Existing Home Sales Fall In February But Up 7% Year over Year

Pending home sales rose in February, potentially signaling a second surge of home sales in response to the home buyer tax credit, according to the National Association of Realtors

The Pending Home Sales Index,* a forward-looking indicator based on contracts signed in February, rose 8.2 percent to 97.6 from a downwardly revised 90.2 in January, and remains 17.3 percent above February 2009 when it was 83.2. The data reflects contracts and not closings, which usually occur with a lag time of one or two months.

Lawrence Yun, NAR chief economist, said the improvement is another hopeful sign. “The rise in buyer contact activity may signal the early stages of a second surge of home sales this spring. The healthy gain hints home prices are continuing to flatten,” he said. “We need a second surge to meaningfully draw down inventory and definitively stabilize home values.”

The PHSI in the Northeast rose 9.0 percent to 77.7 in February and is 18.9 percent higher than February 2009. In the Midwest the index jumped 21.8 percent to 97.9 and is 18.7 percent above a year ago. Pending home sales in the South increased 9.2 percent to an index of 107.0, and the index is 17.5 percent higher than February 2009. In the West the index fell 4.8 percent to 98.0 but is 14.6 percent above a year ago.

Northern Virginia Real Estate Times
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Existing Home Sales Fall In February But Up 7% Year over Year

Existing home sales fell 0.6% in February month over month.  to an annual rate of 5.02 million units.  Still this is lower than January’s number of 5.05 million units.  This also marks the third straight month of declines in sales.  Sales were up year over year compared to last year at his time by 7%

Inventory of existing homes For Sale  rose in February by 9,5% to 3.59 million units from the previous month.  This represents an 8.6 month supply which is the highest it has been since August 2009.

NATIONAL MEDIAN HOME PRICE:

The National Median Home Price fell 1.8% in February last year to $165,100

The decline in February sales was concentrated in the single-family homes segment—the biggest portion the market—which fell 1.4 percent to an annual rate of 4.37 million units. Condominium and co-ops rose 4.8 percent to a 650,000-unit rate.

In Northern Virginia we are still seeing low inventories in most areas.  We are also seeing multiple offers coming in as people are trying to get in before the Fed stops buying Mortgage Back Securities (MBS) on Wednesday.  The FHA is changing its rules with regards to FICO scores on April 15th and of course the Extended & Expanded Home Buyer Tax Credit set to expire the end of April.

Northern Virginia Real Estate Times

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Loudoun Market Watch: Blizzards and Low Inventory Dampen Sales

Loudoun Market Watch:  Blizzards and Low Inventory Dampen Sales

LEESBURG – Preliminary February results are in; the blizzards that bombarded Loudoun in February had a considerable negative impact on existing home sales activity.  The blizzards were partially to blame for the total sales decline in February to 242 units from January’s revised but still low total of 262 units

(-7.6 percent month-over-month). Besides the bad weather, a lack of inventory was the other contributor.  Compare the total number of active listings in February 2010 (1,236 units) to the total in February 2009 (2,320 units).  That’s a year-over-year decrease of a whopping 47 percent.  Since about 43 percent of the preliminary total sales during February were distressed (either short sales or foreclosures), it appears that sellers were reluctant to put their homes on the market in recent months unless they had an urgent need to do so (if they were facing pre-foreclosure or an upcoming relocation, for example).

Pending sales declined about 3 percent from January, presumably due to the relative lack of inventory and the snow storms.  While the preliminary month’s supply of inventory exceeded five months for the first time since May 2009, it was still within in the parameters for a market in equilibrium (where there is enough supply to satisfy demand).  This suggests that sales declined due to low inventory levels.    For the second consecutive month, thetotal number of preliminary attached unit sales exceeded the total detached unit sales

Other factors were at work though.  The market was showing increasing stability and had several positive indicators in February.  First and foremost, the preliminary median sales price reached $340,000, up a significant 5 percent compared to January.  Prices have notably stabilized in Loudoun since the dark days of 2008; the median was $340,000 or more for seven of the last nine months.   Likewise, sellers were pricing their homes to meet market demand; the preliminary average close price to original list price ratio reached 96.4 percent in February.  That was the highest monthly ratio in the last four years.  And, it has equaled or exceeded 95 percent for seven of the last eight months.

