Principal Reductions of More than $100K

You may have a chance to reduce your mortgage balance if you have Bank of America, Ally Financial Inc., Citigroup Inc., J.P. Morgan Chase & Co and Wells Fargo & Co bank.

Under the arrangement, part of the recent $25 billion settlement of alleged foreclosure abuses between government officials and five large lenders, Bank of America will make deeper and broader cuts in balances than other banks.

The plan will offer qualifying borrowers a chance to cut their mortgage balances to their home's current market value. Other banks are required under the national settlement to cut principal to no more than 120% of the home's value.


Borrowers who qualify are expected to receive principal reductions averaging more than $100,000, a Bank of America spokesman said. The pact's total value will depend on how many borrowers take up the offer.

The agreement is the latest twist in the government's long-running effort to break a logjam in the housing market, by pushing lenders to cut loan balances to make it easier for borrowers to stay in their homes.

Bank of America is responsible for the largest chunk of the $25 billion settlement. The company is on the hook for $3.24 billion in cash payments to federal and state governments, along with $8.58 billion of principal write-downs, refinancings and other assistance.

Why banks agreed to this settlement?

The expanded program could allow Bank of America to avoid paying $350 million in penalties according to the Wall Street Journal.

Who will benefit from this settlement?

Homeowner will benefit from principal reduction. Banks will benefit from cutting their foreclosure process expenses by reducing principal balances and making people to stay at their homes.

The Obama administration official said that principal reductions will be done only when there is a benefit to investors, meaning that the cost of the principal reduction will be less over time than taking the loan through foreclosure, and the principal reduction is done in accordance with investor contracts.
Government officials hope that the broader settlement will pave the way for more widespread principal reductions.

Other banks said they are likely to reduce principal on some investor loans. Wells Fargo "will continue our practice of modifying loans in private-label securities and for those that allow it we will continue our practice of principal reduction," a company spokeswoman said.

A spokeswoman for J.P. Morgan said the bank "will continue to consider principal reduction as an option in evaluating customers for modifications...when the economics make sense." A Citigroup spokesman, while declining to comment on the settlement, said the bank has been doing principal reductions on investor loans when it is "in the best interests of our investors and allowable under servicing agreements."

Florida Hardest-Hit Fund Program (HHF)

New! Florida Hardest-Hit Fund Program Announced to Help Troubled Homeowner’s.

Florida Hardest-Hit Fund Program(HHF)created as foreclosure prevention assistance program that provide temporary assistance to eligible homeowners

Two programs available:

Unemployment Mortgage Assistance Program (UMAP)

Loan funds can be used to pay monthly mortgage and escrowed mortgage-related expenses (i.e., property taxes, homeowner insurance, and mortgage insurance) until the homeowner can resume payments or for up to 18 months, whichever occurs first.

Mortgage Loan Reinstatement Payment Program (MLRP)

Loan funds can be used to bring the past-due first mortgage current; up to four months will be paid.

Homeowners who qualify for financial assistance may receive up to 18 months of monthly mortgage payments and/or funds to pay past due mortgage payments to bring the mortgage current; these funds are paid directly to the loan servicer/lender.

You must meet all eligibility requirements to be considered for the program. Please review all criteria prior to applying for HHF assistance.

The web-based application process for Florida Hardest-Hit Fund financial assistance opened for Lee County homeowners on Monday, October 25. In the meantime, for a complete list of all requirements click here

NEW FHA PROPERTY FLIP TRANSACTION RULES

November 24, 2010

HIGH IMPORTANCE:

FHA PROPERTY FLIP TRANSACTIONS:

First off, there are some new changes to FHA flipping policies that you MUST be aware of ASAP. Brian Pintar - mortgage broker, just put together a short 1-minute video explaining the changes.

Effective: On / After December 1, 2010

FHA purchase transactions in which the seller has held title less than 90 days the sales price will be limited to less than 20% above the seller's acquisition cost. The seller's acquisition cost is defined as what the seller paid to acquire the subject property. It does not include the cost of any repairs or improvements made to the property after purchase.

NOTE: conventional financing, seller must be in title on the date of the contract. The 90day rule does not apply.
HOWEVER; if the buyer has less than 20% down payment; ALL MI companies require the seller to be on title a minimum of 90 days prior to going under contract.

Cool New Tool to promote your business.

Back in the day it used to be “Get your tech guy to make a
video for your business,” but today it’s so easy to do things
like this for yourself. This little tool is going to be big so I
wanted you to know about it NOW.

