Saturday, October 28, 2006

Help with Foreclosure

Facts : Foreclosures are costly to the Mortgage Industry !! as well as to the city governments, neighborhoods and familes facing foreclosures.

The Homeownership Preservation Foundations was created to help reduce foreclosures and preserve homeownership for American Familie in crises.

Please call them too free : it’s a 24/7 hotline for homeowners in need of foreclosure counseling. The number is 888-995-Hope (4619). The non-profit is staffed by specially trained foreclosure counselors working for one of four HUD-approved counseling angecies. The call is offered free of charge to any homeowners in the US.

Source : dsnews

Stopping Foreclosures | Foreclosure Help

Wednesday, October 18, 2006

How To Profit from the Coming Foreclosure Real Estate BOOM!

How To Profit from the Coming Foreclosure Real Estate BOOM!

A smart real estate investor will know that using leveage and following a system can net terrific profits in real estate. Particularly with foreclosure properties. Foreclosures are a great way to build a fortune. Now more than ever, because real estate foreclosure rates are the highest we've seen in 46 years...

Here’s a basic strategy investors with foreclosures:
A foreclosure home is up for sale. It's worth $350,000 according to comparable real estate appraisals, but the bank's asking price is $300,000.

The savvy investor will have a contractor or home inspector on their power team check out the foreclosure property in question. In this case, they discover it needs $20,000 of work.Interestingly enough, many real estate homebuyers will pass right over the foreclosed property. Because unlike an investor, they "think" it's ugly.

This real estate offers a handsome opportunity for an opportunistic real estate investor. Savvy investors will also use the Multi-Offer Strategy Technique in a Foreclosure…

This technique uses the principle of offering ‘choice’ to the eager seller – the bank - after it has been on the market for 60 days. Here, the investor submits three offers at a variety of prices ranging from $210,000 to $225,000. They do so by submitting an offer in their personal name, another under their partner's name, and the other under a company name. These offers are presented by the Realtor to the bank's loss mitigation department whose sole job is to sell off the banks non-performing assets as quickly as possible. Even if that means the bank registers a loss on the loan of the property by selling to the investor.

Since they are buying through a bank's loss mitigation department, their offer of $225,000 is accepted - even though it is well under the asking price. This strategy can work great in a foreclosure-heavy market like Detroit and Denver, Colorado. Yes, foreclosure real estate in Denver and foreclosures throughout Colorado's real estate market are high. And banks in these markets truly are motivated sellers.

That's not all!

The savvy investor experienced in the real estate contract with a foreclosure will actually get the bank to give them a mortgage for the $225,000. Once the home loan goes through, the investor closes on the real estate, using a 10% down payment from a private lender. The investor then immediately sells the property to another “fix and flip” investor, and nets at least a $75,000 profit.

All this by selling it at the original asking price rather, than the actual real estate value of the property! Foreclosure real estate is skyrocketing. Being a real estate investor with this one niche can help you become a multi-millionaire. Discover more real estate investing tips, deal alerts, and receive valuable foreclosure resources and contracts by visiting today. It could literally change your life!

Discover How To Buy & Profit from the Foreclosure Real Estate BOOM without Cash and Bad Credit! Foreclosure real estate is soaring to all time highs since the 1960's. Now more than every before, fortunes can be made with foreclosure real estate more quickly than in the past. Learn how to buy and profit from the foreclosure real estate boom in north america, even if you have little cash and poor credit.

Monday, October 09, 2006

Foreclosures - Take Action Early

If you’re looking at the potential for foreclosures, the worst thing you can do is take a “wait and see” attitude.

In fact, the earlier you can start talking to – and negotiating with – your creditors, the better.

Start early actually means that you should contact the person or company that holds the title to your property as soon as you think you may be in trouble. It’s tempting to avoid the problem to the point of not answering the telephone when those creditors call, but that’s not going to solve the issue. In fact, creditors who aren’t getting answers or satisfaction are more likely to take action than those with whom you’ve been talking.