The preliminary average seller subsidy declined 30 percent from last February and remained essentially unchanged between January and February.  Another indicator of a stable market was the average days on market – the figure declined to 51 days from  70 in January and posted the fifth time in six months that it was below 60 days.

As far as sales activity for distressed units was concerned and drilling down to the subdivision level, the Sterling Park neighborhood has accounted for 13 percent of the total distressed sales in Loudoun so far this year.  Distressed active and pending listings in Ashburn Village, South Riding and Belmont represented 15 percent of the county total in February.

For a copy of the latest report, visit www.dullesarea.com. For questions on DAAR’s housing market statistics contact Rosemary deButts, 540/338-2212, rdebutts@1757realestate.com.

Why You Should List Your Northern Virginia Home For Sale Now

Northern Virginia has survived the Blizzard of 2010.  Spring is quickly approaching and you hear from Real Estate Agents all over Northern Virginia that the time to List your Northern Virginia Home For Sale is now!  But is this true? or are they just trying to drum up business for themselves?

We at the Northern Virginia Real Estate Times agree with local Northern Virginia Real Estate Agents that say the time to List your Northern Virginia Home For Sale is now, and we will give you reasons why we agree with them.

Top 5  Reasons Why You Should List Your Northern Virginia Home For Sale Now:

1) Inventory Levels: Inventory Levels in parts of Northern Virginia and Washington DC are at all time lows.  This means less competition and a better chance that you will get multiple offers and receive the offer that is close to your asking price, provided you have priced your home well to begin with.

2) First Time Home Buyers Tax Credit: The government extended this program through the end of April, 201o.  Whether they extend the deadline or not is anyone’s guess.  Home Buyers who plan to take advantage of the tax credit and haven’t yet will have to move quickly in order to close prior to the deadline.  This gives you the opportunity to get your Northern Virginia Home Sold if you have priced it correctly.

3) Move Up Buyers & The Expanded Tax Credit: The government expanded the Home Buyer Tax Credit to current home owners when they extended the First Time Home Buyers Tax Credit.  However, this to is scheduled to expire at the end of April, 2010 as well.  Whether they will extend this program yet again is anyone’s guess, but why take the chance that they might not.

4) Mortgage Backed Securities (MBS): The government is set to discontinue buying Mortgage Backed Securities at the end of March, 2010.  Whether they extend this program again is anyone’s guess.  As long as they continue to buy them chances are they Fed will not raise interest rates although anything is possible. If interest rates rise this could prevent some buyers from being able to qualify and purchase a home.

5) Interest Rates: Interest Rates are at all time lows.  The 30 year Fixed Rate is at 5%.  People have been spoiled with these rates and take them for granted.  Chances are they will begin to rise soon after the government ends their program of buying Mortgage Backed Securities.  If this happens potential Home Buyers who didn’t take advantage of these rates may not qualify and lock themselves out of the market.

The time to List your Northern Virginia Home For Sale is now.  Contact a local Northern Virginia Real Estate Agent today to discuss Listing your Northern Virginia Home For Sale.  Be sure to tell them to advertise your Northern Virginia Home in the Northern Virginia Real Estate Times until it sells.  This will give your Northern Virginia Home the marketing exposure it deserves!

