How I Saved My Home From Foreclosure

Writen by A. Annika Smith

If you are behind on your mortgage payments for any reason job loss, medical expenses, and/or unexpected emergencies don’t panic! You CAN save your home and you don’t have to spend a lot of money to do it.

It happened to me. I am extremely grateful I still have my home. After losing two jobs during the dot com bust and 9/11, I found myself unemployed and unable to pay my mortgage, not to mention any of my other bills. I was alone and afraid. I didn’t know whom to turn to and I didn’t have a lot of money to pay an attorney or seek other help. I sincerely hope that you don’t find yourself in this situation, but if you do, immediately take the steps that I took so you can also avoid losing your precious home. This list is in order of importance.

1. Contact Your Mortgage Company
Call your mortgage company immediately, even if you are technically not yet behind on your payments.Your lender is not in the business of taking homes; believe me, they make far more money lending your mortgage payment to other homeowners. Your lenders may work out a payment plan that will help you until you get back on your feet. There are many different plans they may offer you a temporary grace period, a temporary reduction of payments, or, if you have already missed payments, stretching those missed payments for a period of time.

If you are already in foreclosure, you can still work with your mortgage company! I did. I worked out a “forebearance agreement”. I had to pay my regular mortgage payment plus a portion of the missed payments every month. I also had to agree to send the funds certified or else they would have taken my home.

2. Speak To An Attorney
Attorneys are expensive. I wouldn’t advise paying one at first. Try to find an attorney that will give you a free consultation, or consult Legal Aid. The money that you do have should be earmarked to pay your mortgage. That being said, if you cannot find free or cheap advice, I would then spend the money for an attorney. I was lucky. I asked around and I spoke to a friend of a friend for free. You don’t need an attorney until you have to go to court then, please hire one!

3. Reduce Your Other Expenses
I immediately cut off my cable, reduced my cell phone plan minutes (I still needed mine for job searching), and made other cuts to my spending until I got back on my feet. For me, that also meant temporarily changing my dietary habits and purchasing cheaper food. I travelled less so I spent a lot less on gas and train fare. If you can, cancel your registration and insurance on your car so you can save those payments. Little changes go a VERY long way. Remember, it’s only temporary.

4. Rent Your Rooms
I had three extra rooms in my house and immediately furnished and rented all of the them. This single step helped me save my home. I checked with my town to verify it was legal for me to do so. I used VERY little money to get this going. Once I was started receivng rent from my tenants, I was able to give more to the mortgage company. The benefit of this is that you will get money without working and you can deduct your expenses as a business!

5. Have A Yard Sale
Sell some of your things. I’m not talking about the family heirlooms here; I’m talking about extra pieces of furniture, used books, clothing, CDs, movies, etc. You’d be surprised how much money you can raise!

6. Spend Full Time Hours Looking For A Full Time Job
I have to tell you, for me this step was very hard. I did not want to look for another job, but I had to in order to save my home. For some, this step may take longer than others your mileage may vary. Looking for a job is numbers game network, post your resume on the job boards, look in the classifieds. It may seem like it will take forever, but you will find something. I promise.

7. If Feasible, Work Part Time
Unemployment checks did not pay my bills in the slightest. In addition, receiving rent for your rooms and collecting unemployment may be prohibited under law. Check with your local unemployment office. In the meantime, find a part time job even if you are making only minimum wage and get some cash in your pocket. This will probably get you more than unemployment will give you anyway! Some part time jobs have limited benefits as well. Plus, getting out of the house is a big energy booster. Having your home in jeopardy is very stressful and depressing. You NEED to get out of the house!

For some of you, health problems may prevent you from working, or you may have suffered some other unfortunate event that may not allow you to do all the steps above. At the very minimum, contact your mortage company and try to rent your rooms. If you can find a temporary place to live, you may want to consider renting your house in full. You may find a smaller or cheaper apartment or you may be able to stay with family and friends.

If all else fails, you may be faced with the choice of selling your home. Before you call a real estate agent or speak with an investor, call around and check the references of any agents or investors you consider. Not all investors are out to steal your equity or your home; many can make incredible deals with you that may even allow you to still live in your home and purchase it back, if push comes to shove. You may in fact be able to sell your home to an investor and save costly realtor fees. Be careful! Never make any decisions on the spot. Now would be a good time to pay for an attorney’s advice.

