About Huntington Beach's Brightwater

How Do I Start a 1st Trust Bank Short Sale in CA

One of the toughest decisions facing homeowners in Orange County, CA these days is whether or not to do a short sale.

Most homeowners don’t understand the process, but what’s even scarier is that most real estates don’t either. Many agents tend to shy away from short sales because they don’t understand how they work.

#1 – SELECT THE RIGHT AGENT

Like all other professions, real estate agents are not created equally! A 1st Trust Bank short sale is a very complicated and arduous type of transaction, and most agents just don’t not where to begin. As a seller, YOU MUST SELECT YOUR AGENT CAREFULLY! Choose an agent that is familiar with 1st Trust Bank and who has successfully completed at least a couple of short sales, preferably with multiple lenders. Make sure they know every step of the 1st Trust Bank short sale process and have all the tools necessary to meet the demands of the short sale lender. This is CRITICAL and not to be taken lightly. Yes, you may have a friend or family member who is a Realtor, but that doesn’t mean they should be the one handling your 1st Trust Bank short sale. Just think about what will happen if something goes wrong, and your home is foreclosed on… now what??

#2 – ASK THE RIGHT QUESTIONS

Most homeowners don’t know what the right questions even are, so here is a short list of things to ask. Again, if your agent can’t answer these quickly and without needing to check, move on .
“How long will this take?”
“What do I need to do while the short sale is progressing?”
“Does it matter if I have 2 DIFFERNENT LENDERS?” – a.k.a. A 1^st Mortgage and a 2^nd Mortgage
“How will this affect my credit?”
“Will I be subject to a deficiency judgment?”
“What are my tax consequences?”
“Does it matter if I have refinanced?”

The agent you select should immediately know the answers to these questions. If they don’t, it’s a likely a sign that they haven’t been involved in the short sale process or worked on a 1st Trust Bank Short Sale. So what do you do? Keep interviewing!! It cannot be overstated just how important this is.

#3 – MOVE OUT OR STAY

If you have a true financial hardship, most lenders will not be surprised to find out you’re still living in the property. While there are many reasons to initiate a short sale, financial hardship is generally the most common. When working with buyers, I often show short sale listings, and most of the time, the homeowner still does reside in the property. This is more common than most people think and not something to be embarrassed about. Times are tough right now, and many people are going through the same or very similar situations right here in your neighborhood. This should not be shocking to 1st Trust Bank.

#4 – PROVIDING DOCUMENTATION

All short sale lenders will require similar pieces of information, such as bank statements, tax returns, and pay stubs, and 1st Trust Bank is no different. Some lenders will require other pieces of information as well. But whatever they are asking for, it IS required. 1st Trust Bank will not review the short sale without it, so don’t think you can hide this information from them. Just provide them what they ask for in as timely a manner as possible, and let 1st Trust Bank decide whether or not there’s a reason to not approve the short sale.

#5 – CONTRIBUTIONS

The questions I get most often always seem to revolve around seller contributions. This is a complicated answer and not one easily addressed in a blog. As a generally rule of thumb, CASenate Bill SB 458 has made contributions from a seller illegal in an accepted short sale in, but this only addresses short sales in California, not in any other state. For your 1st Trust Bank short sale, I suggest following the link above and reading the SB 458 entirely. I would also be happy to meet with you and explain how this works logistically as part of the short sale process.

Loan modifications are usually rejected, and most lenders won’t tell you that up front. Even in the few cases that are approved, there is generally an amount pushed to the back of the loan, NOT FORGIVEN, just postponed. Most of the time, you will still have to repay your entire loan amount, just in a re-structured manner.

Foreclosures and Deed in Lieu of Foreclosure both carry serious consequences and should be avoided at all costs. Short sales are your best option when dealing with a financial hardship, and even with certain other hardships relating to your home. But make sure your agent knows how to properly navigate you through the process and has experience and success with 1st Trust Bank Short Sales in Orange County, Los Angeles County, and Riverside County, CA.

How Do I Start a Wells Fargo Short Sale in CA

One of the toughest decisions facing homeowners in Orange County, CA these days is whether or not to do a short sale.

Most homeowners don’t understand the process, but what’s even scarier is that most real estates don’t either. Many agents tend to shy away from short sales because they don’t understand how they work.