Northern Virginia Real Estate Times

DLS Construction Group

Hi there! Today I would like to talk to you about home inspections. Are you a realtor who needs or is looking for a home inspector?  Well I would like to say that you have found what your looking for. In my opinion a contractor is the best home inspector you could possibly ask for. All perspective home buyers and realtors should look at using Class A Licensed Contractors’ for all their home inspection needs. The reason I say this is because anyone can print a business card that says they are a “home inspector“. There are courses available to become a home inspector, but they are not required to become a licensed contractor. Given the environment of the housing market, are you really sure you can trust who you are dealing with and what you are buying? Maybe you were told the inspector was trained or maybe a home inspector said he/she was trained. Trained to do what exactly? That’s the real question you should be asking? You need to ask this person a few thinks like… have you ever worked in construction, do you know the building codes? What if repairs need to be made, does this person know the “true” costs for those repairs? Well, I think not. Yea sure they may have an idea and blow a bunch of smoke to make it sound good. But if you had a Class A Contractor working on your side, then that person is going to be able to tell you the “true” cost of repairs and possibly give you a verbal estimate to have the repairs completed.  My husband and I recommend that you get at least 3 estimates and choose the one that is right for you, because using a reputable contractor is the safe route to take. A Class A licensed contractor will  know the in’s and outs of a house better than a person who has never held a construction job. Plus you will get the added benefit of looking up their License with the State to verify their license status. Also, in the State of Virginia all licensed Contractors need to have insurance, this should put your mind at ease with the person you are dealing with. We offer Home Inspection services to all our clients. Please give us a call for all your housing needs, whether your looking to sell, and need repairs before you market you home Or  maybe your happy where you are and are looking to remodel or expand your home in some way? All our Estimates are FREE. We are available 7 days a week to meet all your housing needs. Thank you for choosing DLS Construction Group LLC

DLS Construction Group LLC
P.O. box 503
Bristow, VA 20136
(703) 396-8781 - main

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Northern Virginia Real Estate Times

Pending Home Sales Index Drops 7.6% In January But Up 12.3% From A Year Ago

The Pending Home Sales Index Fell 7.6% in January 2010.  However, The Pending Home Sales Index is up nearly 12.3% from a year ago.  Keep in mind that the Pending Home Sales Index is based on contracts signed in January 2010.

Regional Index Results For January

Northeast Down 8.7%

Midwest Down 8.9%

South Down 2.1% Keep in mind this is the biggest region and Virginia is included in this section.

West Down 13.2%

Northern Virginia Real Estate Times

Existing Home Sales Down 7.2% In January & Up 11.5% Year over Year

Existing Home Sales are Down for the month of January 2010 by 7.2%, however, dont let that discourage you.  Year over Year Existing Sales are UP year over year by 11.5%.  This when you compare January 2009 Existing Home Sales to January 2010 Home Sales.

Existing Home Sales By Region

North East: Existing Home Sales fell 10.9% and on an 820,000 annual unit pace.

Mid West: Existing Home Sales fell 6.9% and on a 1.08 million annual unit pace

South: Existing Home Sales fell 7.4% and on a 1.87 million unit pace.  Keep in mind this is the largest region in the country and Virginia is included in this region.

West: Existing Home Sales fell 5.2% to a 1.28 million unit pace.

Distressed Sales: These accounted for 38% of sales in January.  This is hihger then December 2009’s number of 32%. All Cash deals represented 25% of all sales.  This number is also higher then the average number of 10%. Finally investors are active while traditional buyers are sitting on the fence deciding whether to jump in.

Northern Virginia Real Estate Times

Home Sales Increase Nearly 14% In The 4th Quarter Of 2009

According to the National Association Of Realtors, Home Sales nearly increased by 14% in the 4th quarter of 2009.  However, less than half of the Metro Regions, 67 of 151 saw higher prices in the 4th quarter of 2009 year to year.

Median Home prices were down 4.1% year to year.  This is the smallest price decline in nearly 2 years.  This shows us that home prices are stablizing in the low end to median price point range.

Northern Virginia Real Estate Times

Arlington VIrginia Average Days On Market January 2010

Are you Selling your Home in Arlington Virginia?  Are you considering Listing your Arlington Virgnia Home For Sale?  Here is the the Average Days On Market Report for Arlington Virginia.

Northern Virginia Real Estate Times

Alexandria Virginia Average Days On Market Report January 2010

Are you selling your Northern Virginia Home in Alexandria Virginia or considering Listing your Alexandria Home For Sale?  Here is the Average Days On Market Report for Single Family Homes in Alexandria Virginia.