It’s called Google Search Stories.
See my Short Sale and Stop Foreclosure promotion Search Story.

It’s free. Who doesn’t love free these days? We give away
free stuff all the time to our members and they love it. You
will need a YouTube account but that’s free too.

Google Search Stories is also easy. I betcha the teenager
who serving up hot chocolate in Starbucks could serve up a hip video
about the Starbucks she works at. You know what really
caught my attention when I saw this? Its simplicity and quality –
AMAZING.

Google and YouTube found a way to combine the power of
Google’s search engine with the popularity of a YouTube
video.

A Google Search Stories video is the perfect way to get that
instant street credit you’ve been searching for. The power of
this video creator can put your business on the map… literally.

You can literally tell the video to display:
* Your company’s address in Google maps
* Sweet images relating to your business
* News stories
* Your products or books

And it does all the linking (and thinking) for you.
Remember:

1. It’s FREE.
2. It’s so EASY a teenager could make one.
3. It’s POWERFUL and POPULAR like a football player
dating a cheerleader.
4. It’s instant STREET CREDIT.

Make this free video creator work for you so you don’t have
to. Go and order your favorite drink, hit this site, and let a video
bring in some business.

Make sure to leave your comments below about how you would
use this.

Live Free!

New EPA Lead Painting Renovation, Repair and Painting (RRP) Rule or Hidden Taxes?

New EPA Lead Painting Renovation, Repair and Painting (RRP) Rule or Hidden Taxes?

If you are landlord in Jacksonville Florida area please be advised.





New EPA's Rule being effective as of April 22nd, 2010
40 CFR 745.80 to .91

What should Landlords in Jacksonville Florida know about it?

Compliance NOT required in your own home!
(IF you do the work and no money changes hands.)

Lead Abatements are exempt for RRP rules

- Exempt if <6 SF painted surface inside
(But, only if no sanding, scraping or heating!)
- Exempt if <20 SF outside
(But, only if no sanding, scraping or heating!)
- Exemption is within 30 days
(NO Exemptions for window replacement or demolition)


“After April 22, 2010, property owners who perform these projects
in pre-1978 rental housing must be certified and follow the
lead-safe work practices required by the EPA’s Renovation,
Repair and Remodeling rule”

http://www.epa.gov/lead/pubs/renovation.htm

Options for Compliance

- Assume home contains lead and follow the lead-safe work practices
- Test for lead using a lead test kit
- Hire a certified lead risk assessor or inspector to locate specific areas with lead paint if present

Hire Contractors Certified to Conduct Lead-Based Paint Activities and Renovations!
Expect the responsibility to fall on you if you hire un-licensed and un-certified contractors!

Actions of Certified Contractor(If tenant occupy property)




- Deliver EPA pamphlet to tenant/owner
- Get signature confirming delivery
- Post warning signs
- Contain work area
- Plastic on floors and furniture
- Doors and vents plastic sealed
- Certified renovator to direct or supervise work
- No flame producing tools
- No heat guns, anders must have HEPA filters

After completion

- No visible dust or debris
- White glove or “swifer test”
- 40 SF cleaned compared to a verification card

Exemptions

- Foreclosures
- Zero Bedroom units
- Housing for the Disabled
- Senior Housing
- Less than 100 days, no renewal option

How do I become Certified?
- Take EPA approved 8 hour course
- Submit EPA “Renovation Firm” Certification Application
- Pay $300 fee
- Certification good for 3 years
- Re-certification fee is also $300

Documentation is KEY!

If you can’t document it, the EPA will assume that you did not do it!

Fines are up to $37,500 per day per violation!!!

U.S. Lead Paint History

1804 First factory lead paint
1910-30 Lead concentration on the rise
1930 Latex and titanium paints
1955 Industry limit of 1%
1971 LBPPPA defines 1%
1973 LBPPPA amends 0.5%
1976 LBPPPA amends 0.06%
1978 CPSC bans sale for home use
Today Lead paint still in industrial use

% of Homes Likely to Contain Lead

1960 to 1978 24%
1940 to 1960 69%
Before 1940 87%

If you are landlord in Jacksonville Florida area please be advised.



Are you actively buying Landlord? Register at our website to receive emails with great wholesale and turn key rental properties available.

New Realflow 3.0 - Real Estate Online Platform by Greg Clement

I would like to share one of my own personal secrets with you about RealFlow - Real Estate Online Platform by Greg Clement.

