Kelli Smith

The newest statistics from RealtyTrac.com shows that Kansas is ranked 34th in the number of foreclosure listings for the 2nd Quarter of 2008. This is great news that we are not at the top of the list however we only have 16 states that rank below us. Kansas had a total of 1961 filings:

• These stats show that 1 out of every 616 houses were affected in Kansas. This was a 40.47% increase from the 1st Quarter of 2008, 131.25% increase from the same time frame last year.

• Wichita was ranked 86th in the top 100 metro areas with foreclosure listings with 548 properties with listings with 1 out of every 466 households being affected. This is a 56.13% increase from the 1st quarter of 2008 which is a 122.76% increase from the same time frame last year.

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If you are having trouble paying your payment every month I offer a little advice:

• Contact your lender immediately and ask if they have a financial hardship assistance program. With this program you might receive new payment plan options, get your interest rate modified, or get your payment modified. Believe me the last thing your mortgage company wants is for you to foreclose on your home. The sooner you call them, the sooner they can try to help you make your payments more affordable.

• Contact the Federal Housing Administration. They have a new Hope for Homeowners program effective from October 1, 2008 thru September 30, 2011 that is designed to get you into a 30 year fixed rate loan if you qualify. You can contact 800-569-4287 to find a HUD-approved housing counseling agency.

• Speak to a REALTOR. You may be able to sell your home and get your mortgage paid before it goes into foreclosure.

• Be aware of anyone who calls you on the phone saying they can help you. Households facing foreclosure are targeted by scammers.

• Never sign anything your don't completely understand without having it reviewed by your attorney.

This is my personal weblog. The opinions expressed here are that of my personal opinion and have nothing to do with my employer. I make no guarantees that this is accurate past the day I post it

I just want to say that I am very proud to be able to say that I have never put any of my borrowers into a A.R.M. loan and I am sure I probably won't in the future either. As far as I am concerned these loans should not even be allowed, especially for first time home buyers. We just don't know what the interest rate could go up to in the future or how the borrowers payment could be affected. I for one do not want to be responsible for anyone losing their home just because their payment went up. Some people say "well I will just refinance in a few years." For those people I say:

• Can you guarantee me that you will be making what you are making now, or even more, in a few years? What happens when their rates jumps and thereby increasing their payment and you can't afford it anymore?

• Can you guarantee me that you will not have an unplanned emergency in the next few years, and if you do will you have the money to do what you need to do to keep afloat financially?

• Can you guarantee me that your credit will not go arise because of a unplanned emergency, because if it does you might not be able to refinance your home, therefore taking the chance on losing your home?

Not one of my past borrowers has ever answered these questions and still requested a A.R.M. Loan.

Maybe some people feel comfortable in a A.R.M. Loan and I am glad to hear they are happy however I really feel like they have been used to often to get people into purchasing a home when maybe they really weren't financially stable enough to own a home.

Why do we even have A.R.M. Loans? It seems to me all they do is cause chaos with for in the real estate markets. Does anyone have anything positive to say about A.R.M. Loans?

This is my personal weblog. The opinions expressed here are that of my personal opinion and have nothing to do with my employer. I make no guarantees that this is accurate past the day I post it.

Would you know what to do if someone stole your credit cards, personal checks, or Social Security Number? On September 26th Kansas Attorney General released a identity theft repair kit.

These kits includes signs of identity theft to look for, a step-by-step guide to repairing your credit once you are affected, reviews a consumer's rights and liability under Kansas and federal laws, as well as offers tips to consumers to protecting their personal information in the future.

If you believe you have been a victim of identity theft you should immediately contact your local police and file a report, as well as contact the Attorney General's Consumer Protection Division online at http://www.ksag.org by phone at 1-800-432-2310.

As previous victim of identity theft I have to say I am so glad to see this. When my identity was stolen about 8 years ago I had no idea what to do. I just had to go off of what the police and my bank and credit card company said to do, and I hoped they were right. I did put a fraud alert on my credit report at they advice of my credit card company. I was so scared and it was so stressful. I hope no one else has to go through this in the future, and for those that do I really feel sorry for you. My hope is that everyone in Kansas takes advantage of this new kit.

You can print off a free copy of the kit by clicking on the following link http://www.ksag.org/files/shared/ID%20Theft%20Repair%20Kit.pdf

This is my personal weblog. The opinions expressed here are that of my personal opinion and have nothing to do with my employer. I make no guarantees that this is accurate past the day I post it.

Well I have to say I heard about this for the first time this last Thursday when it was on the local news!

Apparently some of Countrywide's mortgage customers have had their personal information sold (without their authorization) to a third party. I immediately went to www.countrywide.com and found a small box towards the bottom right that says "consumer privacy alert" and clicked on it.

From they alert box I found all the information about what happened and what they are doing to help the consumers affected. The one thing I noticed is they are notifying everyone that was affected by this with a letter in the mail. I don't remember ever getting a letter and being the worried consumer I immediately called Countrywide's customer service and the nice representative looked at my file and said that no I wasn't affected.

Whew, what a sigh of relieve for me and my husband! I am thankful we weren't affected however I feel sorry for all those mortgage holders that were.

This is my personal weblog. The opinions expressed here are that of my personal opinion and have nothing to do with my employer. I make no guarantees that this is accurate past the day I post it.

Have you heard about the changes for FHA Mortgages effective January 1, 2009? After this date if you want to purchase a home using a FHA mortgage you need to know:

Due to the Housing and Economic Recovery Act of 2008 - FHA mortgages will require a not less than 3.5 percent down payment of the appraised value of the property. It will have to be paid in cash or its equivalent. Closing costs can not be used to help meet the minimum 3.5% down-payment requirement.

Example 1 - no concessions:

Sales Price: $100,000 Appraiser's Estimate of Value: $105,000

Maximum Mortgage: $100,000 x 96.5% = $96,500

Downpayment: $100,000 - $96,500 = $3,500

Example 2 - with builder concessions:

Sales Price: $100,000 Appraiser's Estimate of Value: $105,000

Gift Card worth $3000 Adjustment to Sales Price: $100,000 - $3000

Maximum Mortgage: $97,000 x 96.5% = $93,605

Downpayment Calculation: $100,000 - $93,605 = $6,395

The maximum mortgage shown does not include any upfront mortgage insurance premium, and the example does not consider any closing costs that must be paid by the borrower.

This is my personal weblog. The opinions expressed here are that of my personal opinion and have nothing to do with my employer. I make no guarantees that this is accurate past the day I post it.