Foreclosures

Bankruptcy Law, Credit, Foreclosures, Timothy Kingcade Posts

How to Choose A Mortgage Lender

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There has been a lot of buyer concern the past few years in the real estate market. Even those who have not been greatly affected by the Recession and have the means to buy a house may be stalling due to a lack of trust in mortgage lenders. Now that the housing market is stabilizing and lenders are being monitored more closely, buyer confidence is on the rise. The latest question for those looking to buy is, “How do I choose a mortgage lender?”

Here are a few things to remember when choosing your mortgage lender:

Beware – Mortgage people are salespeople. Following the housing market crash, homebuyers are looking for the most skilled financial mortgage experts out there. However, you have to understand that many representatives you will speak with are not qualified to answer the questions you may ask. You cannot assume that all of the loan officers have proper training and credentials, just because you chose a well-known institution. Work with the most knowledgeable loan officer, not the best salesperson.

Beware of the “In-House” Lender. Many real estate companies have “in-house” lenders that work out of the real estate office. This is mutually beneficial for the real estate company and the lender because of the convenience factor. The “in-house” lenders can be a great choice; however, it is best to do your homework. Make sure the “in-house” lender and the officer have the expertise and credentials to properly handle your mortgage.

Beware of Online Discount Mortgage Financing Options. Although it may be advertised that discounted options are available online that leave out the “brick and mortar” costs associated with traditional lenders, this is not always true. Even if you close online or over the phone, the brick and mortar costs are still a part of the income statement. These “discounts” are simply advertisements and tend to be very misleading.

Word of Mouth Trumps All. A general rule of thumb with any choice in services or goods is to ask those around you about their experience with the product or service. If you know of anyone who has recently purchased a home, ask about their experience. With all of the recent changes to the market, it is best to ask more than one recent buyer. Other great sources of information include: financial advisors, accountants, attorneys or realtors.

Click here to read more on this topic and find out which mortgage lender is right for you:

Choosing the right attorney can make the difference between whether or not you can keep your home. A well-qualified Miami foreclosure defense attorney will not only help you keep your home, but they will be able to negotiate a loan that has payments you can afford. Miami foreclosure defense attorney Timothy Kingcade has helped many facing foreclosure alleviate their stress by letting them stay in their homes for at least another year, allowing them to re-organize their lives. If you have any questions on the topic of foreclosure please feel free to contact me at (305) 285-9100. You can also find useful consumer information on the website, Kingcade & Garcia, P.A.

Credit, Foreclosures, Timothy Kingcade Posts

Rebuilding Your Life After Foreclosure

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Record-breaking foreclosure rates have been a popular topic in the media since the housing market crashed. Unfortunately, we do not hear much about what happens to these families after they have lost their homes. Homeowners who have been foreclosed on by their lenders face many hardships, even after the dust has settled from their case. Below are some of the issues that foreclosure victims face and some smart solutions to their problems.

Finding a New Place to Live
Finding a new place to live is the most dire and immediate challenge foreclosure victims face. Many who have recently been foreclosed on do not have the cash for a deposit for rental property. Also, many landlords will not accept a renter with lower credit scores, which many foreclosure victims have. The best thing to do is to make plans as soon as you think you might be foreclosed on. This will allow you time to save up some cash to rent, if need be.

Suffering Through the Credit Fallout
Once other creditors find out that you have been foreclosed on, they tend to think it is likely that you will default on your debt with them, as well. As a result, you are likely to be forced to pay an inflated interest rate. Some foreclosure victims see interest rates rise as much as 30 percent. The best thing you can do is work toward rehabilitating your credit score as fast as you can, to be eligible for lower interest rates.

Purchasing a New Home
If you were foreclosed on due to circumstances that were beyond your control, such as unemployment, you are more likely to be eligible for a mortgage in the near future. Many foreclosure victims are able to obtain a mortgage again within three years of a foreclosure. Federally insured mortgages are the best option for foreclosure victims, i.e. FHA loans. However, you must understand that in order to obtain a mortgage in three years, you will need to prove that you have been practicing good bill-paying habits since the foreclosure.

