Short Sale Real Estate Agent in Colorado Springs

HAFA, HAMP,HARP,HARP2.0 Colorado Springs Short Sale Information

2012-01-25T13:49:00.001-07:00

Staying on top of the string of programs created to
help owners caught up in the perfect storm of a high
unemployment, rampant underemployment and declining
home values, can be confusing to say the least. Here’s
a brief overview of the acronyms spawned by the
foreclosure crisis:
HAFA—The Home Affordable Foreclosure Alternatives
program was designed to help homeowners to avoid
the negative effects of foreclosure by establishing
incentives for completing a short sale or a deed-in-lieu
of foreclosure. In a short sale, the loan servicer accepts
a loan payoff amount from an underwater borrower
that is less than the amount actually owed on the
first mortgage. With a deed-in-lieu of foreclosure, the
borrower transfers ownership of the property to the
loan servicer. HAFA provides for $3,000 in relocation
assistance after a successful short sale or deed-in-lieu.
HAMP—The Home Affordable Modification Program
was designed to help homeowners who are no longer
able to make mortgage payments on time due to
decreased income or an increase in the monthly
payment amount. HAMP reduces a homeowner’s
monthly mortgage payment to 31 percent of gross
income following a series of steps on the part of the
mortgage servicer that can include a rate reduction,
a term extension of up to 40 years, deferred principal
payments, and (possibly) a lowering of principle.
HARP—The Home Affordable Refinance Program
enables homeowners whose mortgages are backed
by Fannie Mae or Freddie Mac and who owe more than
their home it’s worth, to refinance and take advantage
of today’s historically low interest rates. Originally,
HARP was only available to homeowners whose first
mortgage did not exceed 125 percent of the current
market value of their home.
HARP 2.0—Starting Dec. 1, 2011, the 125 percent
loan-to-value ratio will be eliminated, enabling eligible
borrowers to refinance under HARP regardless of how
far underwater they are on their mortgage.

Below is a link to this free report
http://www.chuckshomerescueplan.com/Tipping-the-Scales-Toward-Foreclosure.aspx

ChuckWartman.com
(719) 231-5525

Short Sale Process in Colorado Springs

2011-12-25T16:57:00.001-07:00

At one time short sales were done infrequently. In recent years they have become more and more a common way for a seller to sell there home. If you have a home that is underwater and you have to move or cant afford it then this is a great option rather than walking away from it or just giving up and letting it go into foreclosure. The process to market the home and get an offer is similar to doing a traditional sale.

Find an agent that knows short sales http://www.ChucksHomeRescuePlan.com
The agent lists the home for the current fair market value. - It's important to note here that the banks go off of the current value of the home not what it is you owe them.
You gather all the paperwork that the Realtor will need to send to the bank for the short sale department. - This is often the most annoying part for the sellers but can kill a short sale quicker than anything. If the bank is missing one item it stops the entire process in it's tracks. Items needed may vary but usually consist of 60 days bank statements, 30 days pay stubs, Hardship letter, monthly financials showing what comes in and what goes out. 2 years tax returns.
Once an offer is received the packet is put together by the Realtor and sent in to the bank.
The bank assigns a negotiator that will order a valuation of the home from a third party. It can be just another CMA from a different Realtor or a full blown appraisal. This is the value that the bank will use to determine if the offer is good or not. 30 - 60 days
Once the value is given to the bank the negotiator sends it to the investor that owns the mortgage to see if t meets there criteria. If the Realtor and negotiator are on it then it should be approved or at least receive a counter.
If the offer is accepted then the bank will send an approval letter to the listing agent. This letter will give a close no later than time that everyone needs to meet, usually 30 days. This is also important because the bank many times will put in the approval letter that they are waiving the right to pursue any deficiency. That's a good thing. You have to talk to your CPA about all the tax stuff.
At this point the dates in the contract go into effect such as inspection, loan, and appraisal deadlines. Usually short sales are sold as is. The inspection is for the buyers peace of mind.