I made an agreement with my mortage company and rented out my rooms. I found a job, and then kept my tenants to help “catch me up” on my other bills. Then, I just enjoyed the passive income that allowed me to pursue my other dreams. Unfortunately, to get to this point, I did spend money on services that didn’t do anything I couldn’t do myself and, in fact, they ended up not helping me at all. There are plenty of free resources and articles that you can read to help you make the right decision. Good luck. You will be fine.

Annika Smith is dedicated to teaching others how to be not only financially free, but wealthy and happy. Want to be rich? It’s easier than you think. Follow the exact path Annika took to massively improve her life by checking free information at http://cluestocash.rentrooms4cash.info.

Basics Of Home Buying

Writen by Ron King

The most important investment you will ever make is probably the purchase of a home. Finding the right home for you can be a long and arduous process, but there is no getting around that.

Know Your Wants And Needs

Before embarking on your journey of house hunting, you must know what you really want to find. Sit down with pen and paper and list all the features you care most about, such as:

Location (in a particular city, school district or neighborhood)

Size how many bedrooms and bathrooms

Parking a 1 car garage or 2?

Style 2 story house or ranch style home?

Heating central heating and/or air conditioning?

Equally important, on a new sheet of paper list all the features you absolutely do not want in a house. For example:

high traffic area.

high noise area (airport, train station or highway in close proximity)

maintenance major repairs needed

As you look at houses, keep both lists in mind. Your lists may change over time as you do more looking. You’ll want to add or remove features, or perhaps you’ll become willing to make compromises. Realize that you most likely will not find the “perfect” home. Experienced homebuyers will tell you, perfect homes are not found, they are made perfect through hard work.

Get Your Credit Report In Order

Prior to looking at properties, you must get your finances in order. This is the time to review your credit report and clean it up, if need be, to maximize your credit score. Many people do not realize how important it is to check your credit report periodically to make sure it is accurate. You should pay off any past due amounts, or negotiate a settlement price to close the debt. Get such agreements in writing, before paying any settlement. Keep all receipts for any settled items from your credit report since it may take months to get the debt actually removed.

Research Your Home Buying Options

Decide what kind of property you are interested in. Do you want a HUD property, a foreclosure, real estate, or property for sale by owner?

A number of web sites list homes according to city, state, or price range. Visit these sites to see pictures of homes, many with virtual tours, and review the listing features.

Get Pre Approved For A Loan

You’re ready now to find a lender and get yourself pre approved for the loan. Being pre approved offers a number of advantages. It will clarify the price range you can afford. Also, once you find the home you want, you can place an immediate offer. If you have to wait for pre approval, someone could buy the house right out from under you.

Several special programs are often available from lenders, such as the FHA or Ameri Dream, that can save you money in the closing. Ask the lender about any special programs before you decide on a loan.

Find A Good Real Estate Agent

It is wise for the first time homebuyer to work closely with a real estate agent, no matter what type of property you’re looking for. A knowledgeable real estate agent will make your house hunting much easier. A good real estate agent is usually a good negotiator, and will be able to help you with the complicated paperwork involved in placing an offer on a house or in closing a deal.

It’s essential that you have a real estate agent working for you as the buyer, rather than relying on the seller’s agent for the house you want to buy. The latter can involve a conflict of interest, which usually works to your disadvantage.

To select a real estate agent, you should check with your friends and neighbors for recommendations. Find an agent you feel comfortable with and who is knowledgeable about the area you hope to buy in.

These are just the basics of home buying. You will find many details you need to master as you move through the buying process, but having these basics under your belt will give you a head start.

Visit Buy Home to learn more. Ron King is a full time researcher, writer, and web developer, visit his website at Articles for authors

Copyright 2006 Ron King. This article may be reprinted if the resource box is left intact and the links live.

Probate & Obituary Marketing

Writen by John Michael

I start my marketing with obituaries followed with probate filings and find it just another effective way to acquire property.

Short of courthouse research you can go to your local library and go to the reference department and research using what is called a Polk City directory that will list if the deceased party owns real estate.

I use a simple letter that has produced great response as follows:

This is the letter that I use.

Dear

I am looking at purchasing several properties at and around ________________________(property address) and would like to talk to you about the purchase of ________________________(property address) if you would be interested in selling.