#1 – SELECT THE RIGHT AGENT

Like all other professions, real estate agents are not created equally! A Wells Fargo short sale is a very complicated and arduous type of transaction, and most agents just don’t not where to begin. As a seller, YOU MUST SELECT YOUR AGENT CAREFULLY! Choose an agent that is familiar with Wells Fargo and who has successfully completed at least a couple of short sales, preferably with multiple lenders. Make sure they know every step of the Wells Fargo short sale process and have all the tools necessary to meet the demands of the short sale lender. This is CRITICAL and not to be taken lightly. Yes, you may have a friend or family member who is a Realtor, but that doesn’t mean they should be the one handling your Wells Fargo short sale. Just think about what will happen if something goes wrong, and your home is foreclosed on… now what??

#2 – ASK THE RIGHT QUESTIONS

Most homeowners don’t know what the right questions even are, so here is a short list of things to ask. Again, if your agent can’t answer these quickly and without needing to check, move on .
“How long will this take?”
“What do I need to do while the short sale is progressing?”
“Does it matter if I have 2 DIFFERNENT LENDERS?” – a.k.a. A 1^st Mortgage and a 2^nd Mortgage
“How will this affect my credit?”
“Will I be subject to a deficiency judgment?”
“What are my tax consequences?”
“Does it matter if I have refinanced?”

The agent you select should immediately know the answers to these questions. If they don’t, it’s a likely a sign that they haven’t been involved in the short sale process or worked on a Wells Fargo Short Sale. So what do you do? Keep interviewing!! It cannot be overstated just how important this is.

#3 – MOVE OUT OR STAY

If you have a true financial hardship, most lenders will not be surprised to find out you’re still living in the property. While there are many reasons to initiate a short sale, financial hardship is generally the most common. When working with buyers, I often show short sale listings, and most of the time, the homeowner still does reside in the property. This is more common than most people think and not something to be embarrassed about. Times are tough right now, and many people are going through the same or very similar situations right here in your neighborhood. This should not be shocking to Wells Fargo.

#4 – PROVIDING DOCUMENTATION

All short sale lenders will require similar pieces of information, such as bank statements, tax returns, and pay stubs, and Wells Fargo is no different. Some lenders will require other pieces of information as well. But whatever they are asking for, it IS required. Wells Fargo will not review the short sale without it, so don’t think you can hide this information from them. Just provide them what they ask for in as timely a manner as possible, and let Wells Fargo decide whether or not there’s a reason to not approve the short sale.

#5 – CONTRIBUTIONS

The questions I get most often always seem to revolve around seller contributions. This is a complicated answer and not one easily addressed in a blog. As a generally rule of thumb, CASenate Bill SB 458 has made contributions from a seller illegal in an accepted short sale in, but this only addresses short sales in California, not in any other state. For your Wells Fargo short sale, I suggest following the link above and reading the SB 458 entirely. I would also be happy to meet with you and explain how this works logistically as part of the short sale process.

Loan modifications are usually rejected, and most lenders won’t tell you that up front. Even in the few cases that are approved, there is generally an amount pushed to the back of the loan, NOT FORGIVEN, just postponed. Most of the time, you will still have to repay your entire loan amount, just in a re-structured manner.

Foreclosures and Deed in Lieu of Foreclosure both carry serious consequences and should be avoided at all costs. Short sales are your best option when dealing with a financial hardship, and even with certain other hardships relating to your home. But make sure your agent knows how to properly navigate you through the process and has experience and success with Wells Fargo Short Sales in Orange County, Los Angeles County, and Riverside County, CA.

Measure Twice, Cut Once! - Things My Father Taught Me, Part I

When I was a boy, I used to watch my father on weekends at his work bench in our garage. I always wanted to help, and as I got older, he let me. Nothing dangerous, but I got pretty good with a hammer and nails. Eventually, in my early teens, I was actually pretty handy and could build just about anything.

Would you buy my creations from Crate and Barrel? Probably not. But I still have some book shelves and an entertainment center that I built over 20 years ago. And guess what? They are in almost the exact same condition! My dad taught me a lot about the type of materials you use for certain projects, and that building something sturdy can't be rushed. All good lessons that I'm just now starting to fully understand.

But maybe the most important lesson that came from these little building sessions was the idea to "Measure twice, but cut once". Seems obvious enough, right? But you'd be surprised how many people cut, and cut, and cut.... and cut! Still not perfect, but close enough. Well that's not how I was taught, and I now understand why.

"Touching story, Rob, but how does this relate to real estate", you're wondering. SIMPLE!

I was speaking with another Realtor the other day who was complaining that they had to take their clients back for a second viewing. COMPLAINING about a second viewing! I had so many problems with this statement that I didn't know where to begin. So I think I said, "yeah, bummer"... or something to that effect.

Let me tell you why this was not only something NOT to complain about, but instead, something to celebrate!

1) In my personal experience, most of the time when a buyer wants a second or even third viewing, they are seriously considering writing an offer, and more often than not, WILL WRITE AN OFFER.

