Register Real Estate Advisors

If you are in the market for a housing purchase and you’re going to use an FHA Loan, then you need to lock into a purchase before April 1st to save money on your monthly mortgage payment.  FHA is taking steps to bolster their reserves.  By doing this, they are charging the consumer more for their Mortgage Insurance.  Call us today at RREA if you need to find your next home before April 1st – 281.288.3500.  The news release is below that explains in detail what you can expect from FHA in the coming months.

WASHINGTON – As part of ongoing efforts to encourage the return of private capital in the residential mortgage market and strengthen the Federal Housing Administration’s (FHA) Mutual Mortgage Insurance Fund, Acting FHA Commissioner Carol Galante today announced a new premium structure for FHA-insured single family mortgage loans.  FHA will increase its annual mortgage insurance premium (MIP) by 0.10 percent for loans under $625,500 and by 0.35 percent for loans above that amount.  Upfront premiums (UFMIP) will also increase by 0.75 percent.

These premium changes will impact new loans insured by FHA beginning in April and June of 2012.  Details will soon be published in a Mortgagee Letter to FHA-approved lenders.

“After careful analysis of the market and the health of the MMI fund, we have determined that it is appropriate to increase mortgage insurance premiums in order to help protect our capital reserves and to continue encouraging the return of private capital to the housing market,” said Galante.  “These modest increases are one of several measures we are taking towards meeting the Congressionally mandated two percent reserve threshold, while allowing FHA to remain a valuable option for low- to moderate-income borrowers.”

The Temporary Payroll Tax Cut Continuation Act of 2011 requires FHA to increase the annual MIP it collects by 0.10 percent.  This change is effective for case numbers assigned on or after April 1, 2012.  FHA is also exercising its statutory authority to add an additional 0.25 percent to mortgages exceeding $625,500.  This change is effective for case numbers assigned on or after June 1, 2012.

The UFMIP will be increased from 1 percent to 1.75 percent of the base loan amount.  This increase applies regardless of the amortization term or LTV ratio.  FHA will continue to permit financing of this charge into the mortgage.  This change is effective for case numbers assigned on or after April 1, 2012.

FHA estimates that the increase to the upfront premium will cost new borrowers an average of approximately $5 more per month.  These marginal increases are affordable for nearly all homebuyers who would qualify for a new mortgage loan.  Borrowers already in an FHA-insured mortgage, Home Equity Conversion Mortgage (HECM), and special loan programs outlined in FHA’s forthcoming Mortgagee Letter will not be impacted by the pricing changes announced today.

Taken together, these premium changes will enable FHA to increase revenues at a time that is critical to the ongoing stability of its Mutual Mortgage Insurance (MMI) Fund, contributing more than $1 billion to the Fund, based on current volume projections through Fiscal Year 2013.

RREA Media is constantly finding ways to make our agents’ lives easier. Today we launched two web applications that are not only available to our agents, but open to the general public.

So in addition to our url shortening service at RREA.us, we now offer a Facebook Scheduling App and a Twitter Scheduling App.

These apps allow you to schedule certain posts (both to business pages and personal pages) that will be posted at the time and date you specify. The same with the Twitter App, you can schedule out prewritten Tweets and specify when they are published.

We hope you enjoy.

After reading an article in Home Trends By Melissa Dittmann Tracey, REALTOR® Magazine, I found that there are color experts in the world that forecast what colors will help sell houses in 2012.  Her article explained that the current hot picks are colors that come from the outdoors – like native plants and flowers, oceans and lakes, and rocks and minerals.  According to the Paint Quality Institute there will be a lot of bold blue and I can admit when I shop at the mall for clothes this season, bold blue is everywhere.  It’s a soothing color most people seem to enjoy.  Another color you will be running into is Vibrant Green.  This is not your mother’s old Avacado Green Appliances, but a brighter variety of greens that range from the color of celery to asparagus and ferns from the outdoors.  Lastly, you’re going to see some majestic violet colors.  These are your patriotic blues and red hues.   Enjoy the fresh colors being introduced this year and bring home some samples to try in your house.  If that doesn’t appeal to you, you might want to buy a new home.  Call me today to get started and I will find you your dream home and get it painted the colors you like!

To apply for your Residence Homestead Exemption use Property Tax Form 50-114. Montgomery County, Texas homeowners can find their forms at http://www.mcad-tx.org/html/forms.html

Remember: This must be owned by you and occupied as your principal residence.
File: With the appraisal district for the county where the property is located.
When: January 1 and no later than April 30
Note: You do not need to reapply annually once granted

The Chief Appraiser may request additional information … you have 30 days from date of request.