Thank you for your time and you can reach me at ( )______ ______________.

Sincerely, John Michael

Did you know that;

*Having a will guarantees that your estate will go through probate? *Your exact probate cost is unknown but the average cost of probate is 4% to 10% of the gross estate? *The average length of probate throughout the country is 13 months? *90% of all estates of singe widowed adults age 60 and over go through probate? *Failure to utilize each spouse’s federal estate tax equivalent exemption can cost an estate up to $235,000 in unnecessary taxes?

*****END OF LETTER*****

Keep in mind that that normally you will have to have cash on hand to make this type of purchase but you will find some properties can be obtained through creative strategies.

Using creative strategies does work if only you ask. The worst that can happen is you will get a “NO”! So you get 100, 200 or even 300 no’s before you get a “YES” to your creative strategy such as a “NO MONEY DOWN”, “LEASE OPTION PURCHASE”, “SUBJECT 2″, “OWNER FINANCE”, or any other creative form of investing!

It only takes one “YES” to profit!

“You’re never a loser until you quit trying.” By Mike Ditka, Football Player, Coach

John Michael “King of Bling” Investor/Teacher/Mentor/Author Office (775) 535 1341 Toll Free: 1 877 225 5928 & enter 417862 3164 Fax (775) 307 6541 Email: john@jmichaelrei.com JMichael Investments: http://www.jmichaelrei.com/ Investing Club: http://jmichaelrei.com/html/join_stealth_rei_club.html Sister Site http://stealth.thecreativeinvestor.com/

Selecting a Lender What Kind of Lender?

Writen by Michael McClure

Another issue that many buyers fail to adequately consider when looking for a lender is this: what kind of lender should you use? Stated differently, the question is this: should you use a traditional bank or financial institution based lender, or a mortgage broker that is not tied to any one source of financing? Here are things to consider when making this decision

How Banks and Mortgage Brokers Differ

Once you’ve decided to obtain a loan, you have two basic categories of lenders from which to choose: bank/financial institution loan officers, or mortgage brokers. While both end up providing you with the same basic product – money to finance your purchase of a home – they provide that product in different ways, as follows:

Bank Loan Officers – Loan officers at banks, credit unions and other lending institutions are employees that provide funding that originates specifically from their employer. The primary perceived advantage of working with these types of lenders is that they are typically salaried employees, and as such are not motivated by the amount of commission they’ll make from pushing “lending product A” vs. “lending product B.” The primary perceived disadvantage is that you are limited in terms of the number of loan products they can offer, as they are only able to those loan products offered by their employer. Also, they tend to be less flexible when dealing with “problem” credit borrowers.

Mortgage Brokers Mortgage brokers are professionals who are paid a fee to bring together lenders and borrowers. They usually have relationships with tens, or even hundreds, of lenders, and they are able to originate loans from any of these sources. The perceived advantages of working with mortgage brokers are that they are more flexible, they can more readily deal with “problem” credit borrowers, and they have many more options from which to choose. The primary perceived disadvantage is that, because they are almost always paid on a commission basis, they sometimes steer their clients toward high margin loans, not necessarily the loan that is best for the client.

What Difference Does it Make?

In the end, you can have a great lending experience – or a bad lending experience – with either kind of lender. As in all things in life, there are good and bad people in all walks of life. The key thing is to simply be aware of the limitations of the lenders that you end up considering. If you have lesser credit, you’ll probably be better off going straight to a mortgage broker, simply because you will have more options from which to choose.

A mortgage broker may find you a lender in another part of the country. While this is generally a good thing, this can create problems when out of town lenders don’t understand certain nuances and colloquialisms unique to a given geographic area (e.g., septic systems, or specific classifications and terms used by local appraisers). These are just a few examples of problems we’ve seen that caused deferrals of loan approvals provided by a non local lender. Using a local bank can sometimes be a plus. Their underwriters generally understand the specifics of local properties, and there tend to be fewer last minute surprises simply because of that local knowledge.

