- Effective Mortgage Company
- Northridge, CA, United States
- We are a full service mortgage brokerage with experience in the areas of mortgage lending, real estate and business. Our company has established relationships with many mortgage investors and banks to provide the best programs for your individual circumstances. We specialize in Conventional, Goverment, Investment, and Reverse Mortgage. We are experts regarding any FHA or VA (veteran) questions you may have. Post any questions or feel free to call our office 818-773-0033. If our clients don't fit into one of the many loan programs offered we promise to help them overcome the roadblocks that can stop them from securing a loan. When purchasing we suggest always getting a pre-approval early on to have ease of mind knowing what amount you will qualify for and make the loan process as smooth as possible.
Friday, September 24, 2010
They request that you send them property information on these type homes for them to review via e-mail which is fine. Within two days they have selected one of the properties, want to pay cash, and want to close by the end of the month! They also provide you their financial planner's name and contact information to handle the funds transfer and request you recommend a local attorney to handle the escrow. This all sounds really good. Too good to be true?
Let the games begin. They will want to get the property under contract and transfer earnest money to the attorney's escrow account. They then decide to cancel and want money back which was really never there, thus basically seeking to rip off the attorneys' escrow account. These have popped up throughout the United States and an over excited agent could get taken in easily.
I was recently approached by these folks, sent them property information, received the "we must buy now" message and a request for an attorney to handle the escrow. Experience told me that this just seemed to be moving way too fast and seemed far too easy. I decided to do some investigating. Upon doing some research into the financial planner's firm, I uncovered the fact that this approach by these same "buyers" was in fact a scam. The financial planner was a fake name and I decided that no more of my time was to be spent with this, but I should take a few minutes to warn other real estate professionals.
Trulia has a lengthy series of comments from real estate professionals and their stories with this scam. Beware, be careful and do not fall for this creative scam. It could be very expensive.
Published on Monday, September 13, 2010 by Michael Davenport
Thursday, September 23, 2010
Fannie Mae is offering buyers up to 3.5% in closing cost assistance and a $1,500 selling agent bonus on HomePath® properties. To be eligible for this incentive:
*Initial offers must be accepted on or after September 23, 2010
*Property sales must close on or before December 31, 2010, and close within 60 days of offer acceptance
*Buyers must be owner-occupants and confirm that the property will be used as their primary residence by completing a certification form (investors are excluded); and
*Selling agents must represent owner-occupant buyers purchasing a HomePath property to receive the $1,500 bonus and offers must be submitted on or after the effective date.
The incentive reinforces Fannie Mae's commitment to stabilizing communities and assisting buyers. For more information about the incentive, visit HomePath.com, read the press release, or contact a Fannie Mae listing broker.
Tuesday, September 21, 2010
The legislation would impose a deadline on lenders to respond to short sale requests, requiring them to return an answer to the borrower within 45 days.
The bipartisan bill, Prompt Decision for Qualification of Short Sale Act of 2010 (H.R. 6133), is sponsored by Reps. Robert Andrews (D-New Jersey) and Tom Rooney (R-Florida).
Lenders have taken a lot of heat for the elongated timelines it takes to get an approval on a short sale proposal.
“I have heard from many short sellers in Florida whose potential homebuyers have walked away because they couldn’t get a ‘yes’ or ‘no’ from their lenders,” Rep. Rooney said. “This bill would spur growth in the housing market by helping sellers and buyers complete short sales quickly.”
The number of potential short sale properties is rising across the country. According to data from the National Association of Realtors (NAR), in the second quarter of
2010, Nevada, California, Florida, and Arizona are states where significant shares of all properties on the market are potential short sales: 32 percent, 28 percent, 27 percent, and 24 percent, respectively.
NAR President Vicki Cox Golder, owner of Vicki L. Cox & Associates in Tucson, Arizona, says her organization and Realtors across the country strongly support the Andrews-Rooney bill, and are urging Congress to pass the legislation quickly.
“Unfortunately, homeowners who need to execute a short sale are severely hampered because lenders (loan servicers) are unable to decide whether to approve a short sale within a reasonable amount of time,” Golder said.
“Potential homebuyers are walking away from purchasing short sale property because the lender has taken many months and still not responded. Many consumers have mentioned that the delay in short sale price approval exceeds 90 days, and in many cases never arrives,” Golder said.
According to Rep. Rooney, the lending community has worked to improve the size and training of their workforce that handles short sales, but “progress has been extremely slow,” he says.
Rooney argues that for homeowners who owe more than their home is worth and are in real danger of losing their home, the short sale can help relieve them of the overwhelming financial burden of their mortgage.
Golder agrees. “NAR believes that quicker attention to the short sales process is vital to help homeowners who are underwater and their communities, as well as the nation’s economy,” she said.
Friday, September 10, 2010
Eligibility requirements for a refinance through HARP include:
• The loan on your property is owned or guaranteed by Fannie Mae or Freddie Mac.
• The amount you owe on your first mortgage does not exceed 125% of the current market value of your property.
NOTE: Some lenders may require a lower percentage.
• You are the owner-occupant of a one- to four-unit home.
• Your mortgage payments are current, at the time you apply.
• The refinance improves the long term affordability or stability of your loan.