The times and steps above are not written in stone but are a good example. If your loan is FHA or VA, then the banks will have a slightly different flow. The good thing about those short sale is that the VA and FHA tell you upfront they will not pursue a deficiency. The trouble with them is that if the valuation comes in too high (verifiably too high) that it can be almost impossible to get up corrected until 6 months go by

Short Sales are a niche in real estate that some Realtor's, myself included like to do and others hate and wont even show short sale if they can help it.

For this reason I can not stress enough to find a Realtor that does know the intricacies of a short sale. http://www.ChuckWartman.com

Please feel free to leave a comment or contact me directly. Have a great day!

2011-10-28T08:24:00.001-06:00

Foreclosure fears foster true grief
Reports of foreclosures by the millions have been in the news so much over the past few years that to some, it might seem like the new normal.
But as a real estate professional who is in the trenches with financially stressed homeowners every day here in Colorado Springs, it never for a second feels to me like business-as-usual.
The prospect of losing ones home is right up there among the major sources of grief, and often, it goes hand in hand with other tragic setbacks such as the loss of a job, a divorce, death of a loved one, mounting medical bills or skyrocketing mortgage payments.
Unfortunately, the first stage of grief is denial, and that’s even more the case when the threat of foreclosure is looming. No one wants to talk about or admit financial troubles—even when millions of others have founds themselves in a similar spot. It’s completely understandable, but for homeowners who are behind on mortgage payments, decisive action is often the most critical step toward ensuring the best possible solution.
As a real estate professional who has sought out the Certified Distressed Property Expert (CDPE) designation, I help homeowners to deal with every aspect of the grief and uncertainty that accompanies a mortgage which is no longer manageable. In the process, I help them to get on a path of financial solvency.
If you or someone you care about would like to change the course of a life that’s facing foreclosure, I get it and I can help.
Contact me today at (719) 231-5525 or ChuckWartman@gmail.com

Foreclosure fears foster true grief

2011-10-28T08:19:00.001-06:00

It's time to take another look at Short Sales

2011-10-27T11:14:00.002-06:00

It’s time to take another look at short sales
As recently as a few months ago, if you would have told a real estate agent who specialized in short sales that they’d be raving about a lender’s stellar service and rapid approval times—not to mention significant cash incentives for financially strapped homeowners for pursuing a short sale—you’d have gotten some strange looks.
That’s all changed. And it’s changed faster and to a greater extent than most real estate professionals ever could have imagined.
With a glut of bank-owned properties dragging down the recovery of the real estate market, as well as the national economy, major lenders are more eager than ever before to avoid foreclosure. So they’ve sharpened their focus on short sales. Big time.
The biggest lenders in the country have staffed up to ensure rapid processing of short sale applications. They’ve ponied up with cash incentives at closing for homeowners who pursue a short sale. And they’re proactively reaching out to CDPE agents and putting them in touch with delinquent borrowers.
This is big news and the media has not really caught onto it yet. What’s important for you to know is that whatever you’ve read or heard in the past about long lag times and frustrations with short sales is probably no longer the case.
As a member of the CDPEAdvanced community, I’m tapped into major lenders and on top of major developments affecting short sales and bank-owned properties. I invite you to visit my website www.ShortSale555.com to learn more and feel free to contact me any time at (710) 231-5525 or ChuckWartman@gmail.com if you or anyone you know is struggling with an unmanageable mortgage.

This is a test

2011-09-10T11:57:00.001-06:00

this is a test of Ping

Renewed trust for tough times

2011-09-09T09:54:00.001-06:00

Renewedtrust for tough times

Does it feel like trustis one of the major casualties of the economic meltdown of 2008 –followed by the “Great Recession,” the “Jobless Recovery” andnow the threat of a “Double Dip Recession?”

Weren’t we assured that home valueswere destined to go up and up and up?

There have been lots of promises thathelp is on the way—and lots of warnings of scams and schemes thathave only served to confuse the matter. So where’s a homeownerwho’s underwater or overleveraged to turn?

Here’s the bottom line: the choicesthat homeowners make when they feel they are at the end of their ropewill have ramifications for years to come on their ability to qualifyfor credit, their job prospects, their security clearance and theiroverall finances. When a family’s financial trajectory is rapidlyheading in a negative direction, there’s no substitute for thehelping hand of a knowledgeable expert who has the integrity, theexperience and the training to reverse the course—someone who istapped into regulatory initiatives and can separate fact fromfiction.