Appraisal District’s Name: Montgomery County Central Appraisal District
Phone: 936-756-3354
Address: 109 Gladstell Conroe, Tx 77301

Now that the formalities are covered let’s move on to the 7 Steps of the application:

Step 1:

State the year for which you are seeking exemption(s) …
Most likely if you lived in your home by Jan 1st then the year will be 2012. If you neglected to fill out your application a homeowner is allowed to go back 2 years.
State the date you began occupying the property as your principal residence …
Do you own the property … X the box Yes or No (remember you must own the property)

Step 2:

Your Name, Mailing Address, City, State and Zip go on the next few lines. Names of all owners need to be provided (attach additional sheets if needed)
Drivers license, Personal ID Certificate or Social Security # must be provided. These will be kept confidential.
Don’t forget to indicate the % ownership.

Step 3:

Now describe your Property. The legal description and the District Account # can also be found at
http://www.mcad-tx.org search using either your address or your Name. the Account# will begin with the letter R…

Step 4:

Identify as many of the exemptions that apply. For sure the box General Residence Homestead Exemption will be checked. Also notice that there are other boxes; Disabled Person Exemption, Age 65 or Older Exemption, Surviving Spouse, 100% Disabled Veteran Exemption, or Surviving Spouse of Disabled Veteran who Received the 100% Disabled Veteran’s Exemption. Notice all restrictions that apply to each and the Affidavits that may be required.
If you are not sure whether to check the box seeking a school tax limitation from your last home there is information defining this term at www.window.state.tx.us/taxinfo/proptax

Step 5:

This Part Is New, Pay Attention to Addresses Matching
Send copies of Required Documents addresses must match property address!
1) Applicants driver’s license or State-Issued Personal ID certificate.
And
2) a copy of the vehicle registration receipt or
an affidavit to the effect stating applicant does not own a vehicle and a copy of a utility bill in applicants name.

Step 6:

Is this unit cooperative housing? check Yes or No

Step 7:

Read, Sign and Date! Make No False Statements!
Judy Reynolds, your Realtor® has walked you through the form and You might be done now…

Or, we might need to put sticky notes (to serve as reminders) on the form where you are waiting on documents with matching addresses. Remember you have until April 30 to send to the Central Appraisal District. I highly recommend that you utilize a Post Office Tracking Service to prove the district received your forms on time.
Almost Done …

Do you need a Notary for any of the Affidavits on the last page? Many of the personal banks will have notaries on staff. If I have helped you through the process of buying your dream home then I personally will see to it that we set up an appointment and have the Affidavits notarized at my office!

Thank you Lynn for Notarizing the Affidavits for my Clients!

Call me!
Judy Reynolds, Realtor®, Standing by to help you through the home buying and ownership process! 936-203-7761

The Texas Veterans Land Board offers many benefits for both active duty and national guard members. If you are on active duty stationed in Texas or you’re a national guard member or reservist, come home to the benefits you deserve.

Register Real Estate Advisors has many agents that are Texas Veteran Land Board Certified and can also help you with VA Loans. Call today 281.288.3500 to learn more and find a Realtor that can best suit your needs.

The Texas Veterans Land Board can offer land loans up to $80,000 with a one acre minimum. They offer home loans up to $325,000. So call us today to get started using your Texas Veterans Benefits on your next land or home purchase!

Are you in need of a short sale, but have a second lien holder on your home? Having a second lien does make it more difficult to do a short sale. The first lien holder will decide how much money the second lienholder will get paid off if the short sale is accepted. So what if the second lienholder won’t take that amount from the first lienholder? It can be a mess!

So you had your Realtor do a short sale. She found a buyer after advertising for months. You and your Realtor and the first lienholder negotiated the contract. Everyone is happy except the second lienholder. You see, if the second lienholder won’t take the payoff from the first lienholder, then clear title cannot be transferred to the buyer, which means the short sale cannot be done. So, the home goes into foreclosure or the sellers have to file bankruptsy. The short sale is over.

In the past I had a seller who was in this situation. The seller, their first lienholder of thier mortgage, and the buyer were all in agreement on the short sale. The first lien holder, the bank, was going to give $3K to payoff the second lienholder. But the second would not take the $3K. They wanted their full amount due (which if the sellers could pay they would not be doing a short sale!) So the home was not able to sale. Everyone loses. The Realtor loses commission even though they found a buyer. The seller loses their home to foreclosure. The bank has to pay additional fees for the foreclosure. The buyer lost the house they wanted and could afford to buy. The second lienholder walks away with nothing. It’s such a shame when this happens.

