Foreclosures Help Information

Archive for the ‘Bank Foreclosure’ Category

Bank Foreclosures

Question: help with understanding bank owned foreclosures?

If a bank owns a house that is worth 200,000 lets say. And lets also say that all that is owed on the house is 100,000. As a buyer, if I put in a bid of 115,000(to cover closing costs) is the bank going to accept this offer. I heard a rumor that all the bank wants to do is collect the money owed on the house and whatever they recieve after that, they give to the original owners. Is this true? Help clarify some of this for me. I am in the state of Texas if that makes a difference. Thanks.
Ya but lets say that whatever I am offering is covering all of the banks cost, if this is so, then what’s to say that the bank won’t sell me the house with a low-ball price?

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Answer: If the mortgage balance was $100,000, it's possible there's another $10,000 in attorney fees, and an additional $10,000 in accrued interest. I don't know the redemption period in Texas, but in many states, you can squat in your house for a year before getting kicked out, all the while interest is accruing.

So it's never quite that simple. And beware of any additional liens, foreclosures sometimes have them.

And yes, in most cases, after the bank has gotten every single penny of their own money back, they have to give the rest to the prior owner. So they might very well not care how much that is, but they do work within a framework of attempting to get the maximum value for their homes, based on their estimates of what the homes true value is.

And they also have to weigh their risks of having another 2 months go by before they get another qualified offer, while their carrying costs and attorney review fees etc... keep rising. So they're always looking to take the first fair and reasonable qualified offer that they can get.

Bank Forelcosure Property - Foreclosure Boys

Bank Foreclosure Auctions

Question: Bank Owned properties: How do I get information about REO for free?

I have found some houses that are currently bank owned (I assume a REO). I have found these through a site that lists pre-foreclosures, foreclosed houses up for auctions, and bank owned properties…
But it won’t list the address, or anything about when the auctions are, and I have no idea who to contact if I am interested in this house without paying for the service. Are these records listed for free anywhere? Can I go to the cityhall of the city the house is in? Do I have to go to each bank to find it out?

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Answer: Bank owed homes have already been through the auction process, no one purchased them at the auction. That is why the bank now owns them.

You may call most of your major banks to see if they will provide you with a list, but I think you will find this fruitless as most banks now list their bank owned properties with a real estate agency for them to sell. Therefore if you are looking for a bargin there are few even if the house is in need of minor repair, because the real estate agency want to earn the maximum commission even if it means the house will be returned to the bank if it goes un sold.

Pre-foreclosures are listed at the county court where you reside, you have to go through each property to find several that you might be interested in.

The properties listed at these sites you find are teasing when they show a property but not the address or contact information. Most with the contact information is to real estate agencies, because that is who the bank has contracted to sell their property.

I find that the best way to locate people that are in pre-foreclosure is to select an area in your city that you want to invest in or reside. This area should contain at a minimum of 5,000 houses or more.

Make a letter or flyere stating that you purchase foreclosed property paid for or not and that you pay all cash and can close within 14 days. Get this letter ran off at Staples or Office Depot or any other copy place. Make sure you sign the original unless you want to sign each one individually. Make sure you have a telephone number listed on the letter that can be reached 24/7 even if it is an answering service. The telephone must be answered or at least a message saying you have contacted the person that purchase foreclosures,please leave a message.

Send these letters to the area you have selected to work. You should send them a letter at least once per month. I find it better if you walk the area and put the flyers on each door. Please do not place them in any mail box. This is illegal. If you have children they might be of help to you. Don't forget to reward them. Once you have walked the area for about three months with your flyers, you should consider making a newsletter to mail. Check with the United States post office near your for bulk mailing fees.

You might also go to the commercial areas and see if some of the commercial shops will allow you to place this same letter in their shops. You may purchase holders for your letters at Staples or Office Depot. Go by these shops that allow you to place you literature in them at least twice a month to change your letter and insure that you holder is clean and the letters are not all bent causing your flyer to look bad.

I would also suggest you purchase a few books on foreclosure at your local book store. There are several good books on foreclosure. You might also purchase one of the midnight real estate gurus course. They will supply you with several forms as well as some techniques to use. They also have scripts to use when you are called. Use them for what they are worth. No one is gonna give you thier house free with no money down. That is not what that means.

I hope this has been of some help to you, good luck.

"FIGHT ON"

IS IT HAPPENING TO YOU? FORECLOSURE BEGGING EFFORT - US BANK PHONE CALL

Bank Foreclosure Maintenance

Question: Can attorneys representing the bank in a foreclosure tell a tenant not to pay rent and that they can stay?

