Flagstar Bank Short Sale Nightmare, Macomb County, MI

Flagstar Bank Short Sale Nightmare, Macomb County, MI.

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Posted in Foreclosures, Real Estate, Realtor Macomb County, Selling a Home with a Short Sale, Short Sale Macomb County, Short Sales | Tagged , | Leave a comment

Flagstar Bank Short Sale Nightmare, Macomb County, MI

Macomb County, MI Sept. 27, 2013

I have recently been involved with Flagstar Bank for a Short Sale in Roseville, MI. This is one of the worst banks I have had to deal with. My file has been pushed around and I’m on the SIXTH negotiator. They don’t return phone calls, emails, and are just plain unprofessional.

Short sales are difficult enough even for a seasoned professional like myself. I just don’t understand why some banks can’t seem to get with program … after all, it’s been years of lenders having to deal with underwater properties. They should have this down to a streamlined process by now!

And, the consumer continues to be the one harmed. I have another file with Citi Bank and the negotiator didn’t even look at it and immediately “denied” the short sale. When I called the negotiator to question his decision, especially since their was a death by one of the mortgagors, which was explained in the hardship letter, along with a copy of the death certificate, his response was “Oh, well that changes everything”! This is how I knew that he didn’t even bother reviewing the file. Within a few weeks, I did get the approval for a short sale from Citi.

If you need to sell your home and you are underwater, you can visit my website: http://www.sellmyhousemacomb.com. You can also call me at 586-438-3038 and I’d be happy to answer any questions you may have about foreclosures or short sales.

You can also read testimonials from satisfied past clients by going to my real estate website at: http://www.doloresgaskell.com

Dolores Gaskell, Broker/Owner
Macomb Metro Realty, Inc.

Posted in CDPE, Macomb County, Real Estate, Realtor Macomb County, Selling a Home with a Short Sale, Short Sale Macomb County, Short Sales | Tagged , , , , , , , | Leave a comment

Mortgage Forgiveness Debt Relief Act Extended!

Macomb County, MI

As part of tax bill H.R. 8, which addressed the so called “fiscal cliff,” On January 1, 2013, Congress passed an extension of the Mortgage Forgiveness Debt Relief Act of 2007.

For distressed homeowners, the extension of this act comes as welcome news, as it means foreclosure alternatives, such as loan modifications and short sales, will continue to be valuable options free of tax penalties on forgiven debt.

This report details how the extension of the Mortgage Forgiveness Debt Relief Act will save homeowners thousands in taxes, and what to do if you or someone you know find yourself facing the possibility of foreclosure.

What Is The Mortgage Forgiveness Debt Relief Act?
The Mortgage Forgiveness Debt Relief Act was originally passed in 2007 to aid the millions of homeowners who suddenly found themselves in danger of losing their homes to foreclosure following the housing market crash.

Under the Mortgage Forgiveness Debt Relief Act, any debt forgiven in a short sale, foreclosure, or loan modification is exempt from federal taxes.

Here’s how the process worked before the Mortgage Forgiveness Debt Relief Act:

• A homeowner found that he or she could no longer afford his or her mortgage. At risk of default and foreclosure, the homeowner was able to negotiate with the bank an option that avoided foreclosure (most likely a short sale or a principle reduction).

• The bank was legally required to report the amount of debt forgiven or cancelled to the IRS.

• The IRS labeled this amount as “income.” Even though the homeowner was never given any cash from the bank, it was considered income because it was a credit issued to the borrower from the bank that didn’t previously exist.

• The homeowner was now responsible for paying income tax on this amount, which could amount to thousands of dollars. With the recent extension of the Mortgage Forgiveness Debt Relief Act, eligible homeowners will continue to remain exempt from these taxes, saving them from paying thousands, or even tens of thousands, in taxes on top of losing their homes.

Frequently asked questions:

When does the Mortgage Debt Relief Act Expire?
December 31, 2013.

How much debt can be forgiven?
$2 million ($1 million if you are married and filing separately.)

Does this apply to any debt that is forgiven?
No, the Mortgage Debt Relief Act applies only to debt forgiven on your primary residence.

Who determines how much debt is forgiven?
The lender is required to report any forgiven debt that is over $600.

Will it be reported on my credit?
If a foreclosure was started, then it probably will be, although a short sale will be less impactful than if the foreclosure is completed.

If you or someone you know is underwater on their home and needs to sell it, please contact me directly at 586-438-3038.  There is no cost or commission paid by the homeowner who needs to sell with a Short Sale!  Please visit my website: http://www.doloresgaskell.com for more information about Short Sales.

Dolores Gaskell, Broker/Owner
Certified Distressed Property Expert
Macomb Metro Realty, Inc.
Chesterfield, MI 48047

Email: dolores@doloresgaskell.com

Direct Dial: 586-438-3038

Posted in Macomb County, Real Estate, Realtor Macomb County, Selling a Home with a Short Sale, Short Sale Macomb County, Short Sales | Tagged , , , , , | Leave a comment

Successful FHA Short Sale after 1 year of negotiation with Bank of America!