Northern Virginia Real Estate Times

Bristow Virginia Averages Days On Market January 2010

Dumfries Virginia Average Days On Market January 2010

Manassas Virginia Average Days On Market January 2010

Woodbridge Virginia Average Days On Market January 2010

Haymarket Virginia Average Days On Market january 2010

Are you selling or considering Listing  your Northern Virginia Home in Prince William County Virginia?  The above charts show the Average Days On Market for single family homes in Prince William County for the month of January 2010. This shows you the one week average Days On Market versus the Ninety Day average Days On Market for the following Towns & Cities.

Bristow Virginia

Dumfries Virginia

Gainesville Virginia

Haymarket Virginia

Manassas Virginia

Woodbridge Virginia

Northern Virginia Real Estate Times

Existing home Sales Up For November In Northern Virginia & Nationwide

According to the National Association of Realtors ( NAR), Existing Home Sales were up 7.4% in November.  This accounts for 6.54 million units and is the highest increase since February 2007. This is an increase of some 44% since November 2008, and marks a new record.

The National Association of Realtors believes this number was juiced up due to the expected expiration of the First Time Home Buyers Tax Credit.  51% of all sales in November were bought by First Time Home Buyers.  Inventories have also decreased to a 6.5 month supply.

The Median Home Price of a home in November was $172,600 this marks a decrease in value of nearly 4.3%.  Distressed Sales are those made up of Short Sales and Foreclosures which made up 33% of all Sales.

Single Family Home Sales rose nearly 8.5% while Condo Sales were essentially flat.

Regional Breakdown:

All areas were up.

North East: Sales were up 6.6%

Midwest: Sales were up 8.4%

South: Sales were up 4.8% ( Virginia )

West: Sales were up 10.6%

Most of the activity is on the low end of the market.  71% of all home sales in November were under $250,000

We should see mortgage rates begin to climb, especially after the Fed ends their program of buying Mortgage Backed Securities at the end of March.  Already we are seeing them move upward.

The wild card to sustaining a market correction in the Housing Market is Foreclosures which are still rising as well as many banks holding onto a lot of inventory.

Northern Virginia Real Estate Times

Washington DC Market Has Hit Bottom And Market Value Increase

The website Zillow reported that there were 12 Housing Markets Nationwide that have hit bottom, or coming off the bottom with regards to Home Values.  Of these 12 markets, both the Washington DC area, as well as the Baltimore Area were named in their report.

Zillow reports that these cities saw their bubbles burst but have since experienced month to month price appreciation, as well as six months of favorable change.  Zillow believes it is reasonable to suggest that these local markets are at, near, or just coming off the home value bottoms.  Zillow does throw in one condition with regards to foreclosures.  If foreclosures in these areas begin to increase, it could possibly derail any markets recovery.

According to Zillow, Washington DC is off its peak with regards to house values by 25.5%.

Northern Virginia Real Estate Times

Party At Marty's House Come One Come All

Congratulations you just hired a Northern Virginia Real Estate Agent that was recommended by your Aunt Sally on your Mothers Side, and your crazy Uncle Bernie whom no one talks to.  The only condition you gave your new agent was to advertise your Northern Virginia Home in the Northern Virginia Real Estate Times until it sells.  Your newly hired Real Estate Agent being very tech savvy agrees to this term because of the exposure the listing will receive as once it is published in the Northern Virginia Real Estate Times it is syndicated to Google, Yahoo, Twitter, Facebook, their Facebook Blog, and many more places ensuring both your listing as well as your newly hired Northern Virginia Real Estate Agent get the marketing exposure they deserve.

The ink hasn’t even dried on the Listing Agreement when she tells you that she will be having a Brokers OpenA Brokers Open you ask? Yes, next Tuesday after the sign goes up in the front yard, the house is staged by a Certified Staging Professional for the Virtual Tour and Photos the Photographer is going to take on Monday.  Yes a Brokers Open.  Think of it as a party of sorts to show your Northern Virginia Home to a network of agents I know to get their opinion as to the price of the home, condition of the home, as well as various other pros and cons about your home.  So what your telling me is that your going to throw a party at my home, invite a bunch of strangers to my house to eat and drink and sit around and critique my home, and we are  not invited? Yes that’s right she exclaims.  Speaking of eating and drinking she tells you  that reminds her to contact her caterer for food and beverages.  She then tells you that a lender and title company representative will be here as well and provide fliers for the brokers open. She also mentions that she needs to get desert, as well as get gift cards for a restaurant and a gas as prizes for a drawing, and balloons.

