Wednesday, February 22, 2012

Seller's Calculator

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Please enter any applicable information and then click "Calculate Totals" below. This will give you an estimated amount of the proceeds you will likely receive when your home sells. Please ask your agent for a more specific and accurate breakdown when listing your home and/or before closing to ensure that you receive what you are expecting.

The Lead Paint Disclosure Rule

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Congress passed the Residential Lead-Based Paint Hazard Reduction Act of 1992, also known as Title X, to protect families from exposure to lead from paint, dust, and soil. Section 1018 of this law directed HUD and EPA to require the disclosure of known information on lead-based paint and lead-based paint hazards before the sale or lease of most housing built before 1978.

What is Required?
Before ratification of a contract for housing sale or lease, sellers and landlords must:
  • Give an EPA-approved information pamphlet on identifying and controlling lead-based paint hazards ("Protect Your Family From Lead In Your Home" pamphlet, currently available in English, Spanish, Vietnamese, Russian, Arabic and Somali).
  • Disclose any known information concerning lead-based paint or lead-based paint hazards. The seller or landlord must also disclose information such as the location of the lead-based paint and/or lead-based paint hazards, and the condition of the painted surfaces.
  • Provide any records and reports on lead-based paint and/or lead-based paint hazards which are available to the seller or landlord (for multi-unit buildings, this requirement includes records and reports concerning common areas and other units, when such information was obtained as a result of a building-wide evaluation).
  • Include an attachment to the contract or lease (or language inserted in the lease itself) which includes a Lead Warning Statement and confirms that the seller or landlord has complied with all notification requirements. This attachment is to be provided in the same language used in the rest of the contract. Sellers or landlords, and agents, as well as homebuyers or tenants, must sign and date the attachment.
  • Sellers must provide homebuyers a 10-day period to conduct a paint inspection or risk assessment for lead-based paint or lead-based paint hazards. Parties may mutually agree, in writing, to lengthen or shorten the time period for inspection. Homebuyers may waive this inspection opportunity.

Types of Housing Covered?

Most private housing, public housing, Federally owned housing, and housing receiving Federal assistance are affected by this rule.

Effective Dates

The regulations became effective on September 6, 1996 for transactions involving owners of more than 4 residential dwellings and on December 6, 1996 for transactions involving owners of 1 to 4 residential dwellings.

Recordkeeping

Sellers and lessors must retain a copy of the disclosures for no less than three years from the date of sale or the date the leasing period begins.

Blog- View

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By Mayra Lema on 1/31/2012 12:00 AM
IL – Bank of America's Cooperative Short Sale makes the entire short sale process easier for everyone involved. 

The bank has rolled this out because a short sale reduces their losses compared to a foreclosure. A short sale is quicker than a foreclosure and it doesn't tarnish the bank's reputation as much as a foreclosure.
By Mayra Lema on 1/30/2012 12:00 AM
IL – Bank of America is rolling out a new short sale program that will provide the quickest route to a short sale decision. 

The bank came up with this programs to help ensure that homeowners are able to explore all their options and avoid foreclosure.
By Mayra Lema on 1/27/2012 12:00 AM
IL – Homeowners who would prefer to get out from underwater may prefer to do a short sale compared to a loan modification. 

A short sale means the bank will accept a reduced payoff and release the loan. If your home is worth dramatically less than the amount owed, it might make more sense to do a short sale and be relieved of the burdened debt.
By Mayra Lema on 1/26/2012 12:00 AM
IL – You should put every little thing you have to show that your situation is real and that you cannot afford to make your mortgage payment. 

Use numbers and percentages to explain the loss your of income or negative cash flow. For example, instead of saying "I'm borrowing money to make the mortgage payments", disclose the dollar amount and source of that debt.
By Mayra Lema on 1/25/2012 12:00 AM
IL – It is not a lot of fun to write a hardship letter. In fact, it can be depressing. Many people may not know how bad their lives have become until they reach a point of writing a hardship letter. 

Sometimes seeing all those awful things in writing is startling and some people start crying. However, do not turn and start talking about how your life will improve.
By Mayra Lema on 1/24/2012 12:00 AM
IL – When I interview sellers who want to short sale in my area, I ask them to describe their hardship. 

Agents who do a lot of short sales can sometimes become a little insensitive because we are focused on the statistics. For instance, when a seller says she is getting divorced, it's possible that I may not show a lot of emotion.
By Mayra Lema on 1/23/2012 12:00 AM
IL – Many people think a hardship is mainly based on financial matters and that is not necessarily the case. 

Anything that makes it difficult for you to keep on making a mortgage payment might qualify to be a hardship.
By Mayra Lema on 1/20/2012 12:00 AM
IL – The Stop Foreclosure Institute recently received a question from John. Here was his question. 

 “I am current on my mortgage with X Bank (one of the top 4 US banks.) However, I would like to short sale and move for my new job. 

I am current on my mortgage. Will my lender consider a Short Sale, even though I am not behind on the payments? Thanks for your help. John."
By Mayra Lema on 1/19/2012 12:00 AM
IL – The Stop Foreclosure Institute recently received a question from Dan. Here was his question. 

“My property is in rough shape and needs work. Can I still do a Short Sale? Dan.”
By Mayra Lema on 1/18/2012 12:00 AM
IL – The type of hardship that your lender will consider legitimate depends on the mortgage company considering the Short Sale request. 

In general, so long as the hardship is real & acceptable and the mortgage company believes the loan is likely to become delinquent. As a result, the Short Sale request will be processed by the Loss Mitigation Department.