Most short sales don’t take a year to close.  Bank of America held the FHA mortgage and it was a “pre-approved” short sale.  There are no words to describe how challenging this particular sale was to complete.  In the end, I was able to get Bank of America to finally approve the Short Sale, and to the delight of my Seller-Client who was facing huge financial distress if this sale didn’t close. Read my Seller’s comments below:

Short Sale Sold!Dolores is the ultimate professional.  A total fighter…  Here’s my story…  I had a 1100 square foot ranch in St. Clair Shores.  The house required a lot of work.  Drive way was so cracked, it looked like gravel.  The house was the only house on the block that did not have a garage.  My block was completely depressed, with 13 foreclosed properties on the block.   I had a $132,000 mortgage on a house that was worth $30,000.  I was attempting a short sale, and I found Dolores…  To make a year-long story short….   We battled  and battled with the bank for almost an entire year.  Dolores never waivered….  She always responded to inquires IMMEDIATELY, and this was a job she was making less than a grand on.  Even though the monetary rewards weren’t there for her, she treated my account like I was her top customer.

We eventually sold the property, and I personally don’t think it would have ever happened without her.  She is one of the most aggressive professionals I have ever met.  I will be a client for life.  If you have a property you want sold, don’t call anyone but her.  You want her on your side!

Thank you so very much Dolores!  You’ve had a profound impact on my life!!!

Sincerely, Bill A.

If you have a house that you need to sell, please give me a call at 586-438-3038.  I promise I will treat you with respect and I will do anything necessary to help you sell your house.

Dolores Gaskell, Broker/Owner
Macomb Metro Realty, Inc.
Chesterfield, MI 48047

Posted in Foreclosures, Real Estate, Realtor Macomb County, Selling a Home with a Short Sale, Short Sale Macomb County, Uncategorized | Tagged , , , , , , | Leave a comment

Macomb County MI Grateful Homeowner

Recently I received a wonderful letter from a client of mine and I want to share this with you. Here’s what she wrote:

Dolores,

I wanted to thank you for all that you have done for me to get this house out of foreclosure again and into the short sale market and subsequently sold. I know the first time you and I talked I was at the end of my patience not only with the situation I found myself in but also with all the problems I had with my previous realtor, I thought I was looking at bankruptcy for sure, I was hanging on to the last bit of hope I could muster. You assured me that there would be no problems getting this property sold and that you were well versed with my lenders process for handling short sales as my previous agent had no experience. You did exactly what you said you would do and a whole lot more.

Your knowledge of the real estate market today, the laws pertaining to my situation, and your experience with the lenders and their processes made this whole experience less stressful for me, I can’t thank you enough for that. You are consciences, diligent, and professional in every aspect of your business.

I would highly recommend you and your services to anyone I know or meet who is looking for a realtor for any reason to buy, sell, or should they find themselves in a situation similar to the one I found myself in.

I wish you all the best in life and huge success in business.

Sincerely,

Colleen

Are you facing similiar challenges like Colleen? Please give me a call at 586-438-3038 to discuss you personal situation. It doesn’t cost you anything … all my services are free to homeowners in distress. I look forward to helping you!

Thank you for taking time to read my blog. I’d welcome your comments!

Dolores Gaskell, Broker/Owner
Macomb Metro Realty, Inc.

Posted in CDPE, Foreclosures, Macomb County, MI, Real Estate, Realtor Macomb County, Selling a Home with a Short Sale, Short Sale Macomb County, Short Sales, Uncategorized | Tagged , , , , , , , , , , , , , , | Leave a comment

New Loan Modification Progam HAMP 2 – Macomb County, MI

Chesterfield Township, MI June 25, 2012
Macomb Metro Realty, Inc

Loan Modifications in the past have produced Help for Homeownersless than desirable results for many home owners, so now with the “improved” guidelines financially pressed homeowners have an better opportunity to get some relief.

Here is a really good article than I recently read and thought I’d share with you.  This article was written by Kirk Haverkamp of MortgageLoan.com:

“The changes ease restrictions on borrower debt limits to qualify for the government-backed mortgage assistance program, and while opening it up to owners of investment properties as well. Some borrowers may even be able to get part of their mortgage forgiven by their lender.

Borrowers can even qualify if they were previously approved for a HAMP loan modification, but were unable to keep up with the payments.

Here’s a summary of the new guidelines, generally known as HAMP Tier 2:

Lower debt-to-income limits

The new guidelines allow borrowers to lower their monthly mortgage payment to as little as 25 percent of their monthly income. Previously, borrowers could not qualify unless their total mortgage payment was more than 31 percent of their monthly income.

Broader debt guidelines

The new rules also take into account more types of debt in evaluating a borrower’s financial burden. The old guidelines focused on what a borrower was paying for their primary mortgage; the new rules allow consideration of other debt such as second mortgages, medical bills and the like.

Rental properties eligible

One of the biggest changes is that the HAMP program is now open to landlords who are struggling to keep up with the mortgage payments on rental properties. Properties need not be occupied to qualify. A single borrower can qualify to obtain loan modifications on up to three properties under the program.

