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Call or E-Mail OCHot Homes for a FREE list of Foreclosed, Bank-Owned, or Short-Sales Homes in the area you are interested in....

Office: (949) 215-5821

Cell: (949) 422-0769

E-Mail: OCHotHomes@cox.net

The Short-Sale Option

If you haven't already heard of selling or purchasing a home as a "short-sale", you soon will. Data from the National Association of Realtors shows that, in mid 2008, short-sale transactions made up over 40% of all residential real estate transactions. Experts predict that before the market rebounds, short-sales will account for upwards of 75% of all residential real estate transactions.

What is a Short-Sale?

A short-sale is a real estate transaction in which the lender of record agrees to discount the amount owed on the loan in order to accommodate a sale. Because sellers need to meet several specific requirements in order to qualify for a short-sale, the expertise of a short-sale specialist is required.

The good news is that both sellers and banks can benefit from a properly executed short-sale once all the requirements are met. In order to decide whether a short-sale is the best option for you, a detailed assessment of your financial situation must be undertaken. The type of loan you have and the current market value of your home must be accurately assessed and considered. It is also important to review other factors such as the policies of the bank that holds your mortgage, your present income versus expenses and any hardships you are facing.

Because banks are only willing to consider a short-sale in hardship situations, it is important to understand what banks consider to be true ""hardships"". Usually the word ""hardship"" is used in reference to an event or ongoing situation that puts the owner in a financial position of insolvency. An owner faces insolvency when his or her expenses exceed their income so that mortgage payments can no longer be made. Of course, this kind of insolvency must be provable. For example, mortgage payments will usually have fallen behind before a lender considers approving a short-sale. The short-sale option is considered once other options (excluding foreclosure) have been ruled out. If it is possible to refinance or to negotiate a loan modification or forbearance, or to increase your income to cover your mortgage, such options should be considered before seeking a short-sale solution. In other words, short-sales are a last resort alternative to foreclosure. And, even though a short-sale is preferable to a foreclosure, there are potential credit and tax ramifications that need to be carefully considered before attempting a short-sale.

If you believe that a short-sale may indeed be the right solution for your situation, then act now and contact us for a no cost consultation. Even if you have already begun a foreclosure process it might not be too late to consider a short-sale; but don’’t delay another day! We can help you evaluate your hardship situation at no charge and then help you make the choice that is best for you.

Have You Received A "Notice Of Default" Because You're Behind In Your House Payments?

Time Is Running Out And I Can Help You!

Below, I have some legal information that will be useful to you during the next 3 months....

But First...I would like to get to the point! You have very little time to correct what has happened. It doesn't matter how it happened, just that, now, we need to fix it! Otherwise, you could very easily lose your home, and have a "Foreclosure" on your credit report; which is worse than a bankruptcy.

You need to call or e-mail me right away! I need to know when they recorded the "notice of default", figure out how much time we have left, and put your home on the market!

Yes...that's right! We need to Sell Your House!!! This way you are able to satisfy "The Lender", and walk away with the money from the sale of your home!

I have many buyers that are ready to purchase a home just like yours!

Call or Email Me as soon as you can, so we can fix this problem together!

What is a Foreclosure?

"Foreclosure is the procedure for enforcing a lender rights once the obligation secured by a Deed of Trust is in Default".

1. Initial Steps:
A. The note, deed of trust and information on the default are forwarded to the trustee.
B. The notice of default and other necessary documents are prepared.
C. The notice of default is then recorded and the foreclosure time line begins.

2. Default Period.
A. A trustee sale guaranty (TSG) is ordered from a title company.
B. The required 10 day and one month legal mailings are sent to the borrower and the junior lien holders.
C. If the loan has not been reinstated or paid off within the three-month default period, the lender then authorizes the next step in the foreclosure proceedings.

3. Publication Period and Trustee's Sale.
A. The trustee will prepare, record and arrange to post the notice of trustees sale.
B. The notice of trustee's sale must be published once a week for three consecutive weeks in a newspaper of general circulation near the property location.
C. The borrower or junior lien holder may reinstate the loan at any time up to five business days before the sale date.
D. If the loan has not been reinstated prior to five business days before the sale, the beneficiary may demand that the entire unpaid obligation be paid in full during that five-day period.

The Notice of Default Time Period

This time period begins once the notice of default has been recorded.

The California Civil Code requires that a copy of the notice of default be mailed within 10 days of its recording to all persons who are entitled to notice. This includes the original Trustor at the address shown on the deed of trust, at his / her last known address and to anyone else who has recorded a request for notice. The civil code also requires that a copy of the notice of default be mailed to certain entitled parties, such as junior lien holders, within one month of the notices recording. All mailings to the trustors and new owners are sent by certified and first class mail.

A Trustees Sale Guarantee (TSG) will be ordered from a title company at the time the Notice of Default is recorded. The TSG provides the information needed to proceed with the trustee's sale process and guarantees the accuracy of that information to the trustee and beneficiary only.

The property owner, or a junior lien holder, may cure the default by paying all delinquent amounts, including all costs associated with the filing of the default. This may be done at any time up to five business days before the scheduled sale date which is set in the publication period.

Curing a Default

Many foreclosure proceedings are resolved during this 3 month Notice of Default period. The borrower, or anyone with a subsequent interest in the property, may pay the beneficiary or his authorized agent the amount necessary to cure the default.

This amount will include delinquent payments, advances and the fees and costs associated with filing the Notice of Default and other necessary documents. Once all of the delinquent fees and costs are paid, a Notice of Recession is recorded. When the Notice of Recession is recorded it cancels the Notice of Default.

In California, non-judicial foreclosures (the most common) require the following notice to the property owner after a default has occurred in payments due:

1. Notice of Default recorded against the property. The Trust Deed holder must then wait three (3) calendar months before scheduling a sale date.

2. Notice of Sale Date must be given at least 21 days prior to the foreclosure sale (after the 3 months have run on the Notice of Default).

And, you (the borrower) have until 5 BUSINESS DAYS prior to the foreclosure SALE DATE to reinstate the loan. This means, to pay all past due amounts, including attorneys' and foreclosure trustee's fees.

Foreclosure is just one extreme example of a scenario where clients often wait WAY too long to discuss their options.

The following is a look at how a "Notice of Default" turns into "A Foreclosure"....

CALENDAR	DESCRIPTION
Start (day 1)	Notice Of Default recorded with County Recorder
Within 10 business days	Trustee mails Notice of default to borrower(s) with recording the date
Within 1 month	Mail Notice of Default to borrower again
After 90 days	Set Sale Date, time and location Unless a bankruptcy has been filed, or other event occurs that holds the timeline.
25 days prior to Sale Date	Send Notice Of Sale to IRS (if applicable)
20 days prior to Sale Date	Begin publishing Notice Of Sale in an adjudicated newspaper. (must run for 3 consecutive weeks).
20 days prior to Sale Date	Post the Notice of Sale on the property itself. Most services will photograph the posting location for your records.
20 days prior to Sale Date	Mail Notice of Sale to borrower and required parties.
Within 10 days of first publishing the Notice Of Sale	Send Beneficiary Request for Directions to Property
14 days prior to Sale Date	Record Notice of Sale with county recorder's office
5 days prior to Sale Date	The borrower's right to reinstate expires.
On sale Date	The property is sold to high bidder or reverts back to lender

Shannon Austin Fertal

Office: (949) 215-5821

Cell: (949) 422-0769

Realty Network
27201 Puerta Real Suite #440 • Mission Viejo, CA 92691
Office: (949) 215-5821 • Cell: (949) 422-0769
DRE# 1166092