2) These are smart buyers! They're not thinking about flipping this property. They're looking at this as a long term investment, which they should, and seeing it again will help answer questions they've thought of since the 1st viewing.

3) Unless the property is 2 hours away, how is this any different from showing them a different property? Only this property, you know they're actually interested in.

I know some of you will bring up commissions, and yes, we do work on commission. The commission comes from selling homes, and this buyer is obviously a serious buyer, hence, you've just increased your chance of getting a commission. All true, but not really the point of the story (thanks though :-)

These buyers are measuring twice, and you should encourage it. They need your help so that they only have to cut once. Don't worry, it's unlikely that this is the last home they'll buy. Maybe you'll be fortunate enough to help them "cut" again some day.

For whatever reason, I've had several clients lately looking for a rental. I do a lot of Relocation, and it seems that's picking up again.

No problem. It's not my first choice, but I'm happy to help. Granted, I'm not going to take you to see Craigslist rental listings, but I'll search the MLS and see what's out there. And for the most part, what's out there is exactly what you'd expect... (what's that, Rob?)

Descent properties, listed at fair market value, with a fair commission offered to the agent who procures the tenant. That's fair; I have no issue with any part of that. But what I do have an issue with is offering an agent (or broker) $100 Lump Sum to show your rental listing! I have a better idea... offer $0. Better yet, offer a kick in the teeth!
I know, I know, here's where I lose a couple of you who are going to say something like...

"But Rob, it's not about the money", or "What's wrong with $100.00?", or even "You're just being GREEDY!"

To those of you, I say only this... What is the cost of living where you live? Because here, in Southern California, $100 will cover my gas for the day and some yummy Taco Bell for dinner. Oh Boy!
And since I was BORN here, you can't say "Well, you chose to live there", because point of fact, I didn't!

So I'm here, making the best of it. Not trying to complain, really, I'm not. But $100 bucks?
Why I might be the only one who is going to tell you that I won't show your rental listing, trust me, most agents I know (again, around here, people :-) will not show your listing either. They'll just skip it. Not when there are plenty of listing offering 3% of the term of lease! Watch this...

Monthly Rental Amount = $2,500 (yes, all day long here, if not more)
Minimum Lease Duration = 12 Months
Total Yearly Rental Amount = $30,000 (some of you are wondering "Why wouldn't you just buy?" Good Question!!!)

3% of Total Yearly Rent Amount = $900.00 And you're offering $100.00 Good Luck!

So who sets the commission? The Owner, or Landlord. But isn't it your job to educate the owner? Isn't is your job to tell them, "You know, Mr. Owner, we'd have a better shot being a bit more competitive with other rental listings in the area if we offered a higher commission". Isn't it your job to explain why it is better to get it rented quickly and pay a higher commission then let it sit vacant for a couple of months?

Okay, rant over. Feel free to tell me I'm nuts. But the numbers don't lie. If I care about my client, and I really want to get his or her property rented quickly, isn't it my responsibility to explain all the options, including the ones that will get their property rented the fastest? Heck, especially those!

By the way... Be on the look out for Video Blog #2 from your truly, Rob Magnotta, and Christine Donovan... coming soon!

When working with new home buyers, I'm often asked questions about this area, and one of the questions I frequently get is, "Where is the best butcher shop in the OC?" or "What is the best deli in Orange County", or even "What is the best bakery?" I'll answer those other two in a later blog, but for now, let's talk meat!

For me, this is an easy one. I can think of no better butcher shop in all of Southern California than THE BEEF PALACE. It's easy to find, fun to peruse, and you will never have to worry about saying, "Where's the beef?"

Located at 5895 Warner Ave in Huntington Beach, CA, the Beef Palace has a massive selection of beef, pork, and even chicken. But it's the things you wouldn't expect to find that make it even more impressive.

The beef jerky is amazing, the deli pickles are enormous, and the choice of dips and seasoning all have to sampled. I mean it, don't leave there without giving some of these I try!

Even the ground beef has choices (my recommendation is this... just walk in a say "I'd like a pound of burger meat with some 'rub' please"). The "rub" is key, and all you'll need to do is form a patty and slap it on the grill! For cooking on a stove top, I recommend the ground sirloin. It's less fatty than the burger meat, and since there's nowhere for the fat to drain like it will on a grill, you find the beef tender, moist, and delicious. It's perfect for tacos, burritos, or sloppy joe's!

On the way, make sure to grab a couple of potatoes. They're free (don't be greedy, just take a couple), and they're always fresh.

So where's the beef? The Beef Palace Butcher Shop in Surf City, Huntington Beach, CA!