Another reason you should start talking to your creditors well before foreclosure becomes immediate and unavoidable is that you have more options at that point than when the creditor is already taking action. One of those options could be the chance to renegotiate your loan. You might be eligible for a refinancing loan that will stretch your payments out over a longer period of time, meaning you’ll have lower monthly payments. That could significantly increase your ability to make those payments on time. Not only could you be eligible for a longer payoff, you may also qualify for a loan that’s larger than your current payoff. That means you could get some cash back from refinancing your loan. If you’re having trouble meeting other bills as well because of some short-term issue, this influx of cash could be the answer you’re looking for.

If you take time to contact your lender, you may also find them willing to give you a break on a payment or two. Some lenders will allow you to pay the interest due, putting the rest of the payment off until the end of your note. While you probably won’t have the option to do this more than once or twice, it could be the answer to short-term problems that sometimes hamper the ability to make payments on time.

It’s human nature to avoid confrontations, including those that occur when you’ve had trouble making your payments on time. But this isn’t a situation that’s going to resolve itself. Take time to contact your lender. Explain as much of the problem as you can and ask for advice. You’ll find them much more willing to negotiate with you early in the process than after you’ve missed several payments. Dave is the owner of and websites that provide information on home foreclosures

Tuesday, October 03, 2006

Mortgage Foreclosure in Minnesota

1. How is a mortgage foreclosed in Minnesota?

In Minnesota there are essentially two ways that a mortgage can be foreclosed. The first way to foreclose is through the process of foreclosure by action. In this process, the mortgage holder files a lawsuit in district court against the homeowner and any others claiming an interest in the property. The matter will proceed with the timing of a normal lawsuit. If successful, the court will enter judgment of an amount due with costs and disbursements and order the sale of the property by the sheriff in order to satisfy this judgment. The sheriff will conduct a “sheriff’s sale” described below.

Foreclosure by Advertisement. The second and most common way for a mortgagee to foreclose on a mortgage on Minnesota property is through the process referred to as foreclosure by advertisement. Essentially, foreclosure by advertisement allows the mortgagee to publish in a legal newspaper that the mortgage is in default and that a sale of the property subject to the mortgage will be held on a specific date. If the property owner fails to cure the default before the sale, the sheriff will conduct a “sheriff’s sale” described below.

2. When is mortgage foreclosure by advertisement available?

A mortgagee may foreclose through the advertisement process if the mortgage contains a permission to foreclose by advertisement (most mortgages do) and there is a default in a condition of the mortgage. Additionally, the mortgage must have been recorded or duly registered. (Most are.)

3. What notice must be provided in order to foreclose by advertisement?

The mortgage holder must publish notice that the mortgage will be foreclosed by sale by providing six weeks published notice in a legal newspaper. Additionally, this notice must be served personally on the occupant of the property at least four weeks before the sale. The notice must contain the date of mortgage, when and where recorded or registered, the amount due on the mortgage, the time and place of sale, and time allowed for the property owner to redeem after the sale among other things.

4. What happens at a sale?

Essentially, the sheriff or deputy auctions the property being foreclosed to the highest bidder. The sheriff or deputy will deliver to the purchaser (usually the mortgage holder) a Certificate of Sale, which will be recorded within twenty days after the sale and operates as a conveyance of the foreclosed property after the property owner’s redemption period expires.

5. May the foreclosed property owner regain title to the property after the sale?

Yes. In most cases, the foreclosed property owner has six months to redeem the foreclosed property from the purchaser at the sale. To exercise their right to redeem the property, the foreclosed property owner must pay the purchaser the amount of the sale plus interest from the time of the sale. In some instances, this redemption period will extend up to one year after the sale of the property has occurred.

Usually this redemption is completed by refinancing the property or by selling the property within the redemption period.

6. Does the property owner have the ability to reinstate the defaulted mortgage prior to the foreclosure sale?

Yes. In Minnesota a property owner has the right to pay amount in default and resume to make the monthly payments (“reinstate”). To successfully reinstate, the property owner must pay the mortgage holder the amount in default, including insurance, delinquent taxes, interest, cost of publication and service, and attorney’s fees. (The amount of attorney’s fees is limited by law.) The effect of making this payment is that the mortgage is reinstated and foreclosure proceedings are abandoned.

This article was written by Attorney Mike Kallas of Kallas Law in Minneapolis Minnesota. The Law firm specializes in business and real estate law.

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