Critical Fannie Mae Changes - CAREFUL! 06.07.10 | Zenet Negron : First Priority Financial : Stockton, CA

ChrisSorensen: (June 08, 2010 10:52am)

Frank and Brian you had me laughing today! It is SO true. The more the Gov is getting involved the bigger this problem is getting. BTW, I believe Sue spoke to Will White Merkley's assistant for financial issues. I spoke to himright afterword and then called her. We both agreed that this bill is going to hurt the industry even more and Will didn't actually seem to understand that the MIP financed should not be factored into the equation of reducing YSP for the clients benefit. IT IS EXACTELY what you are talking about today. This is all so insane.

Alabama Country Boy: (June 08, 2010 7:24am)

Check out this video about the oil spill from our local boys proposing a solution: http://www.wimp.com/solutionoil/. Fannie's problem is title clearance. Alabama does have a 12 month Right of Redemption. Many lenders discriminate against us for this reason. I suppose that it will get worse now. The Right is negotiable and the title can be cleared before the end of the 12 months, if you are resourceful enough. If you own the Right of Redemption and are buying the property the title will be clear.

BAYOUTIGER: (June 08, 2010 7:23am)

does GA or LA have redemption laws?

Broker Joe: (June 07, 2010 5:49pm)

Does California Law Allow for a Redemption Period After a Foreclosure? A California borrower only has a right of redemption if the property is foreclosed through the court system in a judicial foreclosure. The redemption period is set by the court and is no longer than one year. However, most California foreclosures are non judicial foreclosures and borrowers have no right of redemption in non judicial California foreclosures. Hope that is helpful!

5pence: (June 07, 2010 2:21pm)

Seriously, SHM, you don't see much of those? It seems like if the option is to stay in the home for a year, people would be taking advantage of judicial foreclosures. Am I reading this right?

SHM: (June 07, 2010 2:17pm)

Ya, it seems like most states are relatively the same...As for Washington, it has NO post-sale statutory right of redemption for non-judicial foreclosures. BUT- For judicial foreclosures, there is a one-year right of redemption and a residential owner may remain in possession of the property during the redemption period. But we don't see much of those either...

DallasLoanGuy: (June 07, 2010 1:25pm)

Thankfully Texas does not have a redemption period.

rbsplace: (June 07, 2010 10:52am)

In our state most forclosures aren't marketed until well after the redemption period is up. The real risk to an investor or home buyer is not the redemtion period but whether the lender properly forclosed or not. We have had three deals in the past four months where the lender did not properly foreclose even after the redemption period. One they foreclosed on the property and not the house. Another sold the house as having 27 acres with it but had only foreclosed on the house and 3 acres. Yet another...six months after the closng of the sale the buyer discovered the lender had foreclosed on one part of the property but not the portion of land the house was on or the house. Can you imagine a private seller doing this and staying out of jail?

rhodyloans: (June 07, 2010 10:44am)

Call me crazy but, didn't the FHA already cut the concession to 3%?

GODLIKE: (June 07, 2010 10:31am)

Here's a link: http://www.washingtonpost.com/wp-dyn/content/article/2010/05/28/AR2010052800002.html

mdeery: (June 07, 2010 10:31am)

Hey Frank..it is PMC Bancorp..I have heard this was coming down the line as part of the NEW LQI's with Fannie..but I had no idea they would be broker holding funds...and we have to pay for this 3rd party cert too..I am not sure what investors will require this but you have to figure if you sell to Fannie (satan) then they will require this rule too maybe right?? What do you think of this..can you ask the folks at PFP if this is coming down the pipe over there?

GODLIKE: (June 07, 2010 10:29am)

I just got this from one of my lenders. They gave me a link to the Washington Post but it doesn't work. Monday, June 7, 2010 FHA Breaking News One of the key attractions of FHA mortgage financing is going, going -- but not quite gone. Sellers and buyers who move fast can still make the most of it. Sometime this summer, the Federal Housing Administration plans to slash maximum "seller concessions" from 6 percent of the home price to 3 percent. Seller concession rules allow buyers to look to the property seller to pay for some services and taxes connected with the transaction -- loan origination and local transfer fees, appraisals, inspections, closing and escrow costs, among others -- though not the down payment.

GODLIKE: (June 07, 2010 10:25am)

You guys talked about the problem "unintended consequences" of the new laws. I'm not so sure most of what we've seen are UNINTENDED consequences. Look at who's benefiting and it looks as if they've got us just where they want us - all in the interest of doing good, you understand.

room4dana: (June 07, 2010 10:23am)

Louisiana has no statutory redeption period.

frankgaray: (June 07, 2010 10:07am)

mdeery - Who is that lender??? Call us and talk to us...

Broker in RIC: (June 07, 2010 9:56am)

Virginia: Redemption Period -- None check your state here: http://www.realtytrac.com/foreclosure-laws/foreclosure-laws-comparison.asp

SFShortSale: (June 07, 2010 9:37am)

In California, there is no redemption period on a trustee sale foreclosure. Only on Judicial Foreclosures, which rarely see.

SFShortSale: (June 07, 2010 9:35am)

In California, there is no redemption period on a trustee sale foreclosure.

Realist 1: (June 07, 2010 9:16am)

RE: BP - everyone should look at these pics http://www.msnbc.msn.com/id/36880053/ns/news-picture_stories/displaymode/1247/?beginSlide=1

mdeery: (June 07, 2010 9:00am)

CHECK IT OUT...Got funding conditions on a loan this AM and lender wants the following "broker to provide post funding occupancy inspection from authorized 3rd party: trinity filed services, must be received within 2 weeks of funding to avoid penalties *subject to broker hold. Are they out of their minds now with this shit..what happens when clients need a few weeks to move their stuff or are doing renovations? Fannie is just a big disaster but know they need to be propped up to keep housing propped up, but they sure as hell are trying to make funding loans almost impossible

jcollins: (June 07, 2010 8:58am)

Does the period start after the truste sale or first payment default?