Explaining Your Foreclosure to a Potential Employer
In financial-related fields, it is not uncommon for employers to run credit checks on potential employees to see how financially responsible the person is. If you have recently been foreclosed on and are applying for a position where you will be handling money, you should have an explanation ready for your potential employer.

Post-Foreclosure Tax Bill
If you have been foreclosed on and your home has been sold in an auction, you may be billed for taxes your lender was not able to recover from the sale of the property. However, there are some reasons you may not be obligated to pay the tax bill. If you are financially insolvent, the IRS may allow the debt to be forgiven.

Click here to read more on ways to rebuild after a foreclosure.

Choosing the right attorney can make the difference between whether or not you can keep your home. A well-qualified Miami foreclosure defense attorney will not only help you keep your home, but they will be able to negotiate a loan that has payments you can afford. Miami foreclosure defense attorney Timothy Kingcade has helped many facing foreclosure alleviate their stress by letting them stay in their homes for at least another year, allowing them to re-organize their lives. If you have any questions on the topic of foreclosure please feel free to contact me at (305) 285-9100. You can also find useful consumer information on the website, Kingcade & Garcia, P.A.

Credit, Foreclosures, Timothy Kingcade Posts

Now is the Time to Buy – Mortgage Rates Fall to Historic Lows

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Last week, mortgage rates fell to historic lows after a slight uptick the previous week. The average mortgage rate on a 30-year loan fell to 3.54% for the week ending March 21st, after reaching a year-high 3.63% the week before. According to mortgage giant Freddie Mac, 3.63% was the highest rate since August 2012. Rates have also dropped considerably from one year ago, when a 30-year fixed-rate was 4.08%. The average mortgage rate on fifteen-year loans fell to 2.72% last week, after reaching 2.79% the week before.

As a result of these record low mortgage rates, home sales have modestly boosted. The National Association of Realtors reported that in February, existing home sales reached a 3-year high, running at a 4.98 million annual rate. These historic low rates and increasing home sales are good indicators of economic growth. However, a forecast issued last month by mortgage giant Fannie Mae, estimated that 30-year fixed-rates would exceed 4 percent during the fourth quarter of 2013 and would average 4.4% by 2014. If you are planning on purchasing a home, it is better to buy now when you can take full advantage of these historic low interest rates.

Click here to read more about why NOW is the best time to purchase your new home!

Related Resources:
http://www.usatoday.com/story/money/business/2013/03/21/mortgage-rates/2006235/

Choosing the right attorney can make the difference between whether or not you can keep your home. A well-qualified Miami foreclosure defense attorney will not only help you keep your home, but they will be able to negotiate a loan that has payments you can afford. Miami foreclosure defense attorney Timothy Kingcade has helped many facing foreclosure alleviate their stress by letting them stay in their homes for at least another year, allowing them to re-organize their lives. If you have any questions on the topic of foreclosure please feel free to contact me at (305) 285-9100. You can also find useful consumer information on the website, Kingcade & Garcia, P.A.

Bankruptcy Law, Credit, Foreclosures, Timothy Kingcade Posts

As the Economy Improves, Many South Floridians are Repairing their Credit Scores

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Florida was one of the hardest hit states when the housing market crashed in 2008. As a result, many residents lost their jobs, lost their homes and were forced to file for bankruptcy protection. However, many South Floridians have made progress in repairing their credit scores since the recession. Approximately 40,000 people in Broward, Palm Beach and Miami-Dade counties raised their credit scores to 620 or above in just one year. A credit score above 620 removes the individual from the Subprime or Risky category, meaning that they are more likely to be approved for credit cards, auto loans, mortgages, etc. Not only is it easier to be approved for a loan once you are out of the Subprime category, but it also enables you to get lower interest rates.