Repeat modifications allowed

It used to be that you got only one shot at a HAMP loan modification — if you didn’t keep up with your payments, you were out. Under the new guidelines, borrowers who defaulted on a permanent or trial HAMP loan modification can apply for a new one, provided they’ve been out of the program for at least 12 months.

Minimum 10 percent reduction

Under the new rules, all loan modifications performed under HAMP must reduce a borrower’s monthly mortgage payments by at least 10 percent.

Principle reductions encouraged

New incentives are being provided to encourage lenders to allow principle reductions on mortgages where borrowers are underwater on their mortgages; that is, they owe more than the home is worth. Recent figures from the Treasury Department show that, as of April, lenders were performing principle reductions on about 70 percent of eligible mortgages in HAMP.

Unfortunately, mortgages backed by Fannie Mae or Freddie Mac are not currently eligible for HAMP principle reductions due to the objections of their parent agency, the Federal Housing Finance Agency (FHFA). Fannie and Freddie-backed mortgages are available for other aspects of the program, however.

Effective dates

The new guidelines went into effect on June 1; however, principle reductions have already been going on for several months as part of a $25 billion settlement reached by state attorneys general and the federal government with major lenders over alleged foreclosure abuses.

About HAMP

HAMP stands for the Home Affordable Modification Program, a government initiative to encourage lenders to allow loan modifications to reduce mortgage payments for financially troubled borrowers. It is operated through the Treasury Department and HUD, but borrowers interested in obtaining a HAMP loan modification should apply through their mortgage servicer.”

For more information, visit the HAMP page on the Making Home Affordable web site.

If you are struggling to make your house payments this new program may help you.  If you’d like to talk to me about your options, please feel free to give me a call.  Also you can explore more options by visiting my Short Sale Website, or you can visit my real estate website by clicking on these links.

Dolores Gaskell
Macomb Metro Realty, Inc.
Chesterfield Twp., MI 48047
586-438-3038

Posted in Foreclosures, Macomb County, Real Estate, Realtor Macomb County, Selling a Home with a Short Sale, Short Sale Macomb County | Tagged , , , , , | Leave a comment

Foreclosures, Short Sales and Bankruptcy – Macomb County, MI

Chesterfield Township, MI – June 18, 2012

Today I received an email from … I’ll call him John, who just can’t seem to understand why a short sale is better for him than just walking away and letting the bank foreclose.

John was current on house payments but his lender wouldn’t consider doing a short sale until he was delinquent so he stopped making payments.  He said he had a small reduction of income due to a loss in a part-time job, however he still had his full-time job, and while losing some of his income, he still had enough to cover his monthly obligations, including his first and second mortgage.

While I knew this was going to be a difficult one to process, I collected all his documents and we started the short sale. We sold the house right away and now after more than six months of negotiating with his lenders, I finally received the approvals from both lenders!  John, however, is upset and wants to walk away because his first lender wants the right to claim a deficiency.  ( A deficiency is when the bank gets less than the balance owed, and holds the borrower responsible for the difference). For instance, if you owe $100,000 to the mortgage company and they receive $55,000 on the short sale, the remaining difference of $45,000 is the deficiency and can be pursued after the short sale.

So John now wants to kill the short sale, let the bank foreclose and declare bankruptcy.  However, while I’m not an attorney, and recommended to John that he contact a bankruptcy lawyer because based on his income alone, I didn’t think that he meets the “means” test for filing a Chapter 7.  And because he still earns enough to cover his obligations, while maybe a bit “tight”, I still didn’t feel he would be eligible but only an attorney could give him the correct answers.

John seems to think by letting the bank foreclose that he will get out of the deficiency, and that is the furthest from the truth.  The deficiency judgment still happens with a foreclosure, and John will be personally liable for the entire amount of the judgement.  If he were able to file a chapter 7 however, that will eliminate all unsecured debt including deficiencies after a foreclosure.

If John were to decide to do a Chapter 13 (which I’ve heard referred to as “wage earners” bankruptcy), then John would still be responsible to pay some of his unsecured debt through a “payment plan”, and in this scenario a short sale that slashes this debt before bankruptcy is highly beneficial to him.  The short sale will reduce his payments by reducing his unsecured debts.

Bottom line here is, if you are considering do a short sale but also are considering a bankruptcy, talk to a bankruptcy attorney first.  Get some straight answers beforehand.

I’d love to help you if you are considering a Short Sale on your home.  Also, I can help you understand your options if want to save your home! Just give me a call at 586-438-3038 or visit my website specially dedicated to short sale information: http://shortsaleinfomacomb.com.

Dolores Gaskell, CDPE (Certified Distressed Property Expert)
Macomb Metro Realty, Inc.
Chesterfield Township, MI
586-438-3038

Posted in CDPE, Foreclosures, Macomb County, MI, Real Estate, Realtor Macomb County, Short Sale Macomb County, Short Sales | Tagged , , , , , , | Leave a comment