Celhomes.com - Real Estate Professionals

SB 1178 (Corbett) Anti-Deficiency Protections - Anti-Deficiency rules protect a borrower from personal liability on a purchase money mortgage which goes into default and eventually Judicial foreclosure. Due in part to declining interest rates, many purchase money mortgages have been refinanced and have lost their characterization as "purchase money". Homeowners were not informed by the lender that when they refinanced they lost their legal protections and may be personally liable for the difference between the value of the foreclosed property and the amount of the loan. C.A.R. sponsored SB 1178 attempted to extend borrowers’ anti-deficiency protections to refinanced purchase money mortgages. This bill originally would have extended borrowers’ anti-deficiency protections to cover the refinance of purchase money mortgages that included cash out used to substantially improve the property, but was amended to apply only to the refinance of purchase money mortgage with no cash out. The lending industry was strongly opposed. Status: Vetoed by the Governor on September 30, 2010

Fannie Mae recently launched WaysHome, a free, interactive multi-media tool designed to educate homeowners about their options to avoid foreclosure, empower them to make informed decisions, and motivate them to take action and seek help in 2011. As part of Fannie Mae’s “Know Your Options” initiative to help struggling homeowners, the WaysHome video uses innovative technology to allow homeowners to put themselves in real-life situations, make informed choices, and immediately see the outcomes of those actions. WaysHome is available at www.KnowYourOptions.com.

Smart Money Real Estate:
Finally a good investment? The housing market still looks pretty bleak: There were a record 1 million foreclosures last year, home prices are still falling in many regions, and the number of "underwater" properties is at a record high. And things don't look much better in other areas of real estate. The number of construction jobs continues to decline, even as other parts of the economy have added jobs. And mortgage rates have moved higher as long-term Treasury yields have backed up during the past few months. Basically, the real estate market remains a mess. Real estate encompasses a wide range of markets – homes, apartments, hospitals, office buildings, strip malls, dormitories and other properties. But for our purposes, let's focus on residential real estate, or homes. Here are four reasons to think residential real estate might represent a bargain – with one big caveat. KEEP THIS IN MIND •Everyone hates homes - When the housing market is in the doldrums, people tend to avoid thinking about the value of their home. Sellers complain they’re not getting offers and buyers bemoan the strict lending requirements. However, prospective buyers should be contrarian and take advantage of a down housing market. •Smart people are buying real estate - A prominent hedge-fund manager said in a speech last fall: “If you don’t own a home, buy one. If you own a home, buy another one, and if you own two homes, buy a third and lend your relatives the money to buy a home.” He believes that interest rates and home prices will rise this year, so real estate bargains won’t last much longer. •Real estate performs well during inflation – Convention says Treasury Inflation Protected Securities, commodities, and real estate do well in an inflationary environment. Real estate performed well during the period in the 1970s, when persistent inflation and high unemployment occurred. •Demand may be coming back - Job creation and getting people employed are the two major factors in the housing rebound. There’s much debate about when the job market will recovery. Optimists say the recovery will happen this year, while pessimists say it won’t happen for several years.
Read the full story http://www.smartmoney.com/personal-finance/real-estate/-1295050347411/Jan. 20, 2010Page
For more news go to: files1/Beyond_the_Headlines__012010.pdf

New York Times

Online mortgage shopping made easier
The vast amount of information available online about mortgages – such as interest rates, loan benchmarks, prepayment penalties, and the like – can cause home buyers to feel confused and overwhelmed when shopping for a mortgage. Most surprisingly, a recent survey found that only 61 percent of homeowners surveyed said they comparison shopped for a mortgage, and 39 percent said they took out a home loan based on just one quote.

What to Expect with Home Prices in the Next Few Months

California's median home price has shown some welcome stability in recent months, hovering around the $290,000 mark since March. But what is likely to happen over the rest of the year? Are there opportunities between now and December 31?