According to Equifax, South Florida is second only to the Los Angeles metro area in the number of people who have improved their once sub-prime credit scores in the year that ended September 30, 2012. In January, the average credit score for the three counties was 645, which is only three points below the national average. Much of South Florida’s successful recovery can be attributed to the large number of mortgage lenders that are trying to help out the community. Companies such as The Mortgage Firm, provide free counseling to help people improve their credit scores. As a result, many South Floridians have been approved for mortgage loans in as little as two years after filing for bankruptcy and as little as three years after a foreclosure.

Click here to read more about how South Floridians have successfully repaired their credit scores after the recession.

If you are in a financial crisis and are considering filing bankruptcy, contact an experienced Miami bankruptcy attorney who can advise you of all of your options. As an experienced CPA as well as a proven bankruptcy lawyer, Timothy Kingcade knows how to help clients take full advantage of the bankruptcy laws to protect their assets and get successful results. Since 1996 Kingcade & Garcia, P.A. has been helping people from all walks of life build a better tomorrow. Our attorneys’ help thousands of people every year take advantage of their rights under bankruptcy protection to restart, rebuild and recover. The day you hire our firm, we will contact your creditors to stop the harassment. You can also find useful consumer information on the Kingcade & Garcia website at www.miamibankruptcy.com.

Credit, Foreclosures, Timothy Kingcade Posts

‘Shadow Inventory’ May Ease Shortage of Homes for Sale in Florida

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According to RealtyTrac, there are more than 56,000 homes currently in the process of foreclosure in Palm Beach and Broward counties. That is a 55 percent increase from this time last year. As a result, there has been a shortage of homes for sale, which has been frustrating for prospective buyers. Homes that are lingering in the foreclosure process are also known as ‘shadow inventory.’ There is currently such a great amount of shadow inventory that it suggests that buyers will eventually have a greater supply once the courts begin streamlining the foreclosure process. Another reason there has been a shortage of homes is because lenders have been holding back inventory that is available to sell in order to encourage a recovery and avoid a loss on the property.

Many individual buyers are being outmuscled by large investment firms in South Florida that are buying up millions of dollars of distressed real estate. In many cases, these large firms are buying up properties before they make it to multiple listing services, leaving individual buyers little chance at all. Investment firms bought more than 5,200 properties during 2012 and are reportedly still on the market for good deals. Therefore, when the ‘shadow inventory’ homes do make it to the market, it is not likely they will hurt home prices because there are so many individual buyers and investment firms that are looking to buy right now.

Click here to read more about shadow inventory and how it may ease the shortage of homes for sale in Florida.

Choosing the right attorney can make the difference between whether or not you can keep your home. A well-qualified attorney will not only help you keep your home, but they will be able to negotiate a loan that has payments you can afford. Foreclosure defense attorney, Timothy Kingcade has helped many facing foreclosure alleviate their stress by letting them stay in their homes for at least another year, allowing them to re-organize their lives. If you have any questions on the topic of foreclosure please feel free to contact me at (305) 285-9100. You can also find useful consumer information on the website, Kingcade & Garcia, P.A.

Bankruptcy Law, Foreclosures, Timothy Kingcade Posts

Floridians Take Advantage of Low Interest Rates This Year

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Florida has experienced a mortgage boom this year, due to eager home buyers taking advantage of lower interest rates. According to statistics released by JPMorgan Chase last Friday, Floridians have been getting new mortgages nearly double the national average. A Chase spokeswoman said that the mortgage giant has helped more than 56,000 Florida residents get new mortgages in the last year. The numbers of Floridians getting mortgages are up 52 percent this year, compared to last year. This is a 21 percent hike compared to the national average, meaning Florida doubled the national trend in originations. Many Floridians are rushing to apply for a mortgage so they do not miss the record low interest rates. Interest rates on a 30-year home recently jumped to 3.63 due to the strengthening economy. The 30-year fixed interest rate reached an all-time low in November 2012 of 3.31 percent.

