mortgage payment current.

5.    Don’t try to negotiate a “short sale” on your property by yourself. When you are sick, you go to the doctor. When you go to court, you take a lawyer. For a successful short sale, seek professional advice. In most cases, you will have ONLY ONE chance at a successful negotiation with your lender.

I Short Sale, Inc. has assisted thousands of property owners and a large number of lenders in the intricate and sensitive business of short sales, modifications, forbearances, deeds in lieu and other creative financing solutions. For over 16 years, the company’s principals have developed solid experience and created an extensive network of contacts with lenders, realtors and property owners. The purpose of short sales, as well as the other financing solutions I Short Sale provides, is to help property owners and lenders avoid the lengthy and costly process of foreclosure, the stressful act of eviction and the REO sale that follows.

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Posted On: Woodland Hills, CA February 12, 2007

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Bills.com outlines 9 tips to prevent problems, avoid foreclosure

As any real estate agent knows, home sales heat up with rising temperatures every summer. Now, with mortgage interest rates more than a full point higher than at this time last year, fuel costs riding high, higher minimum credit card payments and consumer debt still raging, many U.S. homeowners risk foreclosure on their homes – but they don’t have to lose their slice of the American dream.

Last year, 31 percent of home loans issued were adjustable-rate mortgages [ARMs], which could spell big trouble as fixed mortgage rates hover around 6.83 percent and ARMs are poised to go much higher, said Brad Stroh, chairman of Bills.com. Holders of ARMs will be paying an additional billion annually for every 1 percent increase in mortgage rates. People who bought homes at the edge of their spending ability with an ARM could face dire consequences as their mortgage payments increase — but they can take steps to keep their financial situations in check.

According to the Mortgage Bankers Association of America, 4.7 percent of U.S. mortgages were delinquent at the end of 2005. With trillion in outstanding U.S. mortgage debt, that places 3 billion at risk of foreclosure. Homeowners who are at risk (as well as prospective homeowners) can use the tips below to avoid mortgage trouble.

How to prevent problems:

1.    Create a budget and don’t stretch yourself too far. The unexpected can and does happen to millions of Americans each year. For people who live at the far edge of their means, one life event can hijack their lives and lead to defaults on bills and/or mortgage payments. The key is to build a detailed budget of income and expenses, making sure to allow some breathing room to weather an unexpected downturn.

2.    Be very careful with ARMs or interest-only loans. These types of loans let borrowers qualify for more expensive homes – but beware as rates (and payments) climb. If you can barely afford the payment on your ARM or interest-only mortgage, you are asking for trouble in a few years when the teaser period expires and your loan re-sets to a fixed rate. Be sure you have extra cushion in your budget with these loans.

3.    Don’t jump to refinance your home to pay off credit card debt. Many people faced with large credit card debt or other unsecured debts consider refinancing their homes. But this strategy only moves the debt, securing it with your home. That puts your home is at risk of foreclosure if you are unable to pay. If you are not confident that you can keep up with your home loan payments, consider debt resolution or another debt relief option.

We can’t emphasize enough that people must educate themselves about what they’re getting into with a mortgage, Stroh added. Overall debt problems will continue to escalate unless people rein in their spending to live within their means. Unfortunately, for some people, that may mean losing their home to resolve their financial situation.

How to avoid foreclosure – if it’s already on its way:

1.    Enter into a forbearance agreement. For a temporary hardship, lenders might grant a forbearance agreement to lower – or eliminate – payments for a limited time.

2.    Consider loan modification. A loan modification seeks a permanent change to the loan, such as lowering the payment and extending the loan’s term, or incorporating any delinquencies into future payments.

3.    Obtain a deed in lieu of foreclosure. A deed in lieu essentially allows the borrower to return the title or deed of the property – giving the home back – to the mortgage holder to avoid foreclosure.

4.    Sell the home. Selling your home may not be ideal, but it is a way to avoid foreclosure proceedings on your house and pay back your lender.

5.    Refinance the loan. It may be possible to refinance your mortgage for a lower interest rate and/or lower monthly payment (this is much different than refinancing to take cash out to pay off credit cards). However, if you already have had late payments on your mortgage, the interest rate offered to you may be too high to lower your monthly payment. Educate yourself on current rates by checking online rate comparison sites and using online calculators to determine the real costs of refinancing. These tools are available on a number of Web sites, including http://www.bills.com/calculators/.

6.    Be cautious. Be wary of so-called equity skimmers. If your house is facing foreclosure, you will probably receive numerous solicitations from companies looking to help you prevent foreclosure by offering to sell your home for you or by taking ownership of your home. In most cases, these solicitations are scams trying to take advantage of people in difficult situations. The perpetrators aim to snatch the equity you have built up in your home.

In many states, foreclosure rates have already started to increase, especially impacting the segment of the population that carries adjustable-rate mortgage loans, whose payments climb upward with every interest-rate increase. However, homeowners can make choices – ideally, before they purchase a home, but even after problems arise – that will help them keep a home, or at least minimize the damage a foreclosure could have on their futures.