Find out more about Realfolw Real Estate Investor Platform here www.realeflow.com/index.aspx?id=12941

He is giving a free gift away to everyone that registers for one of the online DEMOs that they do weekly.


Here is my interview with Greg Clement at Realflow and SIMS boot camp in San Diego California

Click on picture to see video.


   

I have been a member of Realflow elite coaching system for the past year.

This system and this guy who helped me with my marketing strategies my websites and much more:

www.komelot.com/,

and this blog

He gave me an ability to build lead flow system in the fraction of time by using his strategies and this capture websites:

Sellers generation: www.shortsalejacksonvilleflorida.com/

Buyers Generation: www.ibuyhousejax.com/



With Realflow you will get a lot of other great tools. Real Estate Investor System tools.
See picture with part of Mind Map from SIMS and Realflow For Marketing And Sales Department in Real Estate Investing Industry.




His name is Greg Clement and he has tremendous real estate expertise, honed razor sharp in a series of his own real estate ventures.



Greg has been studying the real estate investor community for a number of years and is deeply concerned about what is working and not working in the real estate community right now.

Greg is worried because when he sees people who honestly want to grow a real estate investment business,

follow a path to certain failure and destruction, he just gets angry.

If you have tried program after program after program and have still been unable to grow your real estate business,

it's probably NOT YOUR FAULT.

Trust me, there are plenty of players in real estate who want to see everyone else fail.

In fact, there are several very real reasons why this has happened to you and why

your business building efforts have been doomed to failure right from the start.



I promise you, YOU CAN SUCCEED IN REAL ESTATE,



but what we see in real estate right now is a real concern.

Because he wants to help, for an extremely limited time,

Greg is offering a huge discount on an unbelievable system called Realeflow.

This is an online platform that is designed for the investor to make a heck of a lot more money in a fraction of the time. If you haven't already heard about it


I've read it. In fact, as a member of his systems group, I've put these ideas into practice.

It's cash in the bank.


P.S. Don't delay. If Greg gets buried with requests, he'll probably take the site down. Get it now, before that happens.

Click here www.realeflow.com/index.aspx?id=12941


P.P.S Small karaoke brake. Here is fun video from Realflow event.
Click on picture to see video.

>   

With best regards,

Jacksonville mortgage delinquencies rise above 10%

Few days ago Dmitry Mikhaylov had interview with Kevin from Florida Times Union Newspaper about growing Delinquencies in Jacksonville. Find out more about foreclosure and short sale trends in Jacksonville Florida now.

The number of Jacksonville homeowners who have fallen behind on mortgage payments rose steadily over the past three years and today stands at more than 10 percent, according to a national credit monitoring company.

Mortgage delinquencies of 60 days or more were 2.2 percent at the end of 2006 - a figure that grew to 10.3 percent by the close of 2009, according to TransUnion LLC, a company that maintains credit histories on about 500 million people internationally.

Although that's lower than the percentages of mortgage delinquencies in the state's other metropolitan areas and the state as a whole, it's likely to continue rising through 2010, Jacksonville foreclosure specialists said.

Read full article here

CITY OF JACKSONVILLE LAUNCHES NEW COMMUNITY INFORMATION SERVICE

I thought those who have home in Duval County, Jacksonville, Florida may find this
information helpful:

CITY OF JACKSONVILLE LAUNCHES NEW COMMUNITY INFORMATION SERVICE



Free service allows citizens to receive local government information through
e-mail and text

The City of Jacksonville recently launched a new community information
service designed to deliver important and timely information to area
residents using the latest technology.

Jacksonville residents are encouraged to take advantage of Nixle by
registering at http://www.nixle.com. A direct link to the
Nixle site may also be found on the City of Jacksonville homepage at
http://www.coj.net

Registering for Nixle is easy. Residents will simply create a log-in by
entering their wireless phone number, e-mail address and the area(s) of town
or address(es) they are interested receiving notifications for.

Residents, business owners and media can elect to receive messages as
e-mails, text messages and/or over the Web. Registrants can also further
customize their accounts to receive secure and reliable messages and
information about only what is most important to them.

The site allows for the immediate release of geographically-targeted,
time-sensitive information and alerts such as road closures, community and
special events, city programs and services, library information, public
safety incidents, as well as, messages from city leaders. In addition,
Nixle will serve as an invaluable tool during times of emergency, such as
severe tropical weather.


Messages are communicated on four levels-Alert (Must Know), Advisory (Need
to Know), Community (Want to Know) and Traffic (Should Know).



