PREAPPROVED SHORT SALE PROGRAM FOR FHA

, , ,

short_saleIf you are like many out there that are struggling to make your mortgage payments and have an FHA loan, there is good news.  The government has rolled out a new program that Pre-Approves Short Sale prices for homes where the loans are backed by FHA.  In order to qualify, you will first need to make sure that your loan is an FHA loan.  This is easily determined by either looking at your mortgage statement or your closing statement.  If you are charged and pay PMI mortgage insurance, then you have an FHA loan.  Otherwise, you can call your lender or servicer and they will indicate whether it is an FHA loan.

ELIGIBITLY

The difference between this Pre-Approved FHA SHORT SALE  and a traditional short sale, is that the borrower is not required to have a contract  for Sale and Purchase in order for the lender to start working the file. Rather, the borrower can contact us to apply for the short sale, we will request from the borrower and submit financial documents to substantiate the financial hardship. Once the  lender has the borrower’s financial information, they will order an appraisal by and FHA certified appraiser that will determine price.  Once the fair market value is determine and the lender further determines what they need to net from the short sale, an approval letter is sent out to us with the listing price, or minimum they will accept.  ITS THAT EASY!

TIMELINE

From beginning to end, the process is taking between 30 to 40 days and is hassle free.  Moreover, it takes the work away from the realtors of having to play with the numbers and comparables, since the bank will advise what number they  need to net from the short sale closing.

MONEY GIVEN TO BORROWER

And even greater news is that the borrowers usually obtain a $1,000.00 incentive check for their own moving expenses.

There are other qualifications that are required of the borrowers.  We invite you to call our office to discuss your options and allow us to negotiate your short sale for you.

The Law Offices of Jacqueline A. Salcines, PA,

706 South Dixie Highway, Second Floor, Coral Gables, FL 33146

Telephone  305 .  669  .  5280       Email:  J.Salcines@Salcineslaw.com

TRUST    |      COMMITMENT    |    RESULTS

 

/by

1.7 MILLION HOMES MOVED ABOVE WATER IN 2012

, , , , ,

foreclosure process CoreLogic reports that in the 4th Quarter of 2012, over 200,000 properties came up from being “underwater” and a total of 1.7 Million homes in all of 2012.  Source: DS News.com  To read the full article go to www.dsnews.com/articles/corelogic-17m-homes-moved-into-positive-territoy-in-2012.

What does this mean for those selling… that it is once again a sellers market.  That asking price once again retrieves dozens of contracts, over asking price, many from cash buyers.

What does this mean for those buying… that the market is once again competetive and will weed out those looking for distressed bargains.

What does this mean for those looking to modify… that the lenders will most likely make less and less principal reductions, as appraisals show that mortgages are once again not so far apart from fair market value and will not pass the NPV test.  Many that refinanced or took out second mortgages or HELOC’s may still experience negative equity, but it may be harder and harder to modify.  Proper, uninflated values must be closely calculated and provided to the lenders.

What does this mean for those short selling… that once a BPO is ordered, a bank may likely counteroffer on price as the buyers are coming in too low for fair market value sustained prices.

Whether you are looking to sell or buy, now is the time to once again use increased scrutiny when placing an offer or accepting an offer. It appears that we are once again riding another bubble that may likely burst if inventory is set loose.

Stay tuned for 2013 1st Quarter results.

LAW OFFICES OF JACQUELINE SALCINES, PA

TRUST  |  COMMITMENT  |  RESULTS

/by

WHAT YOU NEED TO KNOW BEFORE BUYING A PROPERTY

, , , , , ,

Stacks of One Hundred Dollar Bills with Small House.Many things need to be considered when buying a property, regardless of whether your plans are to live in it or whether it is an investment. 2013 marked a year of many changes in the tax code by the Internal Revenue Service, including changes as to how mortgage interest income can be deducted and reported on tax returns, as well as Capital Gains taxes and limits, and numerous others are planned and will take effect upon property purchased in 2013.