If you are interested in doing a short sale, please contact your Realtor early on in the process. Once a foreclosure date has been set, it is hard to get the bank to extend it out to allow time to market the property. If you have a second lienholder, tell your Realtor in the beginning so they can start the negotiations between the second and first lienholders. It can be done. I have seen many second lienholders take the settlement from the first lienholder. It usually works out, but unfortunately, sometimes it does not. Make sure you use a Certified Distressed Property Expert if you need to do a short sale. There are so many things that can cause a short sale to foreclose. Make sure you have a Realtor that can get it closed for you! At RREA, we have many Realtors with the CDPE designation that have closed many short sales. Please call today if you or someone you know is having a mortgage crisis. We can help!

WASHINGTON (U.S. Department of Housing and Urban Development) – Citimortgage Inc., a subsidiary of Citibank N.A., has agreed to pay $158.3 million in damages to the U.S. Department of Housing and Urban Development (HUD) under the False Claims Act after charges of mortgage misconduct. The government’s complaint of over six years of wrongdoing in connection with Citimortgage’s participation in the Federal Housing Administration (FHA) Direct Endorsement Lender Program ended in a settlement approved by U.S. District Judge Victor Marrero. Citimortgage admitted responsibility for failing to comply with HUD-FHA loan requirements and to falsifying FHA mortgage insurance eligibility documents. The case against Citimortgage is just one in a series filed against lenders who ignored HUD requirements for approving government-backed loans.

Hey there. Welcome to the 50th installment of White Board Monday. This week’s WBM is on Seller’s Disclosures. When you are selling your home, there are some things that need to be disclosed and some that do not. Enjoy!

Como parte de un arreglo entre 49 estados y cinco de los bancos más grandes de la nación, algunos dueños de una casa en problemas de Texas recibirán préstamos re-estructurados con pagos de hipoteca más bajos. Otros quienes hogares fueron reposesiones pueden conseguir $2.000 cheques.

El convenio del reparto $25 mil millones, de todos los estados de los E.E.U.U. excepto Oklahoma, proviene por el manejo inadecuado de reposesiones (foreclosures) por por Ally/GMAC, Bank of America, Citigroup, JP Morgan Chase, y Wells Fargo. Nueve otras instituciones pueden tomar parte del acuerdo, empujando el convenio nacional que suman $5 mil millones más.

Muchos prestamistas de hipoteca admitieron sus manejos inadecuados en el proceso de reposesiones y ejecuciones de hipotecas, incluyendo no poder verificar documentos subyacentes, firmando documentos sin el repaso de ellos, y usar nombres ficticios para firmar documentos.

El arreglo evita que los estados demanden a los prestamistas de hipoteca por estas actividades. Sin embargo, no para a dueños de una casa de perseguir remedios legales en una Corte Civil.

El hecho que los Téjanos recibirán alrededor de 1% del total del a pesar de la gran población del estado puede ser un resultado de que el número de reposesiones o ejecución de hipotecas en Texas es menos que mitad del promedio nacional, según la base de información Core Logic.

Las personas elegibles para las modificaciones de préstamos o de mensualidades recibirán cartas durante los próximos seis a nueve meses. Más información está disponible en NationalMortgageSettlement.com y de un FAQ por la oficina del Procurador General de la República de Texas.

Traducido por Esly Cruz y tomado del artículo original (Settlement provides $287 million in mortgage relief to Texans / Feb. 10, 2012/ www.texasrealestate.com)

Link to Article

I have found that some consumers want to choose their own title company when they are purchasing a home. It is their right, of course, to choose. However, on what basis is a consumer choosing a title company? It has been my experience that when you allow your Realtor to choose the title company, you have a much smoother closing. This is because title companies work for Realtor business, not consumer business. So title companies want to make Realtors happy so they will repeatedly use their services. So when I use a title company of my choice for my clients, I know they will get great service and I have no fear of the title company going under with their earnest money. I also know I will get all my documents in a timely fashion and if there is a problem, I have someone I can directly contact and trust to resolve it. However, when consumers purchase Foreclosure properties, they usually do not get a choice on their title company. The seller decides or they make the buyer pay for the title insurance.

On a recent transaction I had a buyer that was purchasing a foreclosed home. The title company was chosen by the seller and it took them weeks to get the documents that the lender was requesting. Since the title company was out of town, they did a remote closing at my office. That means the title company sent a notary to get all of the documents signed. Unfortunately in this case, the title company did not send all the docs with the notary. So the next day when we were waiting for funding and my clients were waiting to get the keys to their new house, my clients and I found out they had to come back and sign more documents. Imagine my outrage! Then after the closing the title company did not send copies of the closing documents to my buyers. We had to both request copies several times before they were emailed to them. There are so many things that can hold up funding on a loan. You don’t want your title company to be the reason you don’t get into the home of your dreams. What if we’d had to wait to get docs signed and the lock on the loan expired? We could have lost the entire deal. You want to work with a title company that has a good reputation with your Realtor. One that your Realtor trusts to take care of all necessary details. Trust your Realtor, because is they are worth your real estate business, they know which title company will take good care of you!