IT PAYS TO WORK WITH A REALTOR

Only real estate professionals who are members of the
NATIONAL ASSOCIATION OF REALTORS® (NAR) can call
themselves REALTORS®. All REALTORS® adhere to NAR’s
strict Code of Ethics, which is based on professionalism and
protection of the public. That’s why all real estate licensees
are NOT the same.
Dedicated to serving America’s property owners at both
local and national levels, the NATIONAL ASSOCIATION OF
REALTORS®, The Voice for Real Estate®, is the largest
professional association at over one million members strong.
So, whether you’re buying or selling a home—it pays
to work with a REALTOR®. Look for the REALTOR® logo
when choosing your real estate agent.


What is a
REALTOR® and why
should I use one?

What Do Recent Home Buyers and
Sellers Say About REALTORS®?

The 2008 NAR Profile of Home Buyers and Sellers provides
research results on the experiences home buyers and sellers
had when purchasing or selling their home. The majority
of the respondents used a REALTOR® (a member of the
NATIONAL ASSOCIATION OF REALTORS®). Here’s what
they had to say:
Home Sellers
• Sellers reported that an agent’s reputation was the
most important factor in their selection process.
• Nearly two-thirds of sellers report that they would
“definitely” use the same real estate agent again.
• The top four home seller expectations of real estate
agents are: 1) price my home competitively (21%);
2) sell my home within a specific timeframe (20%);
3) find a buyer for my home (20%);
4) help market my home to a potential buyer (20%).

Home Buyers
• 70% of buyers would probably or definitely use
their real estate agent again.
• The benefit most buyers say they receive from their
agent is help understanding the process.
• 86% of buyers were very satisfied with
their agent’s knowledge of the purchase process.
• 81% of home buyers used a
real estate agent and/or broker to complete
their transaction

The Code of Ethics:
A Commitment to the Public
The Code of Ethics of the NATIONAL ASSOCIATION OF
REALTORS® is the promise to the public that when dealing
with a real estate agent that is a REALTOR®, they can expect
honest and ethical treatment in all transaction-related matters.
Only REALTORS® pledge to abide by the Association’s Code
of Ethics and only REALTORS® are held accountable for their
ethical behavior.

Some of the basic principles of the Code of Ethics include:
• Protect and promote your client’s interests, but be
honest with all parties.
• Avoid exaggeration, misrepresentation, and concealment
of pertinent facts. Do not reveal facts that are confidential
under the scope of your agency relationship.
• Disclose present or contemplated interest in any property
to all parties.
• Avoid side deals without your client’s informed consent.
• Accept compensation from only one party, except with
full disclosure and informed consent.
• Keep the funds of clients and customers in escrow.
• Assure, whenever possible, that transactional details
are in writing.
• Provide equal service to all clients and customers.
• Be knowledgeable and competent in the fields of
practice in which you ordinarily engage. Obtain
assistance or disclose lack of experience if necessary.
• Do not engage in the unauthorized practice of law.
REALTOR® Designations—
The Mark of Expertise and Service
The NATIONAL ASSOCIATION OF REALTORS® has a
variety of affiliates that provide designations acknowledging
experience and expertise in various real estate sectors.
NAR also offers designations and certification programs
to its members, including the ABR® and GRI designations,
and the e-PRO® certification program.
ABR® – Consumer demand for buyer representation
has changed the relationship between buyers and real
estate professionals. REBAC (Real Estate BUYER’S
AGENT Council) awards the ABR® (Accredited Buyer
Representative) designation to REALTORS® who meet
education and experience requirements to better prepare
them to represent buyers.
GRI – A REALTOR® with the Graduate REALTOR®
Institute (GRI) designation is trained in many areas, including
legal and regulatory issues, professional standards, the sales
process and technology. A minimum of 90 hours of training
is required to achieve the GRI designation.
e-PRO® – e-PRO® certification indicates that a
REALTOR® has been trained on Internet business principles
and the technologies required throughout the real estate
transaction.
SRES® – Seniors Real Estate Specialists. When
looking for a real estate professional that will respond
to your specific, 50+ real estate needs, look for a Seniors
Real Estate Designee.
GREEN – NAR’s Green Designation. You have
made the commitment to environmental consciousness;
choose a REALTOR® who understands and shares
your green real estate goals. Choose an NAR Green
Designee.
To access information on the family of REALTOR® designations
and certifications, visit: www.REALTOR.org/edmatrix

SHORT SALE VS. FORECLOSURE -- what's the better way to go? (Hint: Short sale!)

If you cannot bring your loan current, afford to make payments moving forward, or are unable to sell the property for the full amount of the loan, your lender may accept less than the amount owed as full payment. This is what is called a "SHORT SALE".

Many people wonder if there really is that big a difference between the two. THERE IS!

PRO: Under the terms of a short sale, your lender may forgive your mortgage debt in its entirety according to the terms outlined in The Mortgage Debt Relief Act of 2007. Fannie Mae has announced a reduced mandatory waiting period to establish credit history to 2 years after the completion of a short sale. This mandatory waiting period after a short sale is lower than the required 5-7 years following a foreclosure.

CON: You must sell your home

So, sell your home via a short sale, and you can reestablish your credit after just two years. Wait and have your home foreclosed upon and your wait will be 5 to 7 years.