Based in San Mateo, Calif., Bills.com is a free one-stop online portal where consumers can educate themselves about complex personal finance issues and save money by choosing the best-value products from a network of qualified service providers. Since 2002, Bills.com’s partner company, Freedom Financial Network, has provided consumer debt resolution services, serving more than 7,500 customers nationwide and managing more than 0 million in consumer debt. The company’s co-founders, Andrew Housser and Brad Stroh, were recently named Northern California finalists in Ernst & Young’s 2006 Entrepreneur of the Year Awards.

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Posted On: San Mateo, Calif. July 3, 2006

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The banks have sold and resold mortgages so many times a huge number of banks no longer actually have any legal claim to property they foreclose on. It’s time we stop the banks from literally stealing property they have no right to take. They get away with it because most people have no idea the fraud that is being committed against them and because most people do not have any legal representation or due process of law. Please help us put an end to the gutting of America by the global banking cartels by joining the efforts at The Kick Them All Out Project www.KickThemAllOut.com

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Delays, hidden costs can mean big trouble for buyers

RP Funding, a direct lender known for advising consumers to shop for a mortgage has some more advice that can save consumers money, time and trouble when buying a home: shop for a title company.

Because of recent abuses in the title industry, RP Funding is launching an educational campaign to help home buyers learn how to save money, headaches and time by choosing a good title company.

“Unfortunately, we’re seeing a lot of abuses in the title industry now,” said Robert Palmer, President of RP Funding. “Just as some consumers are taken advantage of by mortgage companies, some are being taken advantage of by title companies and foreclosure law firms.”

Those abuses can cost home buyers as much as ,500 in fees and other unjustified costs or throw their schedule into a tailspin. Palmer says that’s especially true for people buying REO properties.

“Banks typically pick the title company, and unfortunately, some banks are picking companies that are giving them something in return,” said Palmer. “That ‘something’ ends up costing consumers money. Often the buyer doesn’t find out until the day before closing.”

Closing problems cause nightmares for buyers

For some buyers, trying to close on their dream home becomes a nightmare. The problems include:

•     Lost or late paperwork
•     Last-minute fees
•     Illegal signatures on documents

One Florida law firm has paid million to settle a slew of foreclosure fraud charges, which include forging some documents, while “robo-signing” others without reviewing them. In another case, lenders cut ties with what was once the largest foreclosure law firm in the state because of allegations of flawed paperwork, which left thousands of transactions in limbo.

A title policy for a 0,000 home costs about 5. While this fee is usually paid for by the seller giving them control to select the title company. According to Palmer the solution is simple “Buyers should offer to pay for the title policy and protect themselves from poor customer service, closing delays and thousands of dollars in inflated fees. Who wouldn’t pay 5 to save ,500?” RP Funding has seen consumers overcharged by just that amount, up to ,500 by companies piling on closing fees- usually at the last minute.

How buyers can protect themselves

RP Funding urges buyers to protect themselves – pick and pay for your own closing agent.

“The seller, or the bank in an REO sale, typically chooses the closing agent, but it doesn’t have to be that way,” said Palmer. “We strongly urge people to shop for a reputable title company, just as they would shop for the best realtor or the best mortgage loan for their situation.”

As part of its continuing campaign to help consumers protect themselves and save money when buying a home, RP Funding has identified numerous title companies in Florida who do offer discounts of up to ,000 for buyers who take the initiative, pay for the title policy and make their own choice. All it takes is a bit of shopping around to discover this type of savings.

“Only about 2% of buyers shop for their title company,” said Palmer. “You’re much better off shopping around to find a title company that will save you money and put your interests first – not the interest of some big bank. The peace of mind and other savings more than offsets the cost of the title policy.”

To learn more about RP funding go to RPFunding.com or call 407-802-3344.

On the web:

Title insurance fraud put under the microscope

Baltimore Co. title company owner pleads guilty to wire fraud

About RP Funding: RP Funding is a licensed Florida Mortgage Lender with offices in Maitland, Florida. As a direct lender, RP Funding underwrites, closes and funds its own loans in order to offer customers the best rates and highest level of service. Unlike banks and mortgage brokers, RP Funding offers “wholesale” mortgage rates directly to consumers to save them money. The only fee that RP Funding customers pay is when they choose to buy down to a lower interest rate through a rate discount cost. For more information, please visit http://www.rpfunding.com/.

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Posted On: Orlando, FL October 26, 2011

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The Bailout is not turning out to be the broad sweeping help to the majority of homeowners in foreclosure that many hoped it would be.   The word on the street (both Wall Street and Main Street) is bankers are giving little serious thought to using the bailout money they will receive from the 700 billion dollar program to help homeowners in foreclosure, but are rather planning on using the funds to better their own financial conditions.

We shall see in the long run, but don’t wait for something that may never happen for you. The bailout money will not cover all situations of people in foreclosure. Don’t become part of some bailout fallout waiting for a bailout that may not cover your circumstances. Get the reliable help you need today while there is still time to stop your foreclosure, because time is always short in foreclosure situations. Chat or Get your Free info today!

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