Tuesday comes and you leave your home as the Brokers Open is from 11:00 -2:00pm.  Your nosey neighbor whom you never liked and quit possibly part of the reason you want to move in the first place notices your Northern Virginia Real Estate Agent arrive at your home at 1o am sharp after placing one last directional sign at the corner of your block.  She notices your real estate agent attaching balloons on the mailbox at the end of the driveway, and retreat back into the house.

Your neighbor continues to peer into the windows of your home from the sidewalk and notices your real estate agent walking throughout the house and turning lights on, and then you here the faint sound of what some might call elevator music.  No sooner then she turns to walk back home, when she sees the Catering van pull up with enough food and beverages to feed a small army.  “She swears she can smell Shrimp Cocktail”. Two more cars pull up shortly after the Catering van leaves.  Its the representative from the Title Company, and the other the Lender.

No sooner does your loving neighbor walk back into her home, when she hears and sees a stream of cars coming down what is normally a quiet dead end street from her front window.  Car after car appear some with signs on them that say Keller Williams Realty, Remax, Weichert, Century 21, Long And Foster, and Coldwell Banker, just to name a few.

The street is covered on either side with cars, some even double parked.  She watches as they get out of their cars, some with two, three, four and even five people in each car.  After about 25 she stops trying to count.  For the next 3 hours she hears all kinds of talking, and laughing, real estate agents coming and going. Alas, the party at your home for which you weren’t invited to has ended.  The house has been cleaned the music turned off, the balloons and directional signs taken down and that quiet dead end street is once again.

No sooner do you pull into your driveway, when you see your neighbor marching up to you to tell you about today’s events.  Not to mention the noise and parking conditions.  She begins to give you a full run down about how many people came and how loud it was.  Your happy about the report of many agents, but eager to get away from her and go inside after a long day at work.

So what was the purpose of the Brokers Open?  The Real Estate Agent you hired was the first piece of useful advice your Aunt and Uncle ever gave you.  The Agent has called you to inform you on the feedback they have received from all of the real estate agents that attended the Brokers Open.  You see while they were talking and laughing amongst each other, they were also walking through the home and evaluating it.  Writing down their opinion on a comment sheet your real estate agent provided them with.  Asking them what they thought about the price, the condition of the home, the pros and cons, as well as any other advice they may have in order to get your Northern Virginia Home sold.  Your real estate agents takes all the comment sheets and creates a report for you to evaluate and consider any advice given.

Is it possible anyone of these real estate agents may have a buyer that may be interested in your home? Yes? But it is a good way to get the opinions of Northern Virginia Real Estate Agents, some with many years of experience, so you can make an educated decision on what may be one of the biggest financial decisions you will ever make.

We want to hear from real estate agents throughout Northern Virginia.  Do you think it is useful to hold a Brokers Open even in a market like this?  Our readers would love to hear from you.

Northern Virginia Real Estate Times

Diana O’lick of CNBC reports that Existing Home Sales jumped 10.1% in October.  Nearly 6.1 million Units sold which is up 23.5% from October, 2008, or year to year.  These numbers both mark record highs.

Home Sales were Up:

11.6% in the Northe East

14,4% in the Mid West

12.7% in the South

1.6% in the West

The median home price is $173,000, which is down 7.1% from a year ago.  Inventories fell 3.7% to 3,57 million homes which makes up a 7 month supply.  this marks the lowest inventory levels in 2.5 years.

Distressed Properties are still making up 1/3 of all home sales.  First Time Home Buyers are making up 33% – 40% of all home sales.  One good sign we are seeing is that home sales are increasing in the fall and winter months which is traditionally the slow season.

We are finally seeing some movement in the 250K – 500k range.  We are even seeing some inventory move in the 500k – 750k market.  However, above that not much change.