It is my mission to serve as a crediblesource of information and perspective to homeowners who have foundthemselves in a tough situation and need help sorting through theiroptions. That’s why I sought out the Certified Distressed Property(CDPE) designation—the most renowned and recognized credential inthe distressed property field, and it’s why I continue to stay ontop of regulatory and industry developments that impact optionsavailable to homeowners who are struggling with their currentfinancial situations.

My message to homeowners who do notknow where to turn: there is hope. Foreclosure is notinevitable and neither the government nor your bank wants tosee that happen. No one expected to find themselves on the brink offoreclosure, but I have worked with countless clients who havemanaged to turn their financial trajectory around and get on a pathof financial recovery.

It CAN be done! And it would be myprivilege to help.

Short Sale vs. Foreclosure?

2011-07-22T13:58:00.001-06:00

Short Sale vs. Foreclosure?

You make the call!

I get the question from people all the time: short sale or foreclosure, which is the better option? My knee-jerk reaction is always “Are you kidding? Short sale, of course!” This has been mostly because I was always under the impression that a short sale, although still a ding on your credit, was gentler on the score than a foreclosure.

But according to a recent blog post by FICO Banking Analytics, there is no real difference in the affect a short sale or a foreclosure has on your credit score. Both the impact in points and the time to fully recover is about the same for both events.

This put me in a precarious situation. All this time I had lauded the short sale as vastly superior to foreclosure, largely because of its less adverse affects on credit. So I was forced to do further research into which was the better option. In doing so I learned about benefits of a short sale I wasn’t even aware of, and found that the FICO blog was way off.

Each borrower’s credit situation is different, and the way that a creditor reports a short sale to bureaus is different. The reality is that hundreds of thousands of distressed homeowners who have chosen a short sale have experienced a lesser impact on their credit than those who have chosen foreclosure.

In a short sale, a distressed homeowner may be able to obtain another mortgage sooner than someone who has a foreclosure on his or her record. Also, more and more employers pull credit before hiring a potential employee, and a foreclosure can keep you from getting a job. Some employers pull credit reports on existing employees, and a foreclosure may not bode well in certain industries.

These benefits stacked against the negatives of foreclosure, including the embarrassment of public announcement and literally being kicked out of your home, make, in my opinion, short sale the reigning champion.

Now you make the call!

Handling the Stress of an Unaffordable Mortgage Payment

2011-07-22T13:55:00.000-06:00

Handling the Stress of an Unaffordable Mortgage Payment

Whenever I research the latest foreclosure and distressed property statistics, the sheer number of Americans facing the stress of losing their homes amazes me. It is my goal to help as many homeowners I can either stay in their homes or relieve the burden of their mortgages. Knowing that there are so many that need my help is a driving force for me to continue doing what I do.

In fact, I just released another report that I’ve made available on my website today. It explains the CDPE designation and lists 10 options that homeowners can take advantage of to relieve the stress that comes with owing their mortgage lenders more money than they can afford to pay.

The report also draws a contrast between short sales and foreclosures. Unfortunately, there’s a growing trend of “strategic defaulters” who think it’s smart to let their home go into foreclosure. As any one who follows this blog knows, there is nothing strategic about foreclosure; it’s one of the most long-lasting, negative financial challenges you can go through.

I’m excited about acting as a resource for more homeowners who have questions about what they should do. As always, if you know homeowners who may need my help, have them contact me immediately! Together, we can put them back on the path to financial stability.

Colorado Springs short sale time lines

2009-10-09T13:41:00.003-06:00

I currently have 6 short sales under contract. While short sales in Colorado Springs have always take longer than traditional transactions, they are taking even longer to get back a response from the banks.

It is getting infuriating for me, my clients, and the buyers to wait for 80 days in some cases just to get a response. It s a practice in patience, and I hate patience. If you are a buyer, you need to start thinking in terms of how many months until closing.

Short sales often are good deals for a buyer, just go into it with your eyes open and have a place to stay in the mean time. One other thing is dont write multiple offers, that just isnt the way to do things.

