7/30/2014

Charming Front Doors


Couple ideas to decorate your front door.
This red door framed by terracotta pots is cheerful

Okay my photo is a little crooked, but the gloss black paint is
slick! Forsythia wreaths (from local craft store ready made)

Basket with flowers on the knocker, charming

I love this unique and classy front entrance.
Simple ideas can add curbside appeal to your home.
The upside down brooms in antique milk jug serve a couple purposes-
they look great , add texture and are useful to tidy up those leaves or
spiders at your door.

Fannie Makes Credit Rules Tougher



Dive in the Water's Fine
Fannie Mae is tightening up on foreclosure and short sale
rules.
Worsening? Yes

Fannie Mae announced changes to seasoning requirements for major derogatory credit events. 
 

•             Effective immediately - If a mortgage debt was discharged through bankruptcy, borrower is held to the bankruptcy seasoning requirement and not a foreclosure seasoning requirement.  The lender must obtain appropriate documentation to verify that the mortgage obligation was discharged in the bankruptcy.  FYI - Chapter 7 bankruptcy seasoning without extenuating circumstance is 4 years.  This is an improvement to the previous 7 year wait period for a foreclosure within a bankruptcy.
EXTENUATING CIRCUMSTANCES IS HARD TO PROOVE
Docket summary (they will check what you wrote off) , proof of job loss, death certificate, proof of decline in value... about 40 pieces of paper

 

•             Effective with applications dated on or after August 16, 2014  - The seasoning for a short sale without extenuating circumstance is 4 years.  This has been worsened from what was a 2 year wait period for loans with LTVs at or below 80%, is no change for 80.1-90% LTV, and improves the waiting period for 90.1-95% LTV. 

 

•             Effective with applications dated on or after August 16, 2014 - A charged-off mortgage account occurs when a creditor has determined that there is little (or no) likelihood that the mortgage debt will be collected. A charge-off is typically reported after an account reaches a certain delinquency status, and is identified on the credit report with a manner of payment (MOP) code of “9.”  Fannie will require a 4 year seasoning for charged-off mortgage accounts.  This is new Fannie policy.

 Translation :  Mine Government is getting out of doing credit risk loans
Tougher to get a loan after short sale now...
Come on in the water's fine

Derogatory Event
Waiting Period Requirements
Waiting Period with Extenuating Circumstances
Extenuating circumstances are nonrecurring events that are beyond the borrower’s control that result in a sudden, significant, and prolonged reduction in income or a catastrophic increase in financial obligations.  These circumstances must be documented within the loan file.
BankruptcyChapter 7 or 11
4 years
2 years
BankruptcyChapter 13
·         2 years from discharge date (payments made as agreed)
·         4 years from dismissal date (noncompliance with BK repayment plan)
·         2 years from discharge date
·         2 years from dismissal date
Multiple Bankruptcy Filings
5 years if more than one filing within the past 7 years
3 years from the most recent discharge or dismissal date
Foreclosure1
7 years
3 years
Additional requirements after 3 years up to 7 years:
·         90% maximum LTV ratios2
·         Purchase, principal residence
·         Limited cash-out refinance, all occupancy types
Deed-in-Lieu of Foreclosure, Preforeclosure Sale, or Charge-Off of Mortgage Account
4 years
2 years

1 When both a bankruptcy and foreclosure are disclosed on the loan application, or when both appear on the credit report, the lender may apply the bankruptcy waiting period if the lender obtains the appropriate documentation to verify that the mortgage loan in question was discharged in the bankruptcy. Otherwise, the greater of the applicable bankruptcy or foreclosure waiting period must be applied.

2 References to LTV ratios include LTV, CLTV, and HCLTV ratios. The maximum LTV ratios permitted are the lesser of the LTV ratios in this table or the maximum LTV ratios for the transaction per the Eligibility Matrix.

 

7/28/2014

Zillow Dragon Merger?

















Zillow buys Trulia Active Rain. 

Wisdom of the ancients predicts the future?

Mergers are a tricky thing. It’s the same as a divorce but no one uses that nasty word. Executives will be fired, employee benefits slashed, and offices closed. Consolidation of this kind is aimed at increasing earnings. This merger makes Zillow a powerhouse of old Real Estate information. The combination of brands should capture more consumers. Why do I say old? Because the information presented is outdated. Zillow is not in the free real estate information providing business, company EBIDTA is based on advertising.
A brief history:   (history tells us everything)
Zillow is a Seattle based company with 817 employees. (I owned 200 shares- sold in June 2014 as a full disclosure but I hear insiders at both companies dumped shares in the past few days- someone is in trouble...) Today the price is down, but it has soared about eighty percent in the past six months.

Problems with Zillow:
1. They have been spending more on advertisements than earnings in the past sixty days. You've seen Adwords, television, Facebook, print, geez they spent on Warner cable…

2. They have a scummy sales force model that works as follows:
Zillow salesman tells Realtors to convince Lenders to pay for their advertisements (the right side banner shared with two other Realtors on listings that they have no direct contact but is implied they are perhaps the listing agent). Zillow salesman and Realtor tell the Lender to write the first check to the Realtor directly then use a credit card for the area(S) desired. A high net worth area may cost $400 a month, while a lessor one $290. Lender is told they are exclusive, but this is untrue, the same area is sold to twelve to sixteen other lenders. The assumption is Realtor and Lender will rake in leads and recoup the cost tenfold.

Zillow’s challenge now is to cut costs. Free user accounts on Active Rain, Trulia and Zillow will become less visible. Meanwhile they will promise a paid account to rise in rankings. 
Trulia and ActiveRain employees I hope you packed up the photograph of your son’s little league team, the sales trophies you have and the pen given to you by the CEO because your days are numbered. Work smart, volunteer to rescue market capitalization and become invaluable –it may or may not open a job for you in Seattle, but the San Francisco office is imploding as I type.
Consumers – Good news. The new Zillow powerhouse can withstand the lawsuits from National Association of Realtors (or others for copyright infringement) will add services enhancing user search for property. 
They will add better mapping, maybe drone photographs, maybe intuitive advertising directed at the consumer (much like Facebook farms all our traits and secrets). I see them adding referral sources for construction, remodeling, property management, title, and national escrow.
Consumers if you would like to get on the Multiple Listing Service live (rather than Zillow’s year old sold listings that appear open) please contact me.









These opinions are my own and not reflective of stock future price or loss.




Name in- famous merger game:
Google – Motorola
New York Central- Pennsylvania Railroad
Sears- KMART
My un-favorites are the financials.

Trulians in the Den in the Rialto building 
today I wish you well. Perhaps the reason
Mayan culture fell wasn't climate change?
Merger?


Dragon fruit

7/25/2014

LOW FICO FHA

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LOPhoto
Caroline Gerardo
Senior Loan Officer
NMLS #324982
Cell 949-637-8190
Office 949-784-9699
eFax 855-883-4303
CarolineGerardo@eaglehm.com
www.eaglehomemortgage.com/carolinegerardo
Committed to Seeing You Home.
Eagle Home Mortgage
8105 Irvine Center Drive Suite #500
Irvine CA 92618
LOLogo
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NMLS #849059 CA #813I609 Universal American Mortgage Company of California, dba Eagle Home Mortgage of California. Licensed by the Department of Business Oversight under the California Residential Mortgage Lending Act. RMLA #4130383, NMLS #252392. Certain restrictions apply. This is not a commitment to lend. Applicants must qualify.
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