Here in Northern Virginia, we are seeing very low inventories.  We are seeing low end and distressed properties moving.  We are seeing First Time Home Buyers having to compete for these low end priced homes with investors you are offering banks all cash offers.  Some Home Buyers are having to make offers on multiple homes before they received an accepted offer.  The Northern Virginia Real Estate Market has also seen home prices fall as well just like they are nationally.

Northern Virginia Real Estate Times

Fannie Mae Announced today a New Program for Home Owners who are facing foreclosure who dont qualify for a Loan Modification to sign the lease over to the Lender and then rent back the property for a year or more based on market rates.  This shows you how hard it is for banks to move these properties, turn them over, and sell them back.  Fannie Mae also requires that they be Owner Occupants of the property.  Fannie Mae will agree to allow Home Owners to stay in their home in cases where a home owner does not qualify for a loan modification provided they sign over the deed of lease back over to the bank.  This report provided by  CNBC and Diana O’lock.

Many Home Owners in Northern Virginia are facing foreclosure.  Many do not qualify for a loan modification due to a job loss.  If Fannie Mae is offering this rent back option to these people and agree to rent back to the Home Owners at market rate, how many of these people will be able to afford to rent back their own home for a specific period of time?  Who determines what that market rate truly is?

Northern Virginia Real Estate

Home Prices Surge in September, 2009.  The annual  rate of decline for home prices are improving as reported by Diana Olick of CNBC.  The Home Price Index shows an increase month to month in August, 2009. This is the fourth consecutive increase.  Keep in mind that Home Prices as a whole are still down, but have home prices bottomed?

The annual rate is improving as well.  Home Prices have increased for the seventh straight month.  Standard & Poors, David Blitzer, stated that we are seeing a slow but steady improvement.  He also mentioned that we are turning a corner.  However, he is concerned about the First Time Home Buyer Tax Credit expiring.

Home Sales that were priced from $0 – $250K made up nearly 70% of all Home Sales.  Homes from 250K -500K made up 22.2%, Homes from 500k-1M made up just 6.9%, and finally Homes from 1M+ made up just 1.3% of sales.

As you can see nearly 70% of Sales are under 250k. This is thanks in part to the First Time Home Buyer Tax Credit set to expire in November

Northern Virginia Real Estate Times

Diana Olick of CNBC reports on Us Home Prices for the month of August, 2009.  Keep in mind these reports are usually a month or month and a half behind as it takes time to crunch the numbers.  Pretty much anything that is moving is Fannie Mae and Freddie Mac Loans with regards to Sales Transactions.  The index is down 10.7 % below its April peak in 2007.  Home prices are down 0.3 tenths of one percent month to month.  However year to year Home prices are down 3.6% year to year.

In Northern Virginia, Short Sales and Foreclosures are bringing home prices down.  Although we have seen an increase in sales prices, traditional sales ( not a Short Sale or Foreclosure) are finding it hard to get the asking price they are wanting.  This despite the lack of inventory of homes.

Northern Virginia Real Estate Times

You May Qualify For The Making Home Affordable Program

Many people in Northern Virginia are finding it more and more difficult to paying their mortgage.  Unemployment is up, home prices have dropped, and find they owe more money to their lender than what they can sell it for.  You find yourself not knowing what your best option might be.

Do you sell your home and see all of your equity disappear, perhaps your upside down and would have to bring money to the table in order to close.  This is known as a “Short Sale” .  What if you dont have the money to being to the table?  Can you still have a “Short Sale“, or is a Foreclosure the only option you have? Perhaps you like your home and would like to continue living there, and could afford to if only your monthly mortgage payments were not so high.

Have You Thought About A Loan Modification? Many  people do not even know that this is a viable option for them.  Yet it could make the difference in whether or not you can continue living in your current home, and pay a much lower mortgage.  The Obama Administration has implemented a Financial Stability Plan called “Making Home Affordable” This plan was implemented to help stabilize the housing market, and help homeowners stay in their homes.  Best of all, there is no cost to you to apply.  The First step is to find out if you are eligible to participate.  There are Two Roads You can go down

Home Affordable Refinance:

Many homeowners pay their mortgages on time but are not able to refinance to take advantage of today’s lower mortgage rates perhaps due to a decrease in the value of their home. A Home Affordable Refinance will help borrowers whose loans are held by Fannie Mae or Freddie Mac refinance into a more affordable mortgage. Find out if you are Eligible

Loan Modification:

Many homeowners are struggling to make their monthly mortgage payments perhaps because their interest rate has increased or they have less income. Find out if you are Eligible

Who Services Your Loan?

