Stephen Shockley

The Real Estate market is currently experiencing a rough patch, that many thought would have expired by now, however it is still lingering. Many homebuyers, though the rates are low and home prices are great, they are still uneasy about purchasing a home. Realtors are frustrated because it seems mortgage guidelines continue to change with the wind, and the quality of home buyers is getting worse, prevents home buyers from taking advantage of the low rates and good home prices. Low consumer confidence, the lack of qualified home buyers, and constant changes in mortgage requirements, generates lost revenue and very unhappy real estate and mortgage professionals.

However, there is hope for us all. Without Real Estate agents, mortgage professionals would not have much business. A big thank you to all my current and future Real Estate partners, your hard work and dedication does not go unnoticed. Becoming a productive Real Estate agent does not mean that you have thousands of listings, but it does help, don't get me wrong. Having a trusted mortgage professional in your corner to bounce ideas off, brainstorm with and grow together with as the market changes is extremely important. Just last night, I had an agent text me at 9:00 pm to ask a question about an investor client. Yes, that's right everyone, I was available at 9 pm to help my Realtor partners. Some may say that is dedication, which is correct to say, but it's more of a business model that I follow, that separates me from the million other loan officers going after the same agents. My agent and I brained stormed for half an hour and come up with a solution to help her investor purchase a duplex. The solution you ask? Well, based on the property, the client and the purchase price, we concluded together, that it was best for her client to obtain a short-term construction loan from a small local bank to rehab the property and then refinance the property at a later date to recoup the money he invested into the property. This particular deal will not put food on my plate this month, however, the time I took to help my referral partner will pay much higher dividends in the months to come.

Today, I met with a Real Estate agent and we discussed how to price a home she was going to list based on the available mortgage products. I also suggested we pre-qualify her clients to make sure they can purchase another home before selling their current home. You never know what skeltons are lurking in the closet that a future homebuyer my not be aware of. I would hate for this couple who purchased a home 6 years ago, not be able to qualify for a home under the new mortgage regulations and be homeless or have to rent until they could purchase a new home! Now that is what I call a power team. I am in the process of making flyers for her open house to hand out to prospective buyers and pre-qualifying her clients. I don't expect to get the mortgage loan for the client that purchases her listing, however, helping her market the property and going above and beyond the call of duty, will almost guarantee, I receive her next client who needs a mortgage.

So, as you see, it is very important that you pair yourself with a loan officer that not only helps provide your clients with financing options, but be there for you when you need advise or to help figure out what the best direction a client should take. In this current market, we need all the help we can get. Some ideas may not always earn you money, but it will strengthen the relationship you have with your loan officer, the client and your referral partner.

Sales, no matter what you sell, will always be a relationship based business. The days of cold calling and unplanned visits with real estate professionals to earn a "one and done deal," as I like to call them are over. Strategically placing calls to friends, co-workers, friends of friends, aka your circle of influence, will always be the best way to earn business and clients for life.

If you have a question, scenarios or just want to talk, please give me a call (770-778-7497) or e-mail (sshockley@brandmortgage.com) at anytime. Chances are, I will be up and ready with ideas. You can also visit my website for up to date information on programs and the real estate market: www.LoansMadeBySteve.com.

Since social media is a huge hit, you can follow me on twitter: www.Twitter.com/ShockleyStephen or be my friend at www.FaceBook.com/shockleyst.

Happy Real Estate Hunting! Hope this is a very productive year for you all!

Steve Shockley

Senior Mortgage Banker

Here is a list of best places to live in America. http://money.cnn.com/magazines/moneymag/bplive/2009/top100/

I wish Athens Georgia was on the list, because it is a very nice place to live. The cost of living is good, and the music scene rocks. Home values in Georgia have slumped a bit, which has made refinancing a home difficult, however Georgia still has a ton of affordable homes on the market. In fact, Brand Mortgage and Gwinnett County of teamed up to set aside down payment assistance for home buyers purchasing a brand new home in Gwinnett County Georgia. This program is not limited to first time home buyers and has very little restrictions. In addition to the Gwinnett Grant, Brand Mortgage also has several other down payment assistant programs available for qualified first time home buyers.

If you are in the market for a home that requires non-conforming loan such has JUMBO or SUPER JUMBO, we have you covered.

To apply for a loan with down payment assistance or a JUMBO mortgage, please visit the link below:

www.LoansMadeBySteve.com/loanapplication

Thanks,

Steve Shockley

Senior Mortgage Banker

Brand Mortgage

770-778-7497

With the $8,000 tax credit expiring at the end of April, I bet you are wondering what other options home buyers may have to help purchase homes? The best option currently is the Federal Home Loan Bank (FHLB) matching grant. It is a 5:1 match. In other words, if the borrower contributes a $1,000, they might be eligible for $5,000 in down payment cash that can be used for closing costs as well. The matching grant will match your contribution up to $7,500. I have access to this grant in all Georgia counties as well as the following states: AL, SC, FL, NC. A short list of borrower requirements are below:

- Credit Scores: 640 or higher

- Income: Must be at or below 80% of the HUD median income limits. I can provide a copy of your county upon request.

- First Time Homebuyers Only

If you are a Realtor and have clients who may qualify for this program, or a home buyer looking for down payment assistance, please call or e-mail me for more information.