If  the property you are considering purchasing is distressed, you will have a wide array  of considerations.  For instance, if the seller purchased in a foreclosure auction or as an REO, was the foreclosure accurately handled and/or dismissed.  As a buyer, you will need to make sure that the title is clean and that no other interest holders have rights, that may haunt you after you have signed on the dotted line.  This is the important, often overlooked role of the real estate attorney/title agent who will make sure that all this is reviewed prior to closing.  Moreover, whether the property and the loans associated with it are being audited by the Department of Justice is also a huge impacting consideration, as it may force titles that were issued to property owners and bona fide purchasers to be reversed, causing siginificant economic damages.

Real estate taxes also have a huge impact on whether a property should be considered or not.  In the advent of another real estate bubble, and with home values increasing by dramatic amounts, October may cause us to witness increased assessed values by the Property Appraiser causing once lower valued property taxes to double.

Return on Investment is also a big consideration.  If the property you are purchasing will be improved for rental,  the rental values permitted in the particular market need to be assessed.  What amounts will you be paying yearly in maintenance, insurance, taxes versus what the market will allow you to charge in rent.  Attorney Jacqueline A. Salcines states:  “At my firm, we use state of the art realty programs and tools that allow us to calculate up to the minute rental values for the most accurate assessment of what our client can rent the properties they are considering purchasing for.  This allows our investors to calculate their return on investment and make a sound decision as to whether to embark on the investment or walk away.”  There are countless other considerations that must be evaluated before you sign on the dotted line.

For many, buying a home is the single most costliest investment ever made.  It makes sense to have the right professionals by your side to guide you every step of the way.

At The Law Offices of Jacqueline A. Salcines, P.A., attorney Jacqueline A. Salcines is not only a real estate attorney and title agent with Attorney’s Title Insurance Fund, Inc. and Old Republic National Title Insurance,  but also an Accountant and Realtor.  Of equal importance, our firm has partnered up with  Tax Accountants and real estate professionals to provide the best guidance and advice to make sure your decision is a sound one.

Dont got it alone.  Hire the services of a professional to assist in making that one decision that may affect the rest of your life.

We are located in Coral Gables and the first consultation is always at no charge.

TRUST   |     COMMITTMENT  |    RESULTS

 

/by

WHAT YOU SHOULD KNOW BEFORE BUYING A HOUSE

, , ,

foreclosure_defense Deciding to purchase a home, for many, is the single most costly decision of their lives. Immediately followed by financing our children’s college education, perhaps?  Therefore, such a decision is not one to take lightly.  While we all know when it is time to buy (either you have outgrown your current home, looking to relocate, better neighborhood, growing family, change in employment) it is not a decision to be made without careful consideration of all factors.  Rather, some things to be taken into consideration include:

  1. Is the property priced right.  Hiring a real estate professional in this arena can be the single most important decision you make to determine value.  A realtor and real estate attorney as myself can run comps and look at closed sales, or determine a High, Low and Median price per square foot.  We are currently in a Seller’s market in South Florida and experiencing higher than normal asking/sales prices due to low inventory.  Therefore, the Seller may take this into consideration and price the house higher than market sustains. While today it may not matter as prices continue to rise, tomororw, if the bubble bursts again, this may not allow you to recuperate your paying price.
  2. Do your research on the neighborhood. If you have young children, are there other young children nearby?  Are the nearby residents owners that will maintain their properties or tenants that may not?   What schools pertain to the property?  Is there a Homeowner’s Association? If so, what are the rules and regulations you will be required to adhere to?  Take trips to the property during different hours so you can get a feel for the neighborhood and neighbors.  Going only while it is staged will not give an acucrate depiction of what life will be like after you close.  There is nothing worse than buying a property without researching these items and then finding out that your dream home may not be a dream after all.
  3. Ask for a Property Disclosure and perform proper inspections.  What looks great on the outside, may turn out to be not so great on the inside.  Perhaps your dream home needs a new roof that will put you back thousands of dollars. Or there are wood destroying organishms, or Chinese drywall or mold, that will cause health issues.  What other underlying issues are present in the home that the seller knows of?  Your realtor or the seller’s realtor must have them prepare and sign a Seller Disclousre that will reveal any known defects or issues with the home that you should take into consideration before putting an offer in.
  4. Are the owners in foreclosure or other liens that can effect the property.  While hiring the right attorney will clear any title issues, you may be in a time crunch to move and any home purchased with either a foreclosure or in a short sale, may be time consuming.  Clearing any tax liens or making sure foreclosures appeal periods have lapsed, can affect your closing deadline and they are important issues to know before putting an offer on a home.