5pence: (June 07, 2010 8:54am)

Did you guys miss this? Gretchen Morgenson: Banks Bilking Taxpayers By Refusing To Buy Back Toxic Loans They Sold To Fannie And Freddie... As profits rebound at many of these institutions, however, artful dodging becomes more disturbing. And when disguising problems winds up harming the taxpayer -- the same folks who rode to the rescue of banks with billions of dollars -- the denial is downright exasperating. http://www.nytimes.com/2010/06/06/business/06gret.html

BRoach: (June 07, 2010 8:50am)

Oregon's foreclosure redemption period is 180 days on a Judicial Foreclosure only

Gilbert: (June 07, 2010 8:27am)

The Pre-foreclosure period in the state of Texas is 27 days. There is not redemption period. For buyers, Texas is the best state to buy foreclosures.

jsteele1020: (June 07, 2010 8:17am)

In Florida it's a 10 day redemption period.

celloshred: (June 07, 2010 8:16am)

realtytrac says CA is 365 days ONLY with a Judicial sale. Most here are Trustee.

rhodyloans: (June 07, 2010 8:08am)

Thanks, Alder! I asked this question very late on Friday so I didn't see any responses, but does anyone have a good source for buying leads these days? I seem to be buying a lot of junk.

Realist 1: (June 07, 2010 7:56am)

RE: The effect of financing being held off on foreclosures - it sounds like Fannie is shooting themselves in the foot, but that is nothing new. I suspect it will add to the shadow inventory situation. RE: BP - guess what? According to Matt Simmons, there is another leak much bigger than the one that existing one that they are doing absolutely nothing about: Here is the link: http://www.youtube.com/watch?v=cDGAoU1H2gM

frankgaray: (June 07, 2010 7:51am)

CAN ALL STATES CHIME IN WITH YOUR REDEMPTION LAWS. ~ Brian tbws

Red Wing Guy: (June 07, 2010 7:18am)

Hey Guys, You talked at the end of todays show about 'share button". You had a 'share button' on the old format so I was able to put it out there on my 'blogger dashboard' along with facebook, etc. I don't see the same options or they are just limited to the five options listed. Not a computer wiz as you can tell---How can I still post your videos to blogger andd Google reader, etc? THANK YOU FOR ALL THE GREAT INFO DAILY!!

DanSchweihs: (June 07, 2010 7:17am)

“Junk bonds” were renamed “high yield securities” and became a very popular investment.

skinne: (June 07, 2010 7:08am)

Just in case anyone is unsure about which states have the Redemption Period, check out the following link: http://www.realtytrac.com/foreclosure-laws/foreclosure-laws-comparison.asp

donloyd: (June 07, 2010 6:31am)

FYI - Oregon law allows for a redemption period after a foreclosure in some cases. Oregon laws allows for both judicial and non judicial foreclosures. If a lender pursues a foreclosure through the judicial system then the borrower has a 180 day right of redemption. There is no right of redemption for non judicial foreclosures.

njloanman: (June 07, 2010 5:59am)

Hammer- are you implying that our elected officials do not familiarize themselves with all aspects of an issue before commenting? or do not have the publics best interests at heart?.......lmao!Go Hammer....I could not agree with you more!

Cathy AREU: (June 07, 2010 4:45am)

Georgia does not have a redemption period. YEA! Let's get these properties on the market and sold. We are foreclosing between 9,000 - 12,000 per month. GA and TX has the quickest foreclosure process in the nation. When the mortgage company makes up their mind to foreclosure, it can happen less than 45 days.

Kokomore: (June 07, 2010 4:22am)

Like Texas, Indiana has no redemption period on foreclosures. The only redemption period applies to tax sales.

Hammer: (June 07, 2010 4:15am)

The message below has been approved by Hammer, a proud NJ constituent who has seen many of his rights and protections lost by his elected officials. Man I hate politicians.

Alder: (June 07, 2010 4:14am)

Hey rhodyloans, they werent talking about the borrower, they were talking about the real estate.

Hammer: (June 07, 2010 4:11am)

As I guy from NJ I am proud to say that Senator Menendez represents my state. While not nearly the cutting edge leader that Rep. Hank Johnson is (he of Guam capsizing YouTube fame), Senator Menendez has consistently shown his innate ability to ignore logic and facts. He is NJ's junior Senator, junior to Frank Lautenberg. Menendez aspires one day to reach the level of utter incompetency shown by Mr. Lautengerg, and seems to be right on track. His goals might be derailed though, as not all of NJ is as easily fooled as the high vote count urban areas - and some of the smart ones have started a recall movement to yank his ass out of office. Though Menendez has obviously tried to block this recall petition, it was ruled on March 16th by the State Appeals court that it could move forward. His dedication to saving his own hide is obviously what is hampering his ability to stay on top of the Merkley bill. His devotion to himself should be honored. Just sayin'. ;)

GMac: (June 07, 2010 4:07am)

I believe Ohio's redemption period is from the date of public sale until the date the confirmation order is signed by the Judge. Can be a month or so after the sale.

rhodyloans: (June 07, 2010 3:47am)

O.K., I hate asking this, after 22 years of experience, but what lender is refinancing a borrwer who has been foreclosed on?!!

Mike H: (June 07, 2010 3:40am)

Texas has no redemption period for mortgage foreclosures. Only tax lien sales have redemption periods.

john: (June 07, 2010 1:53am)

Not all foreclosures are subject to a redemption period. For example, there is no redemption period in CA unless the property was taken back through judicial foreclosure, which is not typical.