John Kim

Top 10 Foreclosure Cities

1. Merced, California
2. Modesto, California
3. Stockton, California
4. Riverside, California
5. Detroit, Michigan
6. Fort Lauderdale, Florida
7. Cape Coral, Florida
8. Vallejo, California
9. Las Vegas, Nevada
10. Sacramento, California

As the first quarter passes the markets have still contunue to decline on stock markets worldwide, capital freeze, massive financial meltdown and layoffs from hundreds to thousands at a time. With trillion of dollar assets wiped out in the past year and IRA investments loosing what was to be an aid in retirment it seems that there is no end in site during these hard times.

Now you may have heard on late night television that the housing market is crashing everywhere and we are in a recession. And that is somewhat true, especially since 60% of the top 10 are in California. However, if this is absolutly true then why does Orange County hold well in the crashing market and curently why do we have bidding wars on properties?

No matter what we all will eat, go to schools and colleges/universities, supermarkets will still be open, buses will run and most people will want to but gadgets and spend beyond their means - just not as bad as before. It is often said that some of the most successful investments have been made by going against the grain, which means selling when most are buying and vice versa. And in this market, of foreclosures, going against the grain now would mean buying while others are selling. The goal during in recent years has been to buy now, sell quickly and pocket capital gains, abut not when values are falling or stagnant. The better option in hard times is to seek capital preservation and ongoing income.

Now, imagine that during the Depression era of the 1930's those who bought real estate at sunken prices and simply held on. The importance of such of experiences suggest that going for long term benefits is a logical and reasonable strategy for today market. And given that foreclosures are often available with significant discounts, it follows that they represent a good starting point in the search for long-term income and capital safety.

Here are 5 basic questions which can help you decide:

1. Can you get financing? When the rates are exceptionaly low and you go to a direct lender for a 30 yr fix, then when the market turns around for the better so will your investment.
2. Can you do your own repairs? This will help aid in the reduction of the overhead on your investment.
3. How's your local market? Is the inventory of unsold properties increasing? Are new home builders discounting units in established projects?
4. Find an experienced Pre-foreclosure Realtor in the county you are purchasing.
5. Can you afford vacancies if your renter cannot pay? If you don't have the income to support this investment then you may want to reconsider.

Some of the new California laws that may take for this year:

SWEEPSTAKE JARGEN TO CHANGE

This CA bill says that it will be banning misleading sweepstakes entry material designed falsly draw someone to participate by saying that they have been specially selected to participate in their drawing. Moreover it prohibits the sweepstakes sponsors from bait and switch their a fee to receive or obtain information about a prize.

HIGH SCHOOL AND COLLEGE NEWSPAPERS

The CA school administrators may be prohibited from retaliating against high school and college journalism instructors for refusing to censor student newspapers. This will make it illegal to dismiss, transfer, or discipline teachers for protecting their students free-speech rights.

CA 2 LAWS ON TEACHERS SEX CRIMES

The first law will make it tougher for teachers who commit sex crimes by allowing the state to revoke the licenses of teachers who plead no contest to certain sex crimes or drug offenses without waiting for a discretionary review that can sometimes take two or three years.

The second one allows the CTCC, California Teacher Credentialing Commission, to revoke a teachers licenses automatically if a previous criminal conviction has limited their contact with children.

ORGINS OF THE BOTTLED WATER

This legislation will require bottled water producers to reveal where they obtain their sorce of water, either on the bottle's label or on a package insert. Which is one step for the consumer to know seeing that the testing reports requirment are less strict then any government ran facility.

CLEANER PET STORES

This bill sets a higher standard for the care of animals sold in pet stores by requiring them to have their cages/place of storage to be cleaned frequently and that the stores be kept free of pests. Not this is sad that a bill was needed...

Now California has a New Year's resolution for their so many driver that do everything but drive during their commute. Like 5 other states, Washington, Alaska, Louisiana, Minnesota and New Jersey, are also banning texting while driving.

Now the CA bill making it an infraction to write by sending or reading a text message while driving starts on the 1st of January 2009. Simitian's bill for texting while driving gives you a $20 fine for the first offense and $50 fine for additional violations, but of course it's all depending on what the officer will give or not to give... that is the question.

The ban on texting while driving is a follow up on the CA bill that took effect last July 1. It allows adult motorists to use only handsfree devices when talking on cell phones while prohibits drivers under age 18 from using any cell phone or electronic message device while driving.

"Cell phones has been an issue for 61 deaths and 3,489 injuries on CA roads & highways (2002 - 2007) according to the CAHighway Patrol. The CHP statistics does not reveal if the motorist involved was using the phone to talk or text."

John Kim

Loan Modification / Short Sale Processor

These are based on the California conditions that the banks are not overwhelmed and will follow some sort of guidelines. More or less this is the minimum time frame...

30 Days of Delinquency: A Pre-Lien is issued and mailed to the borrower

60 Days of Delinquency: Lien is issued on the property by the loan servicer.

90 Days of Delinquency: Notice of Default (NOD) is recorded and certified mailed to the borrower. The defaulting property owner has 3 calendar months to cure, or payback the default amount.

Within 30 Days after the NOD: 2nd Notice of Default Certified Mailed

90 Days after the NOD: Trustee schedules a Trustee's Sale (auction).

21 Days After Notice of Sale: On the date of sale, trustee sells the property to the highest bidder. This sale is usually held at the trustee's office, or at the County Courthouse (call trustee for updates on time, date, place).

If Unsold:Property becomes an real estate owned (REO) and will be placed back on the market.

For the borrower(s) that are unable to maintain your mortgage payment(s)and need an option to avoid possible Foreclosure or worse Bankruptcy. Here are some hardships that may qualify for short selling a home.

MORTGAGE RELATED REASONS

No Equity available to Refinance
Interest Rate Adjusted
Balloon is due
Huge Negative Amortization

PERSONAL RELATED REASONS

Loss of Employment
Loss of Secondary Income
Medical Related Issues
Divorce or Separation
Military Transfer or Deployment
Job Relocation

John Kim - (714) 369-4333

www.NLMloanmod.com