Stevenson Ranch, CA

Homeowner Resources get Your FREE report! Learn how Jennifer & Gary Ricco with the Certified Distressed Property Expert^® designation are best suited to help Southern California distressed homeowners.

PRE FORECLOSURE OPTIONS

The current U.S. housing market and national financial crisis has caused untold stress and heartache for many American families. Foreclosure is one of the most devastating financial challenges that a family can face and one that many times can be avoided. The options available to Santa Clarita area residents for foreclosure are many. Following is a brief explanation of these solutions, including their benefits and drawbacks:

Reinstatement
A reinstatement is the simplest solution for a foreclosure, however it is often the most difficult. The homeowner simply requests the total amount owed to the mortgage company to date and pays it. This solution does not require the lender's approval and will 'reinstate' a mortgage up to the day before the final foreclosure sale.

• Benefit: Does not require the mortgage company or lender's approval.
• Drawback: Requires that a homeowner be able to pay all back payments, fines and fees.

Forbearance or Repayment Plan
A forbearance or repayment plan involves the homeowner negotiating with the mortgage company to allow them to repay back payments over a period of time. The homeowner typically makes their current mortgage payment in addition to a portion of the back payments they owe.

• Benefit: Allows the homeowner to make back payments over time.
• Drawback: Requires that a homeowner be in a financial position to pay not only their current mortgage, but also a portion of the back payments owed. Some mortgage companies will require a homeowner to 'qualify' for forbearance.

Mortgage Modification
A mortgage modification involves the reduction of one of the following: the interest rate on the loan, the principal balance of the loan, the term of the loan, or any combination of these. These typically result in a lower payment to the homeowner and a more affordable mortgage.

• Benefit: Reduces the payment a homeowner is required to make on a monthly basis and may reduce the principal balance of the loan
• Drawback: Requires that a homeowner 'qualify' for the new payment and will often require full documentation. Lender has to be actively pursuing modifications.

Rent the Property
A homeowner who has a mortgage payment low enough that market rent will allow it to be paid, is able to convert their property to a rental and use the rental income to pay the mortgage.

• Benefit: Allows homeowner to keep property indefinitely.
• Drawback: The issues that can arise with a rental property are many, and rent often does not cover the full cost of property ownership and maintenance.

Deed in Lieu of Foreclosure
Also known as a 'friendly foreclosure', a deed in lieu allows the homeowner to return the property to the lender rather than go through the foreclosure process. Lender approval is required for this option, and the homeowner must also vacate the property.

• Benefit: Many times in a successful deed in lieu, the lender will forego their right to a deficiency judgment.
• Drawback: Requires that a homeowner vacate the property, and a deed in lieu may be reported to credit bureaus as a foreclosure.

Bankruptcy
Many have considered and marketed bankruptcy as a 'foreclosure solution,' but this is only true in some states and situations. If the homeowner has non-mortgage debts that cause a shortfall of paying their mortgage payments and a personal bankruptcy will eliminate these debts, this may be a viable solution.

• Benefit: Does not require lender approval.
• Drawback: If a homeowner cannot afford their mortgage payment, a bankruptcy will only stall-not stop-the foreclosure process. Bankruptcy can be costly, is damaging to credit scores, and can only be declared once every seven years.

Refinance
If a homeowner is lucky enough to have sufficient equity in their property and their credit is still in good standing, they may be able to refinance their mortgage.

• Benefit: In some cases, this will lower payments.
• Drawback: In today's market, a refinance will almost always raise mortgage payments, and is an expensive process.

Service members Civil Relief Act (military personnel only)
If a member of the military is experiencing financial distress due to deployment, and that person can show that their debt was entered into prior to deployment, they may qualify for relief under the Servicemembers Civil Relief Act. The American Bar Association has a network of attorneys that will work with servicemembers in relation to qualifying for this relief.

• Benefit: If qualified, this will lower payments on all consumer debt in addition to mortgage payments.
• Drawback: Must be active military to qualify.

Sell the Property
Homeowners with sufficient equity can list their property with a qualified agent that understands the foreclosure process in their area.

• Benefit: Allows homeowner to avoid foreclosure and harvest some of their equity.
• Drawback: In many cases today, homeowners do not have sufficient equity to sell their property without negotiating a short sale (see next solution).

Short Sale
If a homeowner owes more on their property than it is currently worth, then they can hire a qualified real estate agent to market and sell their property through the negotiation of a short sale with their lender. This typically requires the property to be on the market and the homeowner must have a financial hardship to qualify. Hardship can be simply defined as a material change in the financial stability of the homeowner between the date of the home purchase and the date of the short sale negotiation. Acceptable hardships include but are not limited to: mortgage payment increase, job loss, divorce, excessive debt, forced or unplanned relocation, and more.

• Benefit: A short sale allows the homeowner to avoid foreclosure and salvage some of their credit rating. This also keeps foreclosure off the individuals public record, and in many cases will allow the homeowner to avoid a deficiency judgment. Borrower may qualify for another mortgage in as little as 24 months (as opposed to five years for a foreclosure).
• Drawback: Short sales can be a trying process in which a homeowner is best served by contracting with a qualified real estate agent to guide the way.

