Home Value Insurance - A new angle

Home value insurance is it right for you?

In 2008 we thought the party would never end, and the value of our homes would climb to the
heavens. Then the recession hit and our investment lost its value and many of us lost our homes or were unable to sell them because we were upside down. So welcome to the world of Home value insurance.

It's an insurance policy that will pay you the difference if your home drops in value from when you bought it to when you sell it. Home value insurance has some fine print. The first two years are the hardest to recover losses and it uses a complex system to determine value of your home but as we have all been touched by crashing home prices the peace of mind this insurance offers may be just the extra comfort we need when we purchase our new dream home.

Home Value Insurance -

Home value insurance is it right for you?
In 2008 we thought the party would never end, and the value of our homes would climb to the heavens. Then the recession hit and our investment lost its value and many of us lost our homes or were unable to sell them because we were upside down. So welcome to the world of Home value insurance.
It's an insurance policy that will pay you the difference if your home drops in value from when you bought it to when you sell it. Home value insurance has some fine print. The first two years are the hardest to recover losses and it uses a complex system to determine value of your home but as we have all been touched by crashing home prices the peace of mind this insurance offers may be just the extra comfort we need when we purchase our new dream home.

Chase short sale incentive could mean cash to you

Most banks figure they're doing homeowners a favor simply by agreeing to a short sale and forgiving the amount they owe. But in some cases, Chase borrowers are getting that and cash.

Chase, one of the nation's largest lenders, is quietly offering some homeowners a deal many distressed homeowners think is too good to be true (we get calls all the time!).

Chase is giving borrowers $5,000 to $30,000 if they’ll agree to short sale of their house. A Short Sale is selling the home for less than they owe on the mortgage.

The program launched last fall, and information on who qualifies and who doesn't is still an insider secret as Chase is mum on the details. Chase is aggressively targeting its problem loans as some homeowners receive a letter before their property is listed on the market. By using our successful transactions in dealing with Chase, we have compiled a list of Chase's target loans. Here are a few of the common ones:

The homeowners have a Chase "portfolio" loan, or a loan owned by Chase but not serviced by Chase.

Or the homeowners have a bad loan (adjustable rate is too high), maybe they tried a loan mod, or did a quickie refi.

Investment property gets the nod as well.

The official name of the program is a mystery as well; some say it's the "Chase Incentive" program, while others call it the "List Assist".

What we believe has happened is that the original loan was bought by Chase (from companies that have dissolved such as WaMu, Countryside, IndyMac), and it was bought out for pennies on the dollar. Now the banking industry is being legally challenged to prove it has the right to foreclose. When asked to present original documents on these bought out loans they cannot produce them. So a quick and profitable fix is offer cash to distressed homeowners. Chase will make more money if a property goes away fast in a short sale vs. attempting foreclosure and being legally challenged to produce documents they will never find.

Bottom line so far is a win for everyone; homeowners are assisted with CASH, no soft notes, no risk of judgments, less paperwork. Chase cleans up its banking mess. Transactions are fast.

Call us and we will help you to see if this program will work for you.

Footnote: Wells Fargo just launched this and Bank of America is expected to go public this fall with a program as well.

Help for Our Idaho Clients Seeking Loan Modification or Worried about Foreclosure

Beginning September 1, thanks to a new law, Idaho homeowners will enjoy further protection when seeking loan modification. With a loan modification you take the mortgage you now have and change the interest rate and payment requirements.According to the Better Business Bureau,

"The new law also allows homeowners to request a meeting with their lenders to discuss foreclosure prevention options."

“Homeowners in foreclosure or in danger of foreclosure should familiarize themselves with the rights this new law affords them,” Attorney General Wasden said. “To help homeowners and lenders understand the law, my office created a webpage dedicated to mortgage loan servicing and foreclosure issues. It is available at www.ag.idaho.gov.”

According to the news release, the law requires lenders to notify homeowners whether they qualify for a loan modification within 45 days of a modification request. Lenders may not proceed with a trustee’s sale during the 45-day period. Homeowners also will receive written notice of the date and time of a future trustee’s sale if a scheduled sale date is postponed.


This is good news. Imagine your frustration if, while trying to avoid foreclosure and all its implications, you request a loan modification and never hear back from your lender. Foreclosure proceedings appear to go on without your knowledge or understanding. What a feeling of helplessness!

Please take a moment to read the entire press release, courtesy of the Spokane Better Business Burea, which includes names of real estate reports that are offered for homeowners in distress, phone numbers for help obtaining a mortgage modification [(888) 995-HOPE.]and more.

For more information about avoiding foreclosure, exploring alternatives or short sales, please visit Spokane's Best Short Sale site or request a copy of Nine Alternatives to Foreclosure.

Spokane: Lower Home Prices for Buyers

"A survey of 58 real-estate markets in Washington state found that Spokane was the most affordable and Mercer Island the most expensive."

Click here for the full article.

Freddie Mac Incentives!

Following in the footsteps of its counterpart Fannie Mae, Freddie Mac is offering a summer sales promotion for buyers who purchase a home from its inventory of foreclosures or HomeSteps properties.

Since banks typically sell foreclosures “as-is” without incentives, warranties, or repairs, this incentive could help buyers view a HomePath property more like a traditional sale, and less like a distressed property, during their search process.

For offers received by July 31 that close by September 30, Freddie Mac is offering:

• 3.5% in closing costs to buyers
• $1,200 bonus to buyer agents

This is on top of the incentives already being offered:

• A two year HomeProtect Home Warranty
• Up to 30% savings on new appliances

Note that this program comes with a few eligibility requirements, which includes the home must be a single-family, owner-occupied, financed dwelling used solely for residential purposes.

Combine this with ridiculously low interest rates and isn't it time to shop for homes for sale in Spokane?!

Happy Memorial Day

Who kept the faith and fought the fight;

The glory theirs, the duty ours.

Wallace Bruce

We Can't Make Our House Payment. Is Foreclosure Our Only Option?

Have you had time to visit our Spokane Short Sale Help and FAQs page? We offer some of the most useful resources in the industry!

Our team has been trained to successfully negotiate short sales and we're ready to answer questions like the one above.
So what IS the answer?

Absolutely not. The truth is, the bank really doesn't want your home back! You may not have to lose it. Know your options before you make a decision. Let us review each of these options with you.

Option #1 – Work with your current lender

Option #2 – Work with a new lender

Option #3 – Bankruptcy

Bankruptcy should be a last option and a professional opinion should be obtained before moving forward in this decision.

Option #4 – List the home to sell

Option #5 – Give up and let it go


For more specifics on each option, click here.