These and countless other issues arise during the course of a real estate deal.

By having the right real estate lawyer and realtor by your side, you have already conquered half the battle.  While it may seem daunting to a homebuyer, these are issues we deal with on a daily basis and can handle like clockwork.

Don’t go it alone.  Hire an experienced real estate attorney to protect your rights.

LAW OFFICES OF JACQUELINE A. SALCINES, P.A.

TRUST   |  COMMITMENT   |   RESULTS

 

 

 

/by

HOMEOWNERS HAVE EQUITY AGAIN

, , , , , ,

The Wall Street Journal has reported that the Rising Prices of Homes has drastically shrunk the ranks of Underwater Borrowers”.  Source:  The Wall Street Journal  February 25, 2013.  To read the full article click the following link:  http://blogs.wsj.com/developments/2013/02/21/rising-prices-shrink-ranks-of-underwater-borrowersHome floating on a life preserver.

In fact, according to the Article, and citing from reports by Zillow, “around 2 million homeowners moved back above water last year”.

So what does this mean for our South Florida market.  Well, what once was considered a short sale, may in fact now be a regular sale.  Sellers that were forced to sell their homes because of trouble making mortgage payments due to either having entered into subprime loans, adjustable interest rate mortgages and fast approaching balloon mortgages, may now have equity. This equity translates into the ability to refinance their home and take advantage of  low mortgage rates OR sell their home and make a profit.

“While the looming release of shadow inventory is expected to affect prices and perhaps “burst the bubble” once more, South Florida home owners can take advantage of the rise in prices to set their objectives in place”.  Jacqueline A. Salcines, Esq, real estate attorney.

Now is the time to consult a real estate expert to find out what your home is worth and decide whether to sell the home or refinance.  In reality, nobody knows how long this new bubble is going to last and one might as well take advantage of the life preserver.

LAW OFFICES OF JACQUELINE A. SALCINES, P.A.

 

 

/by

LANDSCAPING HEAVILY INFLUENCES SELLING PRICE OF A HOME

, , ,

Stone and brick home with arched doorway As we South Floridians in the Gables, Pinecrest, Key Biscayne and surrounding areas enjoy a Seller’s market once again, it is important to know that research shows that the average homebuyer has already  made their mind up about buying a particular home the second they see the house from the outside.  “And by outside, I am not just referring to the structure.  A beautiful, well architected landscaped home will most likely get your buyer in the door much quicker than one that is spared of landscaping, and heavily influence the market value of your home.”  Jacqueline A. Salcines, Esq.

Many university studies reveal that an investment in landscaping provides a return on investment of more than 100 percent.  100 PERCENT! That means, that if you invest $25,000.00 in landscaping, you are likely to see that return when you add the $25,000.00 to the selling price.  Studies also show that homes that have curb appeal sell up to six weeks faster than homes that do not.

While some areas sell by themselves, this is great news if you are trying to sell a distressed home in today’s market.

So where do you start.  Drive around.  Take a look at other well-manicured yards in highly sought after areas and ask the homeowners for their landscapers name.  If you are the “Do It Yourself” type, you can certainly find hundreds of books and magazines on the market these days that will teach you how to get that great yard in no time.  The trick is to remove dead plants or beds that have been taken over by weeds. Make sure the lawn is nicely manicured and GREEN and thriving.  Local stores like Home Depot, ACE and others, sell numerous fertilizers for every type of lawn.  And make sure you have plant beds and plenty of color to bring attention to areas of the property. Also make sure the green does not convert into a jungle.

“Addresss the landscaping with a buyers point of view.  Think about what a typical buyer  is looking for. They want a nicely manicured yard with enough greenery to frame complement your home, but not so much that it becomes the focus of the home. Trees have the biggest impact, so placing an attractive tree, or trees, in your yard to provide shade and frame your home or backyard may well be worth it. Furthermore, landscape experts add that the way your landscaping funds are invested has a great deal to do with the return you experience. Buying a ton of small homogeneous plants is far less desirable that a few well placed mature ornamentals that complement the rest of your yard. You should focus on the front yard first as this is what grabs a potential buyer’s attention. Make sure your beds are weed free and covered with a nice layer of mulch.”