This represents only a summary of some of the solutions available to homeowners facing foreclosure. Please call us today for a free confidential evaluation of your individual situation, property value, and possible options. With our law enforcement backgrounds we pride ourselves on honesty and integrity, your information is kept confidential.

WE CAN SEND YOU THE FOLLOWING FREE REPORTS:

1. Short Sale & Deed-In-Lieu Understand the details and consequences of two dignified solutions to an upside-down mortgage situation.

2. The Truth About Mortgage Modifications The Truth About Mortgage Modifications.

3. 7 Short Sale Myths The 7 most dangerous short sale myths identified and explained.

4. Foreclosure Vs. Short Sale A side-by-side comparison of the consequences of foreclosure and a short sale.

5. Options and Solutions Highlighting 10 alternatives to foreclosure for distressed property homeowners.

To get these Free reports go to: www.SantaClaritaPreForeclosureSpecialists.com simply click on the Resource tab and choose which report you would like e-mailed to you. If you have any questions please feel free to contact these CDPE^® Realtors

Jennifer & Gary Ricco CDPE, PSC Keller Williams VIP Properties

25124 Springfield Court Suite 100 Valencia, Ca 91355
(661) 290-3837

Foreclosure Avoidance Options

Foreclosure is one of the most devastating financial challenges that a family can face and one that many times can be avoided. The options available to residents for foreclosure are many, including but not limited to short sales. Following is a brief explanation of these solutions:

Reinstatement

A reinstatement is the simplest solution for a foreclosure, however it is often the most difficult. The homeowner simply requests the total amount owed to the mortgage company to date and pays it. This solution does not require the lender's approval and will 'reinstate' a mortgage up to the day before the final foreclosure sale.

Forbearance or Repayment Plan

A forbearance or repayment plan involves the homeowner negotiating with the mortgage company to allow them to repay back payments over a period of time. The homeowner typically makes their current mortgage payment in addition to a portion of the back payments they owe.

Mortgage Modification

A mortgage modification involves the reduction of one of the following: the interest rate on the loan, the principal balance of the loan, the term of the loan, or any combination of these. These typically result in a lower payment to the homeowner and a more affordable mortgage.

Rent the Property


A homeowner who has a mortgage payment low enough that market rent will allow it to be paid, can convert their property to a rental and use the rental income to pay the mortgage.

Deed in Lieu of Foreclosure


Also known as a 'friendly foreclosure,' a deed in lieu allows the homeowner to return the property to the lender rather than go through the foreclosure process. Lender approval is required for this option, and the homeowner must also vacate the property.

Bankruptcy

Many have considered and marketed bankruptcy as a 'foreclosure solution,' but this is only true in some states and situations. If the homeowner has non-mortgage debts that cause a shortfall of paying their mortgage payments and a personal bankruptcy will eliminate these debts, this may be a viable solution.

Refinance

If a homeowner has sufficient equity in their property and their credit is still in good standing, they may be able to refinance their mortgage.

Servicemembers Civil Relief Act (military personnel only)

If a member of the military is experiencing financial distress due to deployment, and that person can show that their debt was entered into prior to deployment, they may qualify for relief under the Servicemembers Civil Relief Act. The American Bar Association has a network of attorneys that will work with servicemembers in relation to qualifying for this relief.

Sell the Property

Homeowners with sufficient equity can list their property with a qualified agent that understands the foreclosure process in their area.

Short Sale


If a homeowner owes more on their property than it is currently worth, then they can hire a qualified real estate agent to market and sell their property through the negotiation of a short sale with their lender. This typically requires the property to be on the market and the homeowner must have a financial hardship to qualify. Hardship can be simply defined as a material change in the financial stability of the homeowner between the date of the home purchase and the date of the short sale negotiation. Acceptable hardships include but are not limited to: mortgage payment increase, job loss, divorce, excessive debt, forced or unplanned relocation, and more.

This represents only a summary of some of the solutions available to homeowners facing foreclosure. For an evaluation of your individual situation, property value, and possible options give us a call to set up your free, confidential consultation.

Understanding your options now could mean all the difference in the world.

www.PreForeclosureSpecialists.com

7 Short Sale Myths

There are millions of homeowners just like you who are looking for answers and don't know what to do. You're not alone and you're in the right place.

As Certified Distressed Property Experts, CDPE and Pre Foreclosure Specialists Certified, PSC we have training and experience in providing solutions to homeowners facing financial hardship. Despite our best efforts, there's still an overwhelming amount of misinformation about the options available, especially short sales.

To give you a better idea of the short sale option, and to set straight some of the myths you may have heard, We have prepared a free report just for you - please go to our user friendly website www.SantaClaritaPreForeclosureSpecialists.com and fill out the information to receive your free report. This report will clarify the following myths:

• The Bank Would Rather Foreclose Than Bother With A Short Sale
• There Is Not Enough Time To Negotiate A Short Sale Before My Foreclosure
• Listing My Home As A Short Sale Is An Embarrassment
• Short Sales Are Impossible And Never Get Approved
• Banks Are Waiting On A Bailout And Not Accepting Short Sales
• Buyers Are Not Interested In Short Sale Properties
• You Must Be Behind On Your Mortgage To Negotiate A Short Sale

These ideas are potentially harmful to homeowners seeking real solutions. We hope you'll review this information for yourself or share it with a homeowner in need.