Anyway, I am done venting for a bit. Have a great (Patient) day.

Chuck Wartman
RE/MAX Properties, Inc.
(719) 231.5525
http://www.chuckwartman.com/

Colorado Springs and National Mortgage Breakdown

2009-04-02T13:22:00.002-06:00

If you think you, or someone you know is the only one have mortgage problems

TOTAL U.S. HOUSING MARKET

3.3% of all mortgages in the US are in foreclosure.
7.88% are in default (30 + days late)
11.18% of all US home mortgages are in default or in foreclosure.

A+ Loans, Great Credit
1.88% are in foreclosure
5.06% are in default (30 + days late)
6.94% of all Prime mortgages are in default or in foreclosure.

Sub Prime Mortgages
13.71% are in foreclosure
21.88% are in default (30 + days late)
35.59% of all Sub Prime Mortgages are in default or in foreclosure

FHA Mortgages
2.43% are in foreclosure
13.73% are in default (30 + days late)
16.16% of all FHA Mortgages are in default or foreclosure

1.66% are in foreclosure
7.5% are in default (30 + days late)
9.18% of all VA Mortgages are in default or foreclosure

(Mortgage Bankers Association based on 45,000,000 mortgages, March 5 2009)

There are 3/1 and 5/1 ARMS that are coming due in the next couple of years, that the interest rate will double from the “start” rate.

If You or Someone You Know Needs Help, Don’t Wait, Call Me Now. Foreclosure is a stop watch running backwards.

Chuck Wartman
(719) 231.5525
RE/MAX Properties, Inc.
ChuckWartman@hotmail.com

The 7 biggest remodeling mistakes

2009-03-29T16:45:00.003-06:00

From http://home-equity.interest.com/home-equity/biggest_remodeling_mistakes.html

Remodeling can be perilous, fraught with lousy contractors, unexpected costs and unforeseen problems that can leave your home in shambles for weeks -- maybe months.
There's no way to guarantee a hassle-free project. But make one of these 7 mistakes and you'll almost certainly add to the cost and aggravation.

Mistake 1. Start with an unrealistic budget. Or no budget at all.
Begin by writing down exactly what you want to do. Be as specific as you can about the type and quality of materials and fixtures you want to use. Obtain bids from at least three contractors based on your specifications. Use the questions and suggestions you obtain from each contractor to hone your plans and get the best possible idea of how much your project will cost.

Mistake 2. Try to do everything yourself.
Homeowners who are surprised by the estimates they get from contractors often decide the best way to cut costs is by doing some -- or all -- of the work themselves.
That's OK if you're a skilled and experienced do-it-yourselfer. But less accomplished homeowners usually run into problems they never expected.
"People figure out about halfway through that they can't do it themselves and then call in a professional -- and it ends up costing even more than if had they just called the contractor in the first place," says Pat Vredevoogd Combs, former president of the National Association of Realtors, who sells homes in Grand Rapids, Mich.

Mistake 3. Hire the contractor who gives you the lowest bid.
Cost is important -- but it's not the only factor in hiring a contractor. Be patient and listen to your instincts. You should hire someone you have confidence in and feel comfortable with.
The best choice is a contractor who's licensed and insured, and who has worked in your community for a number of years without a bunch of angry customers filing complaints with the Better Business Bureau.
It's especially important to avoid "travelers" -- contractors who move from town to town, peddling everything from new siding and roofs to replacement windows and paint jobs.
They'll offer you a great deal, but their work is often shoddy and their warranties are worthless.

Mistake 4. Disregarding the effect on your property values.
On average, every dollar you spend remodeling a bathroom, replacing windows or finishing a basement will add about 70 cents to your home's resale value.
But some projects add more value than others. (See our rankings of the 10 most valuable home improvements.)
That doesn't mean you should automatically reject improvements that don't yield a big return on your investment. If granite countertops or a swimming pool add to the beauty and enjoyment of your home, go for it.
Just do so with a full understanding of how those changes will influence your home's resale value. You don't want to be disappointed, even if you're planning to live in your home for many years to come. Things change, and you might have to move sooner than you anticipated.
If you're not sure how a project might influence your property value, ask a real estate agent.