While only one idea to bring value to your home, always consult an expert when buying or selling.  We are here to help.

Law Offices of Jacqueline A. Salcines, P.A.

 

 

 

/by

HOW TO CALCULATE WHAT YOUR HOME IS WORTH

, , , ,

If you have not checked to see what your home is worth lately, you may be in for quite a surprise.   Nationally, and statewide, property values are skyrocketing and the median prices of homes are rising in double digits, specially the South Florida luxury real estate market. foreclosure process

The best way to determine the fair market value, is always to hire the services of a knowledgeable and skilled real estate professional to run a Comparative Market Analysis of your property to determine the price per square foot. A low, median and high price will be provided in order to assess true and accurate price per square foot.  Since this technique is based on comparables to the most recent sales, it is by far the most accurate manner to determine worth.  Whether prepared by an attorney or real estate agent, choose someone with knowledge and skill to determine the most accurate price.

Of course, there is always the formal APPRAISAL.  Although you will typically pay between $250.00 and $450.00 for an appraisal, this will also provide you with an accurate report of value based on recent sales. For buyers, sellers and investors, knowing and having this information is crucial.

There are also numerous websites and apps available to calculate value, including:

Zillow (www.zillow.com)

This will provide you with a  “Zestimate”  of fair market value.

For investors, Zillow also has a great little tool that estimates what the property would rent for.

And the Make Me Move feature, for those not quite ready to sell but curious about what they could get if they placed the property on the market. This tool allows you to name your price and see if anyone bites

Trulia (www.trulia.com)

Simply by entering your address,  Trulia  will do the rest.  You can also add any information that is missing from the property description such as new roof, or other facts, that will be re-estimated into price

Trulia is a great tool for house hunting, as you can search for homes by city, state or zip code.  It also allows for more refined searches, such as number of bedrooms or bathrooms, how many days on the market, and to see what new listing come on the market as they come up.

Trulia’s unique Heat Maps provide a graphic picture of an area’s sales, price trends and popularity. Adjust the Heat Map by neighborhood, city, county and state. You’ll also find school ratings, information about nearby businesses and comments from local residents.

Realtor.com (www.realtor.com)

This is the Official site of the National Association of Realtors.  You can have access to any homes that are listed and can refine searches by price, maximum, minimum, number of rooms, pool, zip code. This is by far the most comprehensive tool for buyers and sellers.

It is also packed with great resources such as a mortgage calculator, real estates trends and topics as well as home improvement advice.

And for all those tech savvy individuals, there are new apps each and every day such as Realtor.com app and apps created by realtors themselves, that will permit you to subscribe to their service and obtain up to the minute information about new listings, and follow their blogs.

Keep in mind that all the information on these sites are only starting points.  There is no substitute for a professional appraisal or Opinion of Value from a qualified Real Estate Attorney or Realtor

TRUST  |   COMMITMENT  |  RESULTS  

LAW OFFICES OF JACQUELINE A. SALCINES, P.A.

 

/by

HOW TO CALCULATE CLOSING COSTS ON A PURCHASE

, , , ,

I OFTEN HAVE PEOPLE CALL ME WHEN THEY ARE GOING TO PURCHASE A PROPERTY, AND ASK ME  TO GIVE THEM AN ESTIMATE OF WHAT THEIR CLOSING COSTS ARE GOING TO BE.

I HAVE HEARD OF REALTORS THAT CALCULATE IT USING A PERCENTAGE OF THE SALES/PURCHASE PRICE, AS DO SOME BANKERS. foreclosure_defense

HOWEVER, THE EXACT AMOUNT IS OFTEN VERY EASY TO CALCULATE.  BELOW IS AN EXAMPLE THAT CAN BE USED FOR YOUR PURCHASE

A BUYER’S TYPICAL COSTS AND FEES CAN BE CALCULATED AS FOLLOWS:

  1. ATTORNEY FEE
  2. SETTLEMENT OR CLOSING FEE  – THE FEE TO PERFORM YOUR CLOSING BY THE ATTORNEY OR TITLE COMPANY (TYPICALLY $295.00 IN MIAMI DADE COUNTY)
  3. SURVEY – IF A SINGLE FAMILY RESIDENCE (USUALLY BETWEEN $295.00 AND $300.00)
  4. COURIER FEE (USUALLY BETWEEN $25.00 AND $30.00)
  5. WIRE FEE (USUALLY BETWEEN $15.00 TO $25.00)
  6. HOMEOWNERS INSURANCE PREMIUM
  7. HOMEOWNERS FLOOD INSURANCE PREMIUM
  8. TITLE INSURANCE PREMIUM (THIS IS BASED ON THE PURCHASE PRICE AND IS A STANDARD FEE REGULATED BY THE DEPARTMENT OF INSURANCE)
  9. LOAN FEES (CAN NOT EXCEED THE GOOD FAITH ESTIMATE PROVIDED BY YOUR BANKER BY MORE THAN 10% OR THE BANK MUST REFUND THE DIFFERENCE TO YOU)
  10. IF FINANCING, YOU MUST BE INTANGIBLE TAX ON THE  MORTGAGE LOAN AMOUNT AT .20 CENTS FOR EVERY $100.00 BORROWED
  11. IF FINANCING, YOU MUST ALSO PAY DOCUMENTARY STAMPS TAXES ON THE MORTGAGE AT .35 CENTS FOR EVERY $100.00 BORROWED
  12. IF FINANCING, YOU WILL ALSO PAY FOR THE RECORDING OF THE MORTGAGE AT $8.00 FOR THE FIRST PAGE AND $8.50 FOR EVERY PAGE THEREAFTER.

PROPERTY TAXES ARE PRORATED FROM JANUARY 1ST OF THE YEAR TO THE DATE OF CLOSING AND WILL APPEAR AS A REDUCTION IN THE AMOUNT THE BUYER IS REQUIRED TO BRING TO CLOSING.

ESCROWS WILL ALSO BE ADDED BY YOUR LENDER IS YOU HAVE ELECTED TO INCLUDE THE INSURANCE AND TAXES INSIDE YOUR MONTHLY  MORTGAGE PAYMENT. IF SO, THE BANK WILL REQUIRE THAT MONTHS BE COLLECTED AT CLOSING AND HELD IN RESERVE ON YOUR ACCOUNT UNTIL THE LENDER PAYS YOUR PROPERTY TAXES IN NOVEMBER AND YOUR INSURANCE ONE YEAR FROM NOW.

ASIDE FROM THESE COSTS, YOU NEED TO EXAMINE YOUR CONTRACT CLOSELY TO SEE IF YOU ARE LIABLE FOR ANY OTHER COSTS.

WHILE THIS IS THE TYPICAL REAL ESTATE TRANSACTION SCENARIO IN MIAMI DADE, BROWARD IS A BIT DIFFERENT.

  1. IN BROWARD, SELLER IS USUALLY THE ONE THAT PAYS THE TITLE INSURANCE PREMIUM
  2. IN BROWARD, THE DOCUMENTARY STAMP TAXES ON THE DEED PAID BY SELLER ARE $ .70 CENTS FOR EVERY $100.00.

WITH SO MANY FEES AND COSTS INVOLVED, A THOROUGH EXAMINATION OF THE CONTRACT SHOULD BE MADE BY AN EXPERIENCED REAL ESTATE ATTORNEY PRIOR TO SIGNING ANY CONTRACT.  YOU MAY NOT KNOW WHAT FEES AND COSTS ARE CUSTOMARY DEPENDING ON YOUR COUNTY, AND ONCE YOU SIGN, THERE IS NO FREEZING OFF PERIOD.  YOU ARE STUCK.

DONT GO IT ALONE. HIRE THE SERVICES OF AN EXPERIENCED REAL ESTATE ATTORNEY TO REPRESENT YOU IN YOUR PURCHASE OR SALE.

JACQUELINE A. SALCINES, ESQ.   305  |  669  |  5280

 

 

 

 

/by

JANUARY FORECLOSURE ACTIVITY MAKES FLORIDA NO. 1 IN NATION

, , , ,

According to The Miami Herald, “Florida claimed first place in the nation in foreclosure activity in January – eclipsing much larger California, according to data in RealtyTrac.”  – The Miami Herald, Thursday, February 14, 2013. short_sales

The Realty Trac report shows:

The Florida foreclosure rate ranked highest among the states for the fifth  month in a row. One in every 300 Florida housing units had a foreclosure filing  in January — more than twice the national average. A  total of 29,800 Florida properties had a foreclosure filing during the month, up  12 percent from the previous month and up 20 percent from January  2012.