Nixle is a secure communications platform that allows only authorized city
staff to send information directly to a subscriber's wireless device and
e-mail. Nixle does not use the information for any marketing or unwanted
solicitations.

In the ever-changing world of communications, Nixle was determined to be a
good fit for two main reasons: cost and security. The service is free for
subscribers (standard text message rates apply) and is offered at no cost to
public safety agencies and municipalities.

It is important to note that Nixle is intended to provide quick and direct
communications but it will not replace traditional methods for two-way
communications with the public. Residents may continue to continue to
utilize www.coj.net and (904) 630-CITY (2489) for
detailed information about city government.

Nixle Background:

Nixle is a community information service provider built exclusively to
provide secure and reliable communications. It is the first authenticated
and secure service that connects municipal agencies and community
organizations to residents in real time, delivering information to
geographically targeted consumers over their cell phones (via text
messages), through e-mails and via Web access.

Nixle has secured a partnership with Nlets (the International Justice and
Public Safety Network), allowing local police departments nationwide to send
immediate alerts and advisories. Privately-funded, Nixle, which has offices
in New Jersey and California, is free to all governments, their agencies and
organizations, nongovernmental organizations and consumers. For more
information, visit www.nixle.com.

Resale Real Estate Market Further Damaged by new HUD Rule

In another move that will further harm the exixting realestate marketplace HUD has proposed to eliminate ALL seller financing unless the seller lives in the home or becomes a licensed mortgage originator. The proposed HUD Rules interpreting the federal SAFE mortgage act can be viewed here. Please review and comment regarding the impact of this broad interpretation of the law.

“In addition to establishing HUD’s responsibilities under the SAFE Act, through this rule, HUD proposes to clarify or interpret certain statutory provisions that pertain to the scope of the SAFE Act licensing requirements and other requirements that pertain to the implementation, oversight, and enforcement responsibilities of the States. HUD solicits comment on the proposed clarifications and on the regulations proposed to be codified.

History:
As you may recall, we lobbied hard last year to maintain the right for individuals to make up to five seller financed transactions per year before being subject to mortgage originator licensing, etc… However, that law was passed subject to the Department of Housing and Urban Development’s (HUD) approval of the law as “compliant” with the intention of the federal law. If any state does not have a compliant law, the SAFE act allows HUD to implement licensing for the state. HUD has since issued proposed rules. In a nutshell, seller financing would no longer be allowed for non-owner occupied homes.

What can you do?:
We learned about the publishing of the rules very late in the process… and the deadline for comment is upon us on February 16. However, we desperately need for thousands of REIA members across the country to go on record with HUD on this issue. We will be working to try to affect this law in other legislative ways, but cannot hope to gain traction unless our members have clearly communicated that they are opposed to this portion of the rules. This is your chance to be counted on this issue.

PLEASE SUBMIT YOUR COMMENTS TO HUD! We have less than one week to flood this system with comments.
Follow these simple steps:

1. Logon to www.regulations.gov You will see two white boxes for searching
2. On the left box labeled “Document Type”, pull the menu down and select “proposed rules”
3. On the right box labeled “Enter keyword or ID”, enter “safe mortgage”. Then, press search
4. Locate the blue search result “FR-5271-P-01 Safe Mortgage Licensing Act: HUD Responsibilities Under ….” To read the rules, click on this title. You will be taken to another page. You will see “views”. You can click on PDF file or another symbol which will show you the rule document online.
5. On the right of the screen, click on “submit comment”
6. Complete the form providing required information and your comments and then submit

What do you say?
Say what you feel, but say it politely! The message should include that you would like the definitions in the proposed rules to be changed so that private individuals can originate and service loans on properties they personally own. Some ideas from others:

• bank loans are not available on some types of properties
• the tight lending climate has made bank financing “out of reach” for many
• seller financing is an “age old” tradition based on private property rights
• these rules would prohibit even partial seller financing – i.e. a “seller second”
• according to HUD’s “Residential Finance Survey” in 2001, roughly 40% of all non-farm residential properties in the US are owned free and clear
• an estimated 6 million Americans own a property other than their own primary residence
• an estimated 4.5% of Americans own three or more properties, many purchased solely as investment properties
• 40% of non-owner occupied residences are mobile homes which are more difficult to sell with bank financing
• approximately 5% of homes in US are for sale or for lease… seller financing may be key to liquidating this inventory

The continued success of our industry as we know it is threatened by these proposed regulatory changes. Please do not hesitate to follow the steps above and make your voice heard.