Much of the dramatic increase in residents applying for mortgages is coming from South Florida. Analysts believe the hike can be attributed to many who lost their homes to foreclosures during the recession a few years ago. They are getting back on their feet and able to qualify for new mortgages after spending a few years restoring their credit scores. These buyers are known as “boomerang buyers.” In some cases, they may have lost their jobs but now have new ones and are able to buy again. Analysts also believe some of those helping the state’s mortgage market are snowbirds looking to move to South Florida now that the economy is improving.

Click here to read more about Florida’s mortgage boom.

Choosing the right attorney can make the difference between whether or not you can keep your home. A well-qualified attorney will not only help you keep your home, but they will be able to negotiate a loan that has payments you can afford. Foreclosure defense attorney, Timothy Kingcade has helped many facing foreclosure alleviate their stress by letting them stay in their homes for at least another year, allowing them to re-organize their lives. If you have any questions on the topic of foreclosure please feel free to contact me at (305) 285-9100. You can also find useful consumer information on the website, Kingcade & Garcia, P.A.

Credit, Foreclosures, Timothy Kingcade Posts

Don’t be fooled by these 6 Mortgage Scams

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Homeowners struggling to avoid foreclosure are often the prime targets of con artists selling mortgage-relief scams. Many mortgage scammers have been arrested, but plenty more are trying to take advantage of homeowners’ financial woes. Here are some examples of common mortgage-relief scams.

1.) Imposter counselors: Several Florida men were arrested in August 2011 and charged with defrauding homeowners as a company named Home Owners Protection Economics Inc., or H.O.P.E. — meant to mimic the name of Hope Now, a public-private alliance of lenders, nonprofit housing counselors and other mortgage-industry participants. The scammers claimed to be connected to the homeowners’ lenders or said the homeowners were approved for a loan modification under the Home Affordable Modification Program. They demanded an upfront fee for their services.

2.) Loan-Audit Offers: This scam works by a salesperson calling the homeowner and saying they are going to audit their mortgage documents and use the violations they could find to force their lender to approve a loan modification. The scammers would tell people that they found violations 90% of the time. These scammers typically ask homeowners for $1,000 to $5,000, with an average fee of $3,000.

3.) Money-back guarantee: Howard Shmuckler, owner of The Shmuckler Group in Vienna, Va., collected almost $2.8 million from struggling homeowners by promising them he could guarantee a loan modification under the Home Affordable Modification Program. He told these homeowners to stop making their mortgage payments and to avoid contact with their lenders. Homeowners should never pay a fee for loan-modification assistance. Government and nonprofit housing counselors provide this service for free. Some of Shmuckler’s victims might have been able to modify their mortgages under HAMP if they had not fallen so far behind on the mortgage after following Shmuckler’s advice.

4.) Calls to stop contacting your lender: Be wary of anyone who tells you to stop paying your lender or who tells you to stop trying to contact your lender. This past March, three people were arrested on charges of committing fraud against California homeowners. They were Gregory and Cynthia Flahive, ex-spouses and co-owners of Flahive Law Corp., and the firm’s managing attorney, Mike Johnson. In addition to requiring upfront fees in exchange for loan-modification assistance, the Flahives told one homeowner to reject his lender’s offer of a loan modification. They told that homeowner that they could get a better deal. Instead, the home was lost to foreclosure in four months.

5.) Misrepresentation of the attorneys general settlement: Another common scam is for homeowners to be told that a caller is from a government agency with information about the mortgage settlement. The caller requests a bank routing number or other personal information to “facilitate the refund,” but then the scammers drain the bank account. To avoid this scam, never give out personal financial information to anyone who calls.

6.) Mass-joinder scam: Fake and even legitimate law firms send notices to homeowners, including some who are not in financial distress, that claim the homeowners have been wronged by their lenders and may be eligible for restitution. The homeowners are told to pay $2,000 or more to become part of the lawsuit. Never pay a fee to become part of a class-action lawsuit. Anyone who guarantees a loan modification from your lender or guarantees that a foreclosure can be prevented cannot be telling the truth.