Can the atty representing the bank tell a tenant…(one who is behind on rent for nearly 6 months and will not get out of the house) tell the tenant that they can stay until the foreclosure is complete and that the landlord can do nothing? Little odd since it is this type of tenant and others like him that put the landlord in foreclosure….Landlord also wants to know what his rights are when it comes to the rents and filing bk? Can what rents he is able to collect be used by a maintenance company to keep the property in good repair and occupied through the process?

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Answer: Sounds like a clear conflict of interest ....

Bressi Ranch 4br Foreclosure Great Value! Bank Owned

Bank Foreclosure In Texas

Question: We live in hot Texas and want to move to Colorado. We don’t have much money. Is Realty Trac reputable ?

We are interested in buying foreclosures, bank-owned, or any other cheap way to buy a house in Colorado. It seems like real estate is so expensive up there. My husband works for a home improvement corporation but doesn’t make much money. My salary is $9.50 per hour. We have no children. Maybe someone with real estate expertise can help us to buy or get a little bit of land in Colorado preferably around Colorado Springs or around the Western slope area.

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Answer: We are based in Colorado Springs and buy distressed houses, bank owned properties and work with movitated sellers. There is a lot of opportunity here, especially now. Let me know how interested you really are and and I will point you in the right direction and answer any questions you may have.

JR
www.JRBuysHomesFast.com

Odd News - Foreclosed Funeral Home, Bank Robber in Black Lim

Sample Bank Foreclosure Letter

If you find yourself in a financial bind, a well written hardship letter directed to the bank or mortgage company is essential.  Although the hardship letter is most often associated with borrowers facing foreclosure, it can be used and is beneficial in other borrower-lender situations.  If you are unable to make payments on credit cards, car loans or other major loans, the hardship letter is vital.  This letter is the first proactive step a borrower must take in the quest for cooperation and assistance from the lender.  In the current economy, the most common situation is the borrower attempting to avoid foreclosure.  Most of these borrowers are seeking a loan modification or a “short sale”.  Most lenders require a hardship letter from the borrower.

In a nutshell, the hardship letter explains why you are unable to make payments and offers a solution.  The explanation should include exactly what happened to create the situation.  Lenders will view some situations more favorable and worthy of assistance.  For example, worthwhile situations include a job loss, major decrease in salary, serious medical condition that prevents employment, or a single parent struggling without child support.  Lenders may frown on reasons that include: divorce, legal issues, you are overextended, you are now a student, or you are threatening to file bankruptcy.  If the financial problems are simply the result of mismanagement and/or poor decisions, the lender may not view your request in a favorable light.  As you compose the letter, remember that you are not in the driver’s seat, and the lender is not obligated to assist you.

The importance of a well written hardship letter cannot be over-emphasized.  Although it may seem basic, be sure to include your full name, address, lender’s name and your loan number.  The letter should be concise. Your letter is not a top priority on the busy lender’s agenda.  Be sure you provide a specific explanation for the arrearage, but do not whine and complain.  As you describe the circumstances of your hardship, be sure to include the date the situation developed.  You need to let the lender know if the hardship circumstance is temporary or permanent.  Do everything you can to make the review of your request easy for the lender.  Attach copies of documents that evidence your situation.  For example, copies of bank statements that reflect a decrease in income or letters that support your inability to work because of a major medical condition.  Anything that documents and supports your situation should be copied and included with the hardship letter. Provide the lender with your suggestion for a solution which, of course, is the outcome you are seeking.  For example, “We feel that a loan modification (or short sale) would be beneficial to both of us.”

As you write the hardship letter, be sure you are honest and sincere; express your desire to keep your home if you are seeking a loan modification.

As you close the letter, be sure you thank the lender for their time and anticipated cooperation.  This may seem silly to mention, but be sure you spell check the letter and read it aloud to be sure it makes sense.  Remember the importance of the hardship letter as you strive to save your home from foreclosure.  This letter is worthy of your time and attention. 

If you feel that you need some extra guidance in crafting the hardship letter, you can do a search on the Internet and you will find many samples, both free and for a fee.

About the Author:

Mel Otero has worked in management in the mortgage banking and title insurance industries for over 25 years. She has created web sites and written articles to provide information, resources and inspiration during these difficult economic times.
HARDSHIP LETTERS AND RELATED INFORMATION

Article Source: ArticlesBase.com – DO YOU NEED A HARDSHIP LETTER?

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