Pamela Seley, REALTOR® Temecula Valley California Homes

This is One Reason Why I Love Being a REALTOR®

There are many benefits to being a member of the National Association of REALTORS®, but especially, the California Association of REALTORS®. I use the C.A.R. Legal Hotline frequently to get clarification on real estate, legal issues so I can do what is right and best for my clients.

Los Angeles and Southern California are target areas of a pilot program of REO bulk sales by the Federal Housing Finance Agency (FHFA) and federal Department of Housing and Urban Development (HUD). These bulk sales of distressed homes will be sold for pennies on the dollar (literally) to investors with the condition they cannot be sold for a minimum of five years. These homes will become investor, rental properties.

California Association of REALTORS® (as I do also) believe this will damage the housing market more and cost taxpayers in the long term. Currently we are experiencing an inventory shortage of Temecula homes for sale. The sale of bulk REOs will make communities that tend to be owner-occupied become rental communities.

First-time homebuyers searching to buy a principal residence in Temecula and Southwest Riverside County California are challenged as it is in getting mortgage financing and finding a home that fits their needs.

Read the open letter to California Congress by LeFrancis Arnold, President of C.A.R.

Writing Down Principal Balances Would Save Taxpayers Billions of Dollars

This, says Rep. Cummings, a Dem from MD and on the House Oversight Committee.

Did you know Fannie Mae had been working on a pilot program to give principal reduction to troubled homeowners in 2010?

At the last minute Fannie Mae executives let go of the program. Read the full WSJ story here.

I have always been an advocate for principal reduction for homeowners. This is not a popular view among real estate professionals because they see principal reduction as favoring those who took out mortgage loans who now can’t pay, or are so underwater they can’t sell, as getting a break. God forbid a home owner who can’t pay their mortgage get a break. I’m aware of many real estate agents and professionals who view short sales in the same way—it’s giving a break to the homeowner.

I don’t see anything wrong with giving principal reduction to the homeowner, rather than short selling to someone else. In my opinion, it would be the right thing to do. Principal reduction would be the quickest way to get the housing market back on track so folks can live in their homes and continue paying their mortgage at terms they can afford, and then sell later if they need to. Our communities would be better off with principal reductions to homeowners who want them.

If you look at the larger picture, the only other alternative is foreclosure.

Foreclosure costs lenders money. A short sale is a win-win solution for the homeowner and the lender, who would have to write down the principal in a foreclosure anyway, but can now save on mitigation and foreclosure costs. Home owners who want to stay in their home but can’t pay their mortgage at the current terms, should be allowed principal reduction. It’s the same as a short sale, or short pay.

Let's remember that Fannie Mae received 151 billion dollars of taxpayer money to keep them a float. Now it’s time for Fannie Mae to help American homeowners, through no fault of theirs, to keep them in their homes.

That’s my story. What say you?

Announcement—I Have Moved

I am pleased to announce that I have moved my real estate business to the brokerage of Bassett & Associates, REALTORS®.

I will continue to offer residential real estate services, representing buyers and sellers, and including listing, selling and negotiating short sales.

The added advantage to my new office is I will now be able to offer clients comprehensive, property management services.

If you need to sell your home, whether in Temecula, or anywhere in Southwest Riverside County California, please contact me direct 951.491.4063.

Which Would You Rather Have on Your Credit Report?

“Foreclosure,” or “paid as agreed for less than balance owed.”

This is the difference between foreclosure and short sale. Many homeowners have security clearance which would affect their job if they were to let their home go to foreclosure.

Some agents think it doesn’t think it doesn’t matter. Just let the home go to foreclosure because in their mind it’s not going to matter later. These are the lazy agents whose negative opinion about short sales may not be in a homeowner’s best interest. Maybe it’s because they don’t know how to do short sales, or they don’t want to take the time and patience to learn.

If you want to avoid foreclosure, a short sale is an option that saves your credit report from “foreclosure.” A short sale also gives a homeowner peace of mind that they “sold” their home and didn’t just walk away. The only difference between a standard sale and short sale is that “price, terms and conditions are subject to lender approval.”

If you want a hardworking short sale agent, who has been selling short sales since the mortgage meltdown, please contact me direct 951.491.4063 for a free consultation and no obligation.

There is life after short sale