"When Service Matters"

Steve Shockley

Mortgage Banker

Cell: 770-778-7497

E-Mail: sshockley@brandmortgage.com

Mortgage Modification...What does it take?

President Obama set out to help our economy regain its steam by providing several stimulus bills. Under the stimulus bill were many homeowner assistance programs. The loan modification program was meant to help homeowners reduce their current interest rate for a certain period of time to help lower their monthly payments in hopes to help them fight off foreclosure. What no one expected was the difficulty or the popularity of this program. In this report, we will discuss the "Help for Homeowners" program and what you will need to help the process. Processing times will vary depending on the complexity of your situation and the mortgage servicer you are working with.


First, lets begin with why you might need to consider modifying your mortgage. If you are behind on your mortgage more than three months, and 50% of your income or more is going to pay for you home and other debt, you might be a reasonable candidate. Be aware that it is a long process and you must be diligent with following up, because the mortgage company does not really care if you modify or not.


Once you feel you might be a modification candidate, be prepared to give them all of your financial records. The servicer requests this information to prove beyond a doubt you are unable to make your current payment. Loan modification is not limited to owner occupied properties. All investors who might be underwater, might consider this option before selling.


The program details may vary, however the main goal of the program is to reduce your interest rate in order to lower your payment to a more manageable sum. Interest rates could be reduced to as low as 2%, which is fantastic. If you have an interest only loan, this is a great opportunity to obtain a low interest rate to help pay down some of the pincipal balance. The rate is fixed for five years. The government decided that five years would be enough time for a homeowner to correct any issues with there financing and credit in order to refinance their home into a more suitable mortgage. Typically you can repair credit obligations within 12 months, depending on the severity of the credit issues. Correcting your financial situation may take longer depending on your motivation and job preferences. It would be beneficial to get in touch with a credit counselor, or financial planner to devise a plan to correct your financial position in a shorter time frame.


Now that you have an understanding of the program, the next item, is figuring out exactly what documents the servicerwill need to modify your current mortgage. The list below is not an exact list, because documents may vary between servicers.

1. Locate the contact information for the modification or loss mitigation department. The loan modification department will have a separate fax number to fax the needed paperwork for your odification. Do not get it confused with min fax number. If you do, you can rest assured they will not get the paperwork.

2. Most recent tax returns. If you are self-employed you will need both business and personal tax returns. Be sure to include all schedules.

3. Most recent pay stub. If you are self employed you will need a profit/loss statement and a break down of your income in which you will be reporting on your 1099 depending on what time of year you apply for your modification.

4. They will requiring you to fill out a spread sheet that breaks down all monthly debts. For example, car insurance payment, car payments, credit card payments, food costs, etc.


Once you have gathered the information needed to begin the modification, fax the information to the modification department. Follow up with the department 30 minutes to and hour after you faxed the paperwork to make sure they received it. You will need to follow up with them every two to three days to check in. You may find that the initial paperwork may not been filled out completely, or they may need additional information. The quicker you can provide the requested information, the faster the process will be.



Once you have submitted all needed paperwork, and no new information is needed, the modification department will review your paperwork to determine if you are eligible for the modification.



The process to determine if you will be approved for a loan modification could take several weeks. Continue to follow up until a decision is made. If you are approved for a loan modification, they will discuss the modification details and mail paperwork outlining the entire modification for you to sign and return. Once you agree to the modification, you are on the road to recovery.

How to Evaluate Your Credit

Have you ever received a copy of your credit report and felt overwhelmed with all the information? Have you ever been shocked to see an account that you paid still showing a balance? These situations are not uncommon. The three credit reporting agencies Transunion, Equifax, and Experian do not update each change a consumer makes to their credit file. This process would be expensive and time consuming. Which means you as the consumer must always keep track of your credit history. A good rule of thumb is to check your credit report twice a year. You can visit www.annualcreditreport.com to receive your free credit report. Federal law states you can check your credit report up to two times a year without any penalty or charge. The credit report you receive from annual credit report will not contain your credit score, just the accounts you have opened and your payment history. Review your report for errors, accounts that were not opened by you and your payment history. If you feel that an error has occurred, then follow the steps below:

1. Make note of the account name and account number. Be sure to write the date in which the account was opened and the date in which the account was last reported
2. Draft a dispute letter. If you are not sure how to write such a letter, you can download a generic letter from my website, www.LoansMadeBySteve.com
3. The dispute letter must contain the following items
   1. Account name
   2. Account number
   3. Date the account was opened
   4. Date of last account update
   5. The amount in which you are disputing
   6. An explanation why you are disputing the account
   7. Include any information that proves you have paid or did not open this account

A dispute letter must be written for each credit reporting agency in which the account you are disputing is being reported. The completed letters must be sent by certified mail. This will give you confirmation that each of the credit reporting agency have received your request for an account update. It will also give you away to track how long it takes for the information to be updated.

The process of updating incorrect information on your credit will take 30 days or more. Each credit reporting agency has 30 days from the receipt of your dispute letter to investigate the account you are disputing. After 30 days has passed, be sure to call each of the credit reporting agencies to make sure your account has been updated. If it has not been updated, then you will be notified of the reasons in which the account was not able to be updated. If the account was updated, you will receive an updated credit report reflecting the change. This process must be completed for every account you are disputing.