In these times, we all need to know the truth to know how to get back on track.

If you have any additional concerns about this issue, or your circumstances are urgent, please give us a call.

Gary & Jennifer Ricco CDPE, PSC

Keller Williams VIP Properties

(661) 290-3837

www.Pre-ForeclosureSpecialists.com

FOR IMMEDIATE RELEASE

New Web site presents options for homeowners confronted with the possibility of foreclosure.

Santa Clarita, CA - 11/24/2009 - Local real estate agents and community advocates, Jennifer and Gary Ricco of Keller Williams VIP Properties, today announced the creation of a new information Website for Santa Clarita-area homeowners in distress. www.SantaClaritaPreForeclosureSpecialists.com contains vital facts about the options available to these homeowners, to help them make the educated decisions about their future.

"We developed this site with my community in mind," Jennifer and Gary said. "When faced with the possibility of foreclosure, we have seen too many homeowners make poor choices, listening to bad advice, even walking away from their homes without calling their lender or a real estate agent specializing in pre foreclosure options. These people didn't know the options available, or even how to find any information on their situation.

"We want more for the people of Santa Clarita, and more comes with making informed decisions."

www.SantaClaritaPreForeclosureSpecialists.com acts as a hub for information on the facts and issues for struggling homeowners, putting all the necessary information in one, easy-to-use location. The information and materials located on the site are regularly updated to reflect market changes, trends, new lender requirements, and industry updates.

Alex Charfen, co-founder and CEO of the Distressed Property Institute in Austin, Texas, said that more than seven out of 10 homeowners in foreclosure proceed without any visible assistance.

"Agents with the Certified Distressed Property Expert^Æ designation are helping distressed homeowners understand that there may be options available to them," Charfen said. "Jennifer and Gary Ricco have been trained to help homeowners avoid foreclosure, and this Website resource to educate the community is a commendable public service."

The CDPE designation provides real estate professionals with specific understanding of the complex issues confronting the real estate industry. Through comprehensive training and experience, CDPE's are able to provide solutions for homeowners facing hardships in today's market.

For more information about CDPE Designation, visit www.cdpe.com.

The end of an era..... Do you recognize this little box? Before the digital age of technology spread to photography our only way to take colored pictures was to use Kodachrome film. As Realtors, can you imagine doing our job without the instant age of today's technology? Now we can stand in front of our listings take that perfect picture capturing the best angles on our cell phones or digital cameras, load them into our computers and blast within minutes of taking that snapshot out to the world simply amazing. Everything is now done with the click of a mouse; import your picture, make an e-flyer, put together an e-mail blast, post a blog, send a link on Twitter, Facebook, Myspace or text your new listing with our digital pictures.

It wasn't always this easy there was time and attention to detail when it came to taking pictures on our old 35mm cameras. We were limited to 36 pictures to a roll and really had to make sure we were making those snapshots count. Unlike today, we take multiple pictures on our digital cameras with instant results even deleting pictures as we go in search of the perfect poses. I remember as a kid posing for those family get togethers like past Thanksgivings making sure we were all ready, mom or dad saying 'now don't make those funny faces', they were in search of those perfect family moments we all wanted to capture and share. The funny thing was we generally didn't see those pictures until the next major family holiday if we were lucky. Each roll was 36 pictures if all the shots were not taken at one function then the camera went back in the drawer until it was next time to break out the smile. At which point that roll of film hit the good old family junk drawer... ours was a bottomless pit with of rolls of film, paper clips, scissors and glue and any other junk needing to be hid. At some point all the filmed was gathered up and sent away to some place God only knows where and in weeks we had our pictures back. It was exciting to sit down with the family and look back at those photos sharing those special moments again. Sometimes you ordered doubles so you could share those special moments with other friends or family members. I remember always being told don't touch the pictures or the negatives you will leave finger prints all over them! So as always we gently went through the many developed pictures reflecting on the poses or places captured, I cherished those times.

As I started this blog with the words 'end of an era' by the end of 2010 you will no longer be able to get your Kodachrome pictures developed anywhere, believe it or not there is only 1 place in the entire world that you can get your rolls of film developed, it's right here in America, Parsons Kansas. Once there was 2000 places to develop your Kodachrome film now Dwayne's Photo in Parsons is the only place that can do this developing. The reason why I share this blog is I know somewhere in your families junk drawers just like mine you need to dig those rolls out and get those rolls of film developed before we all loose those cherished moments forever. Who knows what is on the rolls of film pictures of relatives past, birthday celebrations, past vacations, school functions? We took our time to make sure those pictures had the perfect poses and sometimes we let those silly faces be made as a way to show we don't always have to be stoic for those serious shots, it would be ashame to loose them forever. Another little slice of Americana is going down in the history books, what's next?