Click here to read more on Mortgage Scams.

Choosing the right attorney can make the difference between whether or not you can keep your home. A well-qualified attorney will not only help you keep your home, but they will be able to negotiate a loan that has payments you can afford. Foreclosure defense attorney, Timothy Kingcade has helped many facing foreclosure alleviate their stress by letting them stay in their homes for at least another year, allowing them to re-organize their lives. If you have any questions on the topic of foreclosure please feel free to contact me at (305) 285-9100. You can also find useful consumer information on the website, Kingcade & Garcia, P.A.

Credit, Foreclosures, Timothy Kingcade Posts

10 Items you ABSOLUTELY Need to get a Mortgage

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Many people believe that owning a home is unattainable after filing for bankruptcy. But in fact, the average waiting period from mortgage lenders after filing for bankruptcy is just two years. As long as you stay on top of your payments and do not accrue more debt. Below is a laundry list of documents you will need to start a mortgage application.

1.) A valid driver’s license which verifies your identity, compliant with the Patriot Act.

2.) Secondary ID’s (a passport or social security card) as support for number one.

3.) Your most recent pay stubs for a period of one month.

4.) W-2 forms from employers for the past two years to prove employment and earnings history.

5.) Signed federal tax returns (with all pages and schedules) for the past two years.

6.) Most recent bank and asset statements (all pages) for a period of two months.

7.) Fully executed contract for the property you are buying.

8.) If refinancing, a copy of your deed.

9.) Name, address and phone number of your landlord

10.) Name, address, phone, fax numbers and email address for your attorney

Click here to find more tips to be approved for a mortgage.

If you are in a financial crisis and are considering filing bankruptcy, contact an experienced attorney who can advise you of all of your options. As an experienced CPA as well as a proven bankruptcy lawyer, Timothy Kingcade knows how to help clients take full advantage of the bankruptcy laws to protect their assets and get successful results. Since 1996 Kingcade & Garcia, P.A. has been helping people from all walks of life build a better tomorrow. Our attorneys’ help thousands of people every year take advantage of their rights under bankruptcy protection to restart, rebuild and recover. The day you hire our firm, we will contact your creditors to stop the harassment. You can also find useful consumer information on Kingcade & Garcia, P.A..

Credit, Foreclosures, Timothy Kingcade Posts

10 Reasons You Are Not Refinancing

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Interest rates have lingered at 60-year record lows for some time now, allowing millions of homeowners to refinance their mortgage loans. Interest rates have declined with such consistency that thousands of homeowners have refinanced more than once. However, many homeowners are still hesitant to do so, below are ten possible reasons why:

1. Credit Score: Whether you are refinancing your home or buying a home, mortgage lenders focus on your credit score. You will need a score of at least 740 to get the best interest rate possible. If your current credit score is low, you can try to refinance with the Federal Housing Administration (FHA). The FHA has a minimum credit score requirement of 580.

2. Equity: Many homeowners have not recovered equity lost when home prices tanked six years ago during the housing market crash. In the past, homeowners with little equity did not possess much bargaining power; however, those with little or no equity may now have the advantage. The government’s Home Affordable Refinance Program (HARP) was designed to help underwater homeowners refinance their mortgages. The expansion of HARP 2.0 means that there are no underwater restrictions to qualify.

3. Mortgage Insurance: Homeowners who put less than 20% down when they bought their homes are required to pay lender’s mortgage insurance. If you have been told that you cannot refinance because of mortgage insurance, this is not true. It may be more difficult, but not impossible. You can qualify for HARP whether you pay mortgage insurance or not.

4. Debt-to-Income Ratio: Many homeowners have been forced to rely on credit cards over the past few years, as a result of the recession. Your debt may have piled up to the point that your debt-to-income ratio is too high to refinance. Your best bet is to focus on paying down your debt before trying to refinance.