Michael McClure is the founder of Professional One Real Estate, a brokerage located in Plymouth, Michigan. After graduating from Michigan State University with a degree in accounting, McClure worked as a Certified Public Accountant for Price Waterhouse for nearly a decade. After leaving accounting in 1991, he began selling real estate. To date, he and his partner, RE/MAX Hall of Fame Member Phyllis Lemon, have cumulative lifetime sales of approximately $500M. McClure also volunteers on the Professional Standards Committee (a self governing body of the local association of realtors that acts in a judge and jury like fashion regarding ethics complaints and arbitration disputes) of Western Wayne Oakland County Association of Realtors. He sat for and passed the State of Michigan’s Associate Real Estate Broker’s examination in December 1996. McClure and his team have developed one of Metro Detroit’s top ranking real estate websites http://www.professionalone.com

5 Tips On Selecting The Right Developer For Property In Malaysia

Writen by C Guan Soo

I don’t know about your country, but in mine, Malaysia, when you’re looking to buy property of any type, one of the important criteria you would want to look into is the developer.

The project is important, but you would agree that the developer plays even a bigger role; in ensuring that you’re getting the best property deal in Malaysia.

So, you might want to read on to find out, who would be your ideal developer…

Well, basically, these are the criteria to look for:

1. Reputation and Reliability

Need I say more? You know this already, don’t you? But…

The most important thing is: How do you find out reputation and reliability of a developer, right?

Simple, just ask around residences or owners of previous property projects by your targeted developer! You should be able to get some hints from these neighborhoods.

While you’re there, open you eyes; BIG and WIDE! Observe their workmanship. Would you be happy with the quality of work that you see right before your eyes?

You can also check who their financiers are. Do they owe their contractors, vendors and suppliers? You wouldn’t want to be involve with a bad pay master, would you?

One more thing…

Find out if this is their first project? If they are not from a developer background, you should think again…

2. They should be registered under REHDA

REHDA, or the Real Estate and Housing Developer Association, is the association that keep track of a developer’s records.

Reputable property developers in Malaysia are members of REHDA… and if it is not registered… well, you know what to do, right?

3. Timeliness in Delivery and Quality

While checking out the previous projects by the developer, find out about their timeliness. Are they delaying project consistently? What is their compensation for the delay? Is the compensation fair and following the legal requirements?

4. Credibility, Management Effectiveness, After Sales Services.

These are the normal things to check. A MUST!

When you’re uncovering the background of the developer of property projects in Malaysia, find out about their credibility, their management teams and effectiveness, and what is the quality level of their services?

And now… the most outrageous criteria!

5. License!

Huh? Property developers in Malaysia MUST have a license, don’t they?

Alright, before I go about embarrassing my lovely state… let me explain:

You see, there are certain licensing requirements for properties in Malaysia. And not all property projects are necessarily regulated. Thus, there’s no pre requisite to have a valid license for certain project types.

Property projects that requires a valid license in Malaysia are any buildings that are intended for human habitation, partly or wholly. Examples, low and medium cost apartments, condominiums, terrace houses etc.

But then again, The Minister may by notification published in the Gazette, exempt any housing developer from any or all of the provisions of the Housing Development (Control & Licensing) Act, 1966.

So, these ‘exempted’ developers may not need any license as well!

Now, you probably would be asking: What else does not require a valid license?

Here’s the loopholes…

If the developer is building less than four units; or the units are only sold after full Certificate of Fitness for Occupation has been issued. No license is required.

Besides that, any approved commercial development, no valid license are required.

Examples, service apartments, commercial buildings, shop lots, shop offices, bungalow plots and/or land, orchard land and/or agricultural land, industrial and/or factory lots, and other types of properties not specified as ‘Housing Accommodation’ under the Housing Act

Ouch!

Now, how are you going to find out about these?

Well, frankly…

Information about these are perfectly rare. You can ask even an average Malaysian, who lives her whole life here she may not know all these either!

So, the most important task you need to do is to get hold of reliable and information packed resources to aid your property quest in Malaysia, don’t you agree?

And the good news for you is: There’s such a material now available online for immediate download. Check out the link at my bio data. It’s a definite valuable resource for investors in Malaysia properties.

C. Guan Soo is a free lance writer, copywriter and internet marketer who has produced few books before this. He has written a number of articles on various topics.

Recently, due to his rising interest in search of information for Malaysia property, he set on a trail in gathering useful information to share with the public.

He’s a co writer for the book, “How To Own Properties In Malaysia Without Been Ripped Off!” at http://www.MalaysiaPropertyGuide.com