Mistake 5. Over-personalizing.
You want your home to reflect your individual taste, but when remodeling, be aware that some changes are more permanent than others.
"You may love seashells and candy canes, but putting them on your bathroom tile is bound to be a decision you'll regret," says Kirsten Kemp Becker, real estate expert and host of TLC's new series "Hope for Your Home."
If you want a few bold colors and distinctive patterns, use towels and throw pillows to make a statement. Neutral colors and patterns are a better choice for walls and fixtures -- they'll go the distance, and you'll be less likely to get tired of them.

Mistake 6. Making changes that contrast with your home's style.
Incongruent alterations, such as building a modern addition to a classic farmhouse, will only detract from your home's beauty.
Changes that are out of sync with other homes in the neighborhood also can create a bad impression when you want to sell.
"It's better to rehab the old than put in something new that doesn't mesh with your home's character," Kemp Becker says. "It's the idea of restoration versus renovation."

Mistake 7. Not finishing.
Leaving a project half-done is worse than never starting it. It hurts the beauty and value of your home and makes it less enjoyable to live there.
The problem is almost always money. Watch out for the four major reasons homeowners run out of cash:
An unrealistic budget.
Unexpected problems that add thousands of dollars to the original cost.
A contractor who does poor work and leaves you in the lurch.
Expensive changes you make in the middle of the project.
"There's nothing deadlier than an incomplete project," Kemp Becker says. "Quality, money, time -- a really good home improvement project balances all three."

By Regan Doherty
Interest.com Associate Editor
interest.com

Foreclosure is not the only option.. Colorado Springs

2009-03-22T19:55:00.000-06:00

Foreclosure is not the only option for families in mortgage trouble.

Of all available options, foreclosure is the worst

The inevitable result of a foreclosure is the lender taking your house. Not only will you lose your house, but the lender can get a judgment against you for the back payments plus legal and late fees you owe plus his costs for the foreclosure action. If that isn’t enough, your credit report will be in terminal condition for many years to come, worsening an already bad financial situation and making it very difficult to obtain any other kind of credit. There is no upside to foreclosure. It should be avoided at all costs.

To try and see if you are able to qualify for a loan modification , goto
http://www.makinghomeaffordable.gov/index.html This is a new site for loan modifications. Another site is http://www.hopenow.com/.

Both of these site have a wealth of information for the consumer. There are other choices such as a Short Sale. I am a CDPE. A Certified Distressed Properties Expert. I have the knowledge and training to help families stop a foreclosure. There is hope, what every family in this position need is someone to answer their question honestly. I can do that.

Chuck Wartman
RE/MAX Properties, Inc.
www.ChuckWartman.com
(719) 231.5525

Foreclosure Specialist, Colorado Springs, CO

2009-03-21T18:09:00.000-06:00

What Is A Certified Distressed Property Expert?

Nation wide and here in Colorado Springs, Colorado eighty-five percent of homeowners experiencing financial distress say their first contact will be to a licensed agent. Yet, fewer than 1 percent of agents consider themselves foreclosure or distressed property experts. I have taken the time and money to invest in the education necessary to allow me to help people in this most difficult and stressful situation.

The developers of the Certified Distressed Property Expert Designation (CDPE) believe that in almost all cases the best person for a homeowner in distress to speak with is a well-informed, licensed Realtor® that has the tools needed to help that homeowner find the best solution for their situation.

Foreclosure is a devastating financial and emotional process for a homeowner to go through, and in many cases they do so alone and without guidance of any kind, and therefore never recover financially.

Through extensive and ongoing education, I have earned the CDPE Designation, and have dedicated my time and effort to understanding the issues distressed homeowners are dealing with. I understand the full range of solutions and am ready to help.

While experiencing financial distress is difficult for any family, the process of finding a real estate professional shouldn't be. Selecting a CDPE agent ensures you are dealing with a professional ready to address your needs.

Chuck Wartman
RE/MAX Properties, Inc.
(719) 231.5525
www.ChuckWartman.com

Colorado Springs, Colorado