The Servicer is the bank for which you have been sending your monthly mortgage payments to.  This could be Chase, Bank Of America, WaMu, or any number of banks that offer home loans.  Why do I being this up?  In order to participate in this program, you have to work with your current bank.

What if I have a Second Mortgage?

The program is only designed to assist you with your primary mortgage. It will not effect nor changes the terms and conditions of the second mortgage.

Who Owns My Mortgage Loan?

If your mortgage loan is owned by Fannie Mae or Freddie Mac, you may be eligible for a Home Affordable Refinance to take advantage of lower interest rates. Only loans owned or guaranteed by Fannie Mae or Freddie Mac are eligible. Your mortgage company can tell you who owns your loan, or you can contact Fannie Mae and Freddie Mac directly by clicking on the links below and completing the forms for each company.

Fannie Mae – 1800 7FANNIE – Fannie Mae Loan Look Up

Freddie Mac -1800 FREDDIE- Freddie Mac Loan Look Up

What If Neither Fannie Mae or Freddie Mac Own My Loan?

What if i find that neither Fannie Mae or Freddie Mac dont own my loan?  Am I still eligible?  The answer is yes, however you may need to find out exactly who owns it and call 1 888 995 HOPE

Are You Eligible? If so Contact Your Mortgage Servicer:

Once you have determined if you are eligible for a Home Affordable Refinance or Modification, the next step is to contact your mortgage servicer to discuss your situation. A wide array of servicers have agreed to participate in the Home Affordable Modification program and have already engaged borrowers and expanded capacity to begin the modification process for eligible homeowners. In addition, all  servicers for loans owned by Fannie Mae and Freddie Mac are required to participate.The following is a list of servicers who have formalized their commitment to the program through a signed contract Click Here For A List

CHECKLIST

Here are some things you will need in order to complete a Loan Modification

• Information about the monthly gross (before tax) income of your household, including recent pay stubs if you receive them or documentation of income you receive from other sources.
• Your most recent income tax return.
• Information about your savings and other assets
• Information about your first mortgage, such as your monthly mortgage statement.
• Information about any second mortgage or home equity line of credit on the house.
• Account balances and minimum monthly payments due on all of your credit cards.
• Account balances and monthly payments on all your other debts such as student loans and car loans.
• A completed Hardship Affidavit describing any circumstances that caused your income to be reduced or expenses to be increased (job loss, divorce, illness, etc.) if applicable

Payment Reduction Estimator

Under the Home Affordable Modification program, the target maximum amount for your mortgage payment (or mortgage debt-to-income) should be 31% of your gross (pre-tax) monthly income. This Payment Reduction Estimator will determine what your current mortgage debt-to-income is and how much your monthly payment may be reduced if you qualify for a modification.

Do not include any payments on your second mortgage. You may have taxes and interest in escrow added to your monthly payment already, so be careful to count taxes and escrow only once.

Payment Reduction Estimator – click here

Modification Evaluator:

Use this tool to determine if you may be eligible for the Home Affordable Modification. Simply enter your current monthly gross income. The tool will calculate a mortgage payment guideline amount. If your current mortgage payment is above this amount and you meet the other Home Affordable Modification guidelines, then you may be eligible Modification Evaluator - Click Here

Loan Modification Paperwork Example:

The following is an example of the forms needed for a Loan Modification with Chase. If Chase is your mortgage servicer, you can print these off and begin the process – click here

Forbearance:

Can I ask for Forbearance while I await the results?  The Answer is that it will be up to your service provider to allow you to do so.  This allows you permission to not pay your mortgage payment during this time.  Please note however, that if you have a second mortgage, this only effects your first mortgage.  It may be wise to continue paying your second mortgage or contacting them as well during this process.

What Can They Do For Me To Modify My Loan?

