Tehama Country Real Estate

2 – Tehama Country Real Estate CHOICES FOR PEOPLE WHO ARE UNDERWATER ON THEIR MORTGAGE A Real Estate Spotlight By Alex Mason pproximately one-third of homes sold in the 2000s are under- water on the mortgage loan. Though distressing at the moment, things can rapidly change in the real estate market for the better. However, waiting for an upward swing might not suit every borrow- er, and such home owners may wish to take immediate action to get some breathing room. There is light at the end of the tun- nel, and here is a look at some viable steps you may take to lower your mortgage or walk away from the cumbersome property. Refinancing Borrowers who took advantage of low month- ly mortgage payment with an interest-only loan may wish to stretch the payments to a 30- year fixed payment at a lower interest rate. When lending rates are down, as they are now, it can be a good time to jump in and refinance if you have the equity to do so. The general rule to secure the best interest rate is to keep your credit score in tip top shape. How- ever, many borrowers have fallen prey to the financial pinch and been late on reported payments. Not to worry — help is on the way. You may bring up your low credit score to above-par status in a matter of a just a few months. Credit Score Improvement If your credit score is less than per- fect, don't feel bad and think that you are alone. Take a number and join the club of distressed home loan borrowers who need a little bolstering with their credit score. To bring up your credit number, simply sign up for a secured credit card and put your regular monthly purchases on the loan balance. You must pay the monthly bill on time and never exceed what you can afford. Within six months of regular usage, on-time payments can raise your credit score from flimsy to fab- ulous and ready to refinance. Short Sales A short sale is an emergency selling technique to get the best possible price and relieve the distressed bor- rower from further liability with the home. Con- and circumstances. Some agents specialize in selling senior proper- ties, foreclosures, and most impor- tantly, the short sale. If you find yourself in need of list- ing your home as a short sale, be sure to shop the Realtors for an experienced short-sale agent. This person must have a solid rapport with the banks and lenders and have razor-sharp negotiation skills. Time is of the essence to successful- ly transfer the sale of the property before the mortgage goes into default, so be sure to check the cre- dentials of short-sale specialists in your area and choose one with plenty of experience. Bankruptcy The bankruptcy option is a way to save your home and eliminate most of your debts through a Chapter 13. However, in most cases, the home owner will need to repay some of the home owner- ship debt on a convenient monthly plan set forth by the courts. Bankruptcy can be an emer- gency escape before your prop- erty is subject to a Notice of sumers know there is a deal to be had when purchasing a property marketed as a short sale, so the price should be set below the home's current market value. However, the final price of the property will be subject to bank approval, and the closing process can be tricky. Seller beware that the short sale is an emergency procedure and will not yield a profit on the sale of the home. So cut your losses, take what you can get for the property and walk away. Short Sale Agent Not all real estate agents are created equal when it comes to special skills Choosing A Default, so be sure you have hired a qualified attorney that specializes in bankruptcy. When your home is subject to dead- lines and filing dates, only a sea- soned bankruptcy lawyer can be trusted to get the paperwork submit- ted on time. Alex Mason is a former real estate agent and mortgage broker living in Los Angeles. ALL O.W.C. $1K TO $5K DOWN 4/2, Pool by Walmart 3/1 on 6 Acres - ALL NEW 2/2 MFH $86K - ALL NEW 10 Acres, Well, Septic, Power VIEW LOTS $1000 DOWN IN PAYNES CREEK (530) 921-4849 5000DOWN.INFO ➥

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