Realty Check For Idaho

Watch today’s short report on the housing market- Some where around 32% of loan modifications have become permanent while the rest  moving towards some form of foreclosure.  It seems that banks are trying a little harder to get these loans modified to 31% of your monthly gross income, not your take home money but your gross. Idaho has been witness to a rise in values that we most likely will never see again. Lost jobs and income combined with values that have seemingly taken us back, back, back-are not helping recovery. If your payment is good and your paying down your principle and living life more power to you. If your payment has become a hardship and starts taking away your quality of life, look for help.. Take action and stay in your home, call    Joshua Groesbeck 208-353-7131 or josh@homeswithjosh.com or www.homeswithjosh.com

Idaho Short Sale Process

Goal:  Avoiding Foreclosure

The following are the steps that you as a homeowner can anticipate in the short sale process.  This is a general outline of how the process occurs, however please note that lien holders can change the order of some of the steps.  Detailed below is the process our team uses to process a short sale.  For a brief overview please see. www.homeswithjosh.com and look under Short Sales

Pre-Listing

1.
Please contact Josh’s office for a brief consultation about short sales.  Josh or one of his team members will collect some basic information about your situation.
2.
A tentative appointment will be scheduled to answer questions and/or list the home for sale in the short sale process.
3.
Josh and his team will prepare a short sale packet which will be sent to you either via FEDEX, regular mail or email.  We provide a thorough packet of information in advance of the appointment so you have the opportunity to evaluate our process and have your questions answered in advance.  If what we send you and what we discuss prior to the appointment makes sense and you feel comfortable and confident to go forward with the short sale process, our appointment will be confirmed. The packet will include:
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Information about the short sale process.
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Market data on the value of your home in today’s market.
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Recommended short sale pricing.
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Listing contract and related forms.
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Property detail report from the county assessor’s office.
4.
The appointment.  Josh will either come to your house to receive the documents or they can be returned via fax or email. We can do listing appointments via telephone or email if necessary.
5.
Once we receive a signed listing agreement we will begin the short sale process.
6.
An authorization form will be submitted to your lien holder(s) enabling us to speak to them on your behalf.  Unless previously provided, the lien holder(s) will provide their short sale requirements when the authorization is received.

Marketing

1.
Your home will be listed immediately on the Multiple Listing Service.
2.
We will market your home through various affiliated web sites and all other applicable marketing strategies.
3.
During the marketing period we will receive offers and present them to you as they are received.
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Offers will be presented to you on an offers spread sheet.
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You will be able to see the net offers as they come in.  We highlight, in yellow, the current highest net offer.
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You will sign the purchase offer of your choosing.  We will advise you as to what appears to be the strongest offer.  We will encourage you to consider two important factors; price and the willingness of the buyer to wait for the short sale process to complete rather than back out in the middle of the process.
4.
You will select and sign the offer that is most likely to meet the lien holder(s) criteria for a short pay off of your loan.

Short Sale Processing

1.
After you select an offer it will be signed by you and presented to your lien holder(s).  This is the official beginning of the short sale processing phase.
2.
You can track your short sale offer, as it is processed, online at Short Sale Status.
3.
The offer and all documentation required by the lien holder(s) is submitted by our office to the lien holder(s).
4.
Documents go through a processing period and are assigned to a negotiator.  The lien holder(s) assign a negotiator to your file.  The negotiator will ultimately make the final decision about your case.  The negotiator will review your offer and present the offer to any investors into your loan.
5.
A BPO (Broker’s Price Opinion) or appraisal will be ordered by the negotiator.  This BPO is used to determine the value of your home and whether or not the net proceeds of the offer are sufficient to satisfy the investors and thus provide a short pay off of the loan(s).
6.
The negotiator will evaluate your financial situation to determine whether or not you qualify for a short sale.  The offer will be presented to the investors who are invested into your loan.  They will decide if your short sale is approved or not.
7.
The negotiator will report the response of the investors.  There will be one of three options:  Short Sale Approval, Short Sale Approval with Conditions or Denial.  If any other answer then Short Sale Approval is provided we will negotiate further on your behalf.
8.
After all negotiations are complete you will either accept or reject the terms of the short sale.
9.
Written short sale notification is delivered to the buyer’s agent and Escrow begins.

