Mortgage Principal Writedown Endorsed By Government

Diana Olick’s latest column puts “principal writedown” in perspective: “The government is officially giving borrowers back home equity.

Yep, somewhere between $35 and $50 billion worth. Of course we’ve all lost over $5 trillion, but who’s counting? Lenders still aren’t required to do it, but they’re going to get an awful lot of taxpayer-funded incentives to do itLet’s face it, the underwater issue (that is borrowers owing more on their loans than their homes are worth) is now far bigger than the subprime issue and the unemployment issue. Yes, it’s concentrated heavily in five states, but it still manages to plague home prices nationwide. People are walking away in greater numbers than ever before, and people who want to stay are unable to get into modification programs because of their overwhelming negative equity. Yesterday, before the House Oversight Committee, Treasury Secretary Herb Allison said his concern with principal write down was

1) expense,

2) fairness, and

3) moral hazard.

I asked him this morning what had changed overnight? ‘The moral hazard aspects are mitigated by the structure of the programs.’ I’m not entirely sure what that means, although I’m sure many smart people behind closed White House doors came up with that exact phrase. I guess it means that because borrowers and servicers have to earn the write down incentives over three years that it’s fair. Or maybe because it helps keeps borrowers out of foreclosure, thereby stabilizing home prices around them, that it’s fair. Or maybe because the servicers and investors have to bear some cost, that it’s fair. Maybe it’s just that there is simply no other way to get ourselves out from under this mess than to forget all the bad choices some lenders and borrowers made and give them a fresh start. And for those of us who acted responsibly? No pain no gain. As I tell my kids every day, life isn’t fair.”

What do you think? Will this help the economy or only a few people who are under water? What does this do for us as investors?

Judgments, Loan Mod’s, Defaulted Paper & Social Media-Oh My!

Judgments, Loan Mod’s, Defaulted Paper & Social Media-Oh My!

You asked for it and I ma going to deliver 4 hourse of pure content (no sales) direct from my office to your computer through video streaming. Watch the video below for details.

Register –> Http://misuniversity.com/webinar

If you have any questions you want to make sure I answer on the training please post them here as a comment. Thanks and I’ll see you on the call.

(Judgement liens) Investment Opportunities in Foreclosures

More info…
Are you looking for an investment opportunity in real estate? In today’s uncertain environment, foreclosures can be a tremendous opportunity for new investors. The profits can be enormous. Foreclosure investing, however, does have risks and one must be fully prepared before beginning.

Paperwork Needed For a Complete Short-Sale Package

There is specific paperwork needed in order for a lender to consider a short sale. Leave out some of these items and you are sure to have your short sale package sent to the bottom of the pile or worst the circular file. Having a complete package is a must if you want your documents processed.

Safeguarding Vacant Properties

Due to how visible these homes are, they are a quick and easy draw to anyone looking for a place to make trouble, engage in criminal activity, vandalize, or reside rent-free. Because the percentage of homes in the country with no residents is so high, many of these vacant homes are standing empty for extended periods of time, making them especially attractive to the criminal element.

Why Your Lender May Rather Go Through the Foreclosure Process

If you have ever tried to get a loan modification and got denied or felt like you are getting the run around from your lender, then one reason could be is that your lender will gain more financially by letting home owners go into foreclosure. At the end of the day your lender will make a determination as to whether or not to modify you loan based on what is more beneficial to them. Loan modifications are voluntary for lenders so it’s entirely up to them whether or not to modify your loan.

judgement liens

What Is Better Than Craigslist?

Everybody knows there are ENDLESS opportunities to find great deals and make real estate investing profits online.

And everybody also knows that, for example, Craigslist is one of the BIGGEST collections of classified ads for real estate investors to find deals and opportunities.

So while Craigslist is certainly a great resource, EVERYONE is there.

So there’s a lot of competition.

And a lot of repetition.

What if I told you there was a way to get to an UNTAPPED SOURCE of classified
property ads, real estate opportunities and more that few investors know about…

What if I told you this source contained ads and deals you wouldn’t find elsewhere.

And what if I told you it was completely virtual and totally FR-EE to use?

How about a free site called:

http://www.NewsPaperLinks.com!

What’s Newspaperlinks.com?

It’s your single source to get access to EVERY LOCAL NEWSPAPERS ONLINE CLASSIFIED ADS!

What’s so great about it, Mike? Why’s it going to help me make money?

Well, two reasons.

1. First off, because these local online classifieds are not as heavily searched as say Craigslist, there is A LOT less competition! This means in many markets you will be one of only a few or possibly the only creative investor going after deals. Plus, there’s less competition when you post your own ads which can also mean a better response.
2. Secondly, NOT everybody uses Craigslist. In fact, if you are new to the internet and NOT tech savvy, you are much more likely to place an Online Ad for the first time here because the newspaper that’s been getting dropped on your doorstop for the last 20 years told you to. This means you will find properties and opportunities here you will not find elsewhere. It’s also a great resource as a virtual investor as it lets you really see what’s going on in a certain area – even if you’re looking for something as simple as a handyman or property manager.

One of the keys to being truly successful as in online investor is having access to BETTER information than everybody else AND being able to find it FASTER than the competition can!

Enjoy.

Post a comment if this was helpful to you.

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