They can do a combination of things.  They can appraise your home and reduce the mortgage amount based on what you owe and what the home is worth.  They can also reduce your interest rate down to as low as 2%.  The idea is to get your mortgage payment down to between 31% – 38% of your gross monthly income.

What If They Modify My Loan & I Still Cant Afford It?

You have gone through the process of filling out the forms and modifying your mortgage.  However, due to your circumstances, to much credit card debt, loss of a job during the process, or whatever, you still cant afford to make your monthly mortgage payments.  Perhaps due to your circumstances you were unable to qualify.  You may want to consider a Short Sale at this time.

Short Sale Process:

The good news is that those forms you spent hours on putting together and sending to your mortgage servicer are still valid.  These are the exact same forms you would need to fill out anyway in order for your mortgage provider to make a decision with regards to what they will allow you to price your home at in order to satisfy the lender.  All you have to do is contact your Real Estate Agent, give him your information.  Explain that you went through the loan modification process already and that you still need to conduct a short sale.

Your Agent should understand the Short Sale Process and contact the Lender to let them know they are representing you and be able to help in providing comps to the lender so that they can get an agreed upon price for which to list your home for.  There is no need to haggle with the Real Estate Agent over commission rates as it will be the lender and NOT you  that will end up paying both the Listing Agent & Buying Agent. This allows you to rest easy and just focusing on choosing the right Real Estate Agent that is well versed in Short Sales, so as to make this process run as smooth as it possibly can.

Will My Lender Still Want Me To Continue Making Payments?

Chances are they will.  But Perhaps you cant due to financial constraints or loss of job.  You can once again ask for forbearance while the Short Sale process is taking place.  If they decide during this time not to work with you or begin the foreclosure process, you do have another option although it is in my opinion the last resort.  Contact a Bankruptcy Lawyer and find out your options.  This should stop the Foreclosure process at least temporarily. Again we highly suggest speaking with a bankruptcy attorney to learn your options.  Many attorneys will allow you to come in for a free half hour consultation.

What if I Sell My Home During A Short Sale? Am I Responsible To Pay The Difference?

Again this all depends on the remaining difference, and your lender.  You could find that you may be required to pay a percentage of the difference and given a time frame to pay it back.  No one wants to continue paying on a loan for a home they dont live in.  Again we highly suggest that you contact an Attorney that practices Real Estate Law, and or Bankruptcy.

Can I Ever Qualify For A New Home Even If I do A Short Sale, Have A Foreclosure, or File For Bankruptcy?

The answer is yes.  Chances are a Short Sale, Foreclosure, or Bankruptcy, or yes, any combination of these will adversely affect your credit for years to come.  The truth however is that you could be eligible within three years to qualify and get approved for a new mortgage provide your credit is worthy and you have enough money to qualify.  Many people dont realize this is possible.  It is hard to start over we know, but sometimes a fresh start is the best alternative.

If you have any questions regarding this article, or are considering a short sale in Northern Virginia give us a call to discuss your options.  We would love the opportunity to assist you in this process and make your Short Sale go as smooth as possible.   Call us at 703 637 0610 or email us

Northern Virginia Real Estate Group

Keller Williams Realty

304 East Chincoteague Court Purcellville, VA 20132

FOR SALE: $440,000

Owner / Agent

Well Mantained Home on Quiet Cul-de-Sac lot.  Two Car Side Load Garage.  Floor to ceiling stone fireplace in family room.  Gourmet Kitchen with upgraded appliances and cabinents.  Library, Living Room, Dining Room, Breakfast nook.  4 Bedrooms upstairs with large Master Bath and His & Her Closets in Large Master Bathroom with cathedral ceiling. 2nd Full bath Upstairs.  Hardwood Floors in Foyer, Hallway, and Library.  Fully Finished Lower Level with wet bar, Full Bath and over 1,000 additional squarefeet of living space.  Walk to Town and W O & D Trail. Traditional Sale!

More Photos

For More information or to schedule a showing contact:

Steve Leiby

Northern Virginia Real Estate Group Keller Williams Realty

www.CallLoudounCountyHome.com

703 637 0610