Escrow

1.
Escrows in short sales generally follow the same process as a regular escrow.  One difference is that the short sale approval has a “good through” date by which time the short sale must be finalized and escrow must be closed.
2. When escrow begins you will need to make plans to be moved out of the house by the close of escrow.

Josh Groesbeck

208-353-7131 or josh@homeswithjosh.com

Idaho Top Ten In Foreclosure Filings

Idaho has slipped out of the top five for the most foreclosures, but expectations remain that the state will see a continue in its numbers.

RealtyTrac Inc., an online marketplace for foreclosure properties, Thursday said foreclosure filings increased 15% in January, compared to the previous year, but declined 10% from the previous month. Nevada, Arizona, California, and Florida posted top state foreclosure rates during the month. Further, RealtyTrac cautioned that the numbers may increase over the next few months.

While Financial News services writes The post-boom states of California, Nevada, Arizona and Florida still contribute more than half of filings, but Utah, Idaho and Illinois are starting to see foreclosures surge.

Only last week, it was reported Canyon County’s home defaults had dropped off in the last few months of 2009, but they came back with a vengeance in the first month of 2010.

The county’s foreclosures hit a high in January, rising from 214 filed in December to 365 filed in January for a total increase of 70.5 percent, according to IdahoDataProviders.com.

“What this all means is that you should brace yourself for a double dip in the housing market in 2010,” Charlie Nate, president of the foreclosure-tracking company, said in a release. “Look for local prices to still fall another 7% to 10% starting in the next few months. A bottom to the housing market and the beginning of a real recovery is unfortunately still at least one year away.”

Ada County’s number of foreclosures filed dropped 8 percent to 408 in January this year, a 19 percent increase from January 2009.

Short sales dropped 1.3 percent in the two counties in January, a lull which Nate calls the “calm before the storm.” He expects a new flood of short sales this year caused primarily by the U.S. Treasury Department’s Home Affordable Foreclosure Alternatives program, which must be implemented by April 5, 2010. The program requires each distressed property to first be considered for a loan modification, and then evaluated for a short sale or deed in lieu before a foreclosure can be initiated.

In its January 2010 U.S. Foreclosure Market Report, RealtyTrac stated foreclosure filings, which include default notices, scheduled auctions and bank repossessions, were reported on 315,716 U.S. properties during the month. The report also showed that one in every 409 U.S. housing units received a foreclosure filing in January.

Real Estate Owned, or REO, activity nationwide increased 31percent from January 2009, but was down 5 percent from the previous month. Default notices rose 4percent from last year, but dropped 12percent from the previous month. Scheduled foreclosure auctions were up 15percent from last year and down 11 percent from last month.

Despite an year-over-year decrease of about 18 percent in foreclosure activity, Nevada’s foreclosure rate remained highest among the states for the 37th straight month. One in every 95 Nevada housing units received a foreclosure filing during the month, which is more than four times the national average.

Arizona’s foreclosure rate was the second highest among the states in January, owing to a 4 percent month-over-month increase in foreclosure activity. One in every 129 Arizona housing units received a foreclosure filing during the month, the seller of default data said.

In California and Florida, foreclosure activity decreased by double-digit percentages from the previous month, and the two states registered nearly identical foreclosure rates with one in every 187 housing units having received a foreclosure filing.

With one in every 231 housing units receiving a foreclosure filing, Utah registered the nation’s fifth highest state foreclosure rate, although foreclosure activity declined nearly 12% month-over-month.

Other states with foreclosure rates among the nation’s 10 highest were Idaho, Michigan, Illinois, Oregon and Georgia.

Further, RealtyTrac said California, Florida and Arizona posted the three highest state totals in terms of properties receiving foreclosure filings in January. These three states together accounted for more than 44 percent of the national total.

In California, total foreclosure filings were 71,817 and Florida reported 47,069 filings. In Arozona, 21,048 properties received foreclosure filings in January.

Source:IBR