5. A Low Appraisal: If your appraisal was lower than you anticipated, it is possible you will be rejected for a refinance. However, a low appraisal does not mean that your property is not valuable. You may need to challenge the low appraisal or renegotiate the deal with your lender.

6. You Think You Are Too Old: If you are retired or close to retirement, you may think refinancing is not worth the trouble. Before ruling out refinancing your mortgage, look into shorter-term loans that might be better for you.

7. Low Income: Even if you are making less money than you were at the time you bought your home; your lender will take into consideration that you have managed to keep current on your home loan. You may also want to look into HARP 2.0, which requires proof of employment and proof that you are making your mortgage payments.

8. Cannot Afford It: Refinancing fees cost approximately 2% of your loan amount. The closing costs, appraisal fees and credit checks will likely cost you a few thousand dollars. Also, beware of “no-cost” refinancing. Lenders that offer these deals will charge you a higher interest rate.

9. Unable to Document Income and Assets: You may think as long as both, your credit score and home value are in check, you can get approved for a refinance. However, you will need proper documentation of your income, assets, deposits and tax forms. If you cannot provide this paperwork, your refinance will likely be rejected.

10. Not Worth the Trouble: Refinancing your home is not a fun or easy experience. Many homeowners today avoid refinancing simply because it is not worth the trouble. Rather than ruling out refinancing altogether, look into streamlined programs that provide a simple and quick refinancing option.

To read more on this story visit: http://realestate.msn.com/10-reasons-youre-not-refinancing#1

If you are in a financial crisis and are considering filing bankruptcy, contact an experienced attorney who can advise you of all of your options. As an experienced CPA as well as a proven bankruptcy lawyer, Timothy Kingcade knows how to help clients take full advantage of the bankruptcy laws to protect their assets and get successful results. Since 1996 Kingcade & Garcia, P.A. has been helping people from all walks of life build a better tomorrow. Our attorneys’ help thousands of people every year take advantage of their rights under bankruptcy protection to restart, rebuild and recover. The day you hire our firm, we will contact your creditors to stop the harassment. You can also find useful consumer information on the Kingcade & Garcia, P.A. at www.miamibankruptcy.com.

Credit, Foreclosures, Timothy Kingcade Posts

Homeowners Turning Down Refinancing Options

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Since the housing market crashed in 2008, millions of Americans were left underwater on their mortgages. Last year, the federal government began installing programs to help underwater homeowners. One of the programs that was set in place in 2010 but revised several times since, the Home Affordable Refinance Program (HARP) was specifically designed to help homeowners who were underwater on their mortgages but still current on their mortgage payments. The changes made to HARP last year made it much easier for homeowners to qualify. Since these changes were made, mortgage lenders have aggressively tried to let underwater borrowers know about this opportunity to save money by refinancing, however few homeowners are taking the bait.

Mortgage originator, Quicken Loans, says that only about 25% of their qualifying homeowners have actually refinanced. The federal government and mortgage originators believe that homeowners are not taking advantage of the program because they are wary of being “bitten” again. The wounds from all of those who fell victim to no-money-down loans and balloon payments have left many borrowers cautious of any offers made by lenders. Analysts say that it is a shame that so few borrowers are refinancing through HARP since it was specifically designed to reward good borrower behavior.

To read more on this story visit: http://finance.fortune.cnn.com/2013/02/15/mortgage-refi-borrowers/

Choosing the right attorney can make the difference between whether or not you can keep your home. A well-qualified attorney will not only help you keep your home, but they will be able to negotiate a loan that has payments you can afford. Foreclosure defense attorney, Timothy Kingcade has helped many facing foreclosure alleviate their stress by letting them stay in their homes for at least another year, allowing them to re-organize their lives. If you have any questions on the topic of foreclosure please feel free to contact me at (305) 285-9100. You can also find useful consumer information on the Kingcade & Garcia, P.A. website at www.miamibankruptcy.com.