Wednesday, April 25, 2012

Available Down Payment Assistance Funds 

As many of you read from a prior blog I posted a few weeks ago, I was excited to share the details about an event hosted by Wells Fargo here in Phoenix called the NeighborhoodLIFT Program. This was a two day event where home buyers came to learn more about homeownership and to qualify for available down payment assistance funds.

Well today, I am excited to share with you that there are still funds available to help people who have a goal to buy a home! The program guidelines are still the same as they were at the event, however, now home buyers must have an accepted contract on a property prior to receiving the down payment assistance funds. Here is a quick overview of the guidelines for the programs: 
  • Home must be located in the city of Phoenix however it can be any type of home, a foreclosure (REO), short sale, new construction or an investor flip property
  • Income requirements are 115% of the median income (there are some restrictions on this, so please contact me for more details on eligibility)
  • Purchase contract must be accepted on a property prior to making an appointment to receive down payment assistance funds
  • Borrowers are required to have 3.5% of their own funds for a down payment. This money is to help with closing costs and reduce principle balance to ensure a lower monthly payment
  • After owning the home for a period of five years the down payment assistance funds are forgiven
  • Borrowers do not have use Wells Fargo for their loan approval, however they must qualify with a bank or mortgage banker
If you are interested in qualifying for this fantastic opportunity to receive available down payment assistance funds, please contact me today. Funds are limited and they are allocated as a first come, first served basis. You can reach me at or 623-687-7827.

Thursday, April 12, 2012

Important Foreclosure News

Important Foreclosure News 
After months of fact finding and research the second largest consumer settlement has made history. The Robo-Signing Settlement between the Government and the five major lenders has finally come to an agreement. For distressed homeowners this important foreclosure news could be the answer to the biggest question asked today: does this mean I can stay in my home?

During the peak of the foreclosure crisis, mortgage companies across the U.S. were hit with a glut of delinquent properties they were just not equipped to handle. The Government alleges that during this time, some of the banks may have processed foreclosures without following the proper procedures, thus foreclosing on homes that under different circumstances might not have been. If you didn’t hear it on the evening news, the term “robo-signing” was used to describe the practices of the banks while handling thousands of foreclosure transactions.

The five major banks involved in the settlement are: Bank of America, JP Morgan Chase, Wells Fargo, Ally Financial/GMAC and Citigroup. In addition to these five mortgage companies, there are nine smaller banks that may potentially be rolled into the agreement in the near future.

The total amount of the Robo-Signing Settlement is $25 billion which will be split up based on specifications outlined in the settlement agreement. If you think you may have been a victim of “robo-signing” during your foreclosure or someone you know, please contact me. The funds from the settlement will be distributed by the state attorney general’s office and varies state-by-state.

Although, this may be complete unrelated to the news of the settlement, Bank of America has announced this week new changes to their short sale procedures. The changes take effect this week and Bank of America claims they will shorten the approval time for a short sale from 45 days down to 20 days. The new policy also allows the short sale specialists handling the file to complete the tasks, such as document collection, valuations and underwriting simultaneously. This change is great news for homeowners and homebuyers looking to purchase a short sale – and not just for Bank of America loans. Changes like this impact every other bank as demands are made for improvements across the board when it comes to a short sale approval.

If you or someone you know is upside down on their mortgage, please give me a call to discuss the current market conditions - even if you are not behind on your payments, a short sale maybe an option. I look forward to hearing from you soon. 

Luisa Ramirez, RE/MAX Professionals