With one in every 344 housing units with a foreclosure filing in January,  Nevada posted the nation’s second highest foreclosure rate for the fourth consecutive month. Overall  Nevada foreclosure activity decreased 43 percent from a year ago, but  foreclosure starts (NODs) increased 19 percent from the previous month and were  up 87 percent from January 2012 to a 16-month high.

A 32 percent month-over-month jump in scheduled foreclosure auctions helped the Illinois foreclosure rate  rise to third highest among the states in January. One in every 375 Illinois  housing units had a foreclosure filing during the month.

Read more:  Great Foreclosure News, Except for Florida and California — RealtyTrac – 24/7 Wall St. http://247wallst.com/2013/02/14/great-foreclosure-news-except-for-florida-and-california-realtytrac/#ixzz2KtMJ2d8R

The burning question is… will this affect our incredible recovery here in South Florida? Will prices take a hit once the  thousands of expected foreclosures are filed in the coming months?  Only time will tell.  Obviously, by placing more distressed homes into the market, inventory of homes will go up, and values are destined to decline. But, short sales and distressed property sales rely on BPO’s , or market appraisals.  Market appraisals take into consideration what is selling, what has sold, distressed or not.  So, while this may be bad news for the investors looking to pick up some more distressed properties, it is good news for sellers of non-distressed properties.

“My prediction…values will take a small dive, but our upward climb will continue and we will once again be at 2004 and 2005 values, in a short time”.  – Jacqueline A. Salcines. Esq.

Don’t go it alone.  Rely on the services of a qualified Real Estate Lawyer to analyze your current situation and provide you with the best knowledge available to make an informed decision.

Call for a free consultation.     305  |  669  | 5280

 

 

 

/by

HOW TO BUY AND SELL IN THE 2013 REAL ESTATE MARKET

, , , , , , , ,

Many buyers and sellers are on pins and needles… not knowing whether to take the plunge and buy a property or place their homes on the market and take a chance that they are making the best profit.  Certainly no one expected the housing market, paricularly the Miami, Coral Gables and Pinecrest areas, to go up so dramatically since the bubble exploded.  However, the wave of recent sales and the return to the 10 contract deals, has certainly put the market back in the sellers hands. 20130201-182045.jpg

So, to invest or not to invest?  That is the question.  TrustED market researchers and forecasters predict a steady 1% to 3 % increase in home prices in 2013, but is this accurate? Afterall, Miami, Florida is certainly not the norm, and in some areas, prices are inching back to 2003 and 2004 levels.  Certainly, the market has turned the corner and the chances of the bubble burting again, are very slender.

There is also the issues of the Mortgage Interest Tax Deduction that will impact recovery. While most tax specialists expect a “cap” rather than a full elimination, for the LUXURY HOME BUYER and higher income folks, this is something that needs to be considered as it may affect their benefits from the tax deduction.

Sales are also being helped by record low mortgage rates, lower unemployment and a decrease in distressed home sales.  This is causing an improved demand for homes, specifically in the South Florida area, where inventory is so diminshed.

The National Association of Realtors reported that while December sales were just slighly below November, sales for the full year (2011) were the best we’ve seen since 2007.  Source: National Association of Realtors.

“As a real estate professional in the business for more than 15 years, the best advice I can give for navigating the 2013 real estate market is to hire the right team of professionals, including a knowledgeable attorney to check title and a realtor who can assess home values, comparables in the area, as well as determine the best price to come in at or list at.  This will remove your competition and provide you with peace of mind that you are buying or selling at the best price, a price supported by our presend day real estate market.”  Jacqueline A. Salcines, Esq.

JACQUELINE A. SALCINES, ESQ.  WE ARE A LAW FIRM DEDICATED TO ALL OF YOUR REAL ESTATE NEEDS.

TRUST  |  COMMITMENT  |  RESULTS

CALL THE REAL ESTATE LAW FIRM OF JACQUELINE A. SALCINES, P.A. FOR A FREE CONSULTATION:  305 | 669 | 5280

 

/by