Need to talk about the short sale process and learn your options? Please call me at 386-956-0466. We'll work through it together.

100% HOME FINANCING STILL EXISTS....NO GIMMICKS.....THE TRUTH

Here is a bit of GOOD news in Real Estate — and it may just benefit you!

YES! YOU CAN STILL OBTAIN A 100%, NO MONEY DOWN MORTGAGE!

USDA’s Rural Development is authorized to assist lenders in providing NO DOWN PAYMENT loans to low and moderate income families. Really! Considering all the GREAT DEALS out there now, combined with the first time home buyer (up to) $8,000 tax CREDIT and historically LOW INTEREST rates, how can you resist!!!! This is NOT a gimmick.

To Qualify:
♦Homes must be in an eligible area (call me, I can tell you the areas….many in DeBary, Deltona, and ALL of Orange City; many areas of Seminole County too!).
♦The home must be structurally sound, and the buyer must occupy the home.
♦You must make application with a mortgage company or bank that participates in this program — I can help you there too!
♦Income limits are very generous. For example, a family of 4 income must not exceed $70,750; a family of 3 $63,700.

Requirements are:
♦Must be a US citizen or permanent resident alien.
♦You should have “acceptable” credit (not score driven); very generous. If your score is 580 to 619, that’s good; if it’s 620 or better, that’s GREAT!
♦You need to be able to show stable income and repayment ratios are typically 29% and 41%.
♦All closing costs can be included in the loan, up to its appraised value. There are no limits on the sales price of the home.

THIS IS SUCH A GREAT OPPORTUNITY, IT TRULY IS!

If you, or someone you know—son, daughter, church member, friend, neighbor who may be interested in looking into this, PLEASE either contact me or pass my name and number on to them. I will walk you/them through the relatively simple process.

IT IS, INDEED, A GREAT TIME TO BUY A HOME! Call me at 386.956.0466 or email at Joan@JoanFairchild.com for further details.

How Can I Help You!

Seeking Central Florida home buyers and sellers who know the value of working with one agent from one company unencumbered by the constraints of self interests and sales quotas. If you want to know more about my real estate services, call Joan Fairchild, Realtor at 386.956-0466 or eMail to Joan@JoanFairchild.com or visit me at www.JoanFairchild.com

SHORT SALE VS. FORECLOSURE - One BIG advantage of a Short Sale

Sellers may wonder whether letting a property go into foreclosure would be easier and smarter than going through a short sale. With a foreclosure, and depending on state laws regarding foreclosure, a seller could stay in the property, essentially rent free, for four months to a year before being forced to vacate. But that fact alone does not mean a foreclosure is better. Whereas a short sale involves offering the home for sale, generally listed through MLS. Potential home buyers will make appointments to view the home, some will make lowball offers, agents might hold open houses and, in general, a seller's life will be disrupted, all in the hopes that a buyer will buy the home. The major advantage in short selling, rather than foreclosure, is that you will be able to buy a home again......sooner than with a foreclosure.

Basics of a Short Sale

Short sales happen when a lender agrees to accept less than the amount owed against the home because there is not enough equity to sell and pay all costs of sale. Most lenders will negotiate a short sale, but it is a long and complicated process, and that is why a real estate agent or a lawyer can be a tremendous help by contacting the lender's loss mitigation department to find out.

You can't just wake up one morning and decide you're going to sell your home at a loss by asking for a short sale. It used to be that lenders wouldn't even consider a short sale if your payments are current, but that has changed. Your lender will require you to fill out financial statements and provide documentation that substantiates your inability to pay on your home. It can be a complicated process, but working with a Realtor will help make the process easier.

How is the Seller's Credit Affected?

According to David Steep, division manager at Vitek Mortgage, Sacramento sellers, as well as sellers in other states, will take as big a hit on their credit report by going through foreclosure as giving the lender a deed-in-lieu of foreclosure, providing you are more than 30 days in arrears. Steep says the points lost on a FICO score are as follows:

Foreclosure or Deed-in-Lieu of Foreclosure. Both of these solutions affect credit the same. Sellers will take a hit of 200 to 300 points, depending on overall condition of credit. This means if a seller's FICO score before foreclosure was 680, it could dip as low as 380.

The effect of a short sale (providing the sellers are more than 59 days late) on a seller's credit report is identical to that of a foreclosure. The ding on credit will show up as a pre-foreclosure in redemption status, Steep says, which will result in a loss of 200 to 300 points. This means a short sale with a previous FICO of 720 will see it fall from 520 to 420.

Waiting Period Before Buying Another Home

Foreclosure or Deed-in-Lieu of Foreclosure sellers who wants to buy another home after foreclosure will end up waiting about 36 to 72 months before a lender will offer any kind of interest rate that makes sense. The good news is a short sale will allow the consumer to obtain an institutional loan for a new home within two years".

Some agents say the good news for short sale sellers is the wait is much shorter before buying another home, and new Fannie Mae guidelines make that a true statement. New Fannie Mae guidelines now require only 24 months' seasoning, and that's good news for agents who specialize in short sales."

Note that Fannie Mae guidelines allow a seller to immediately apply for a new loan to buy another home if that seller kept the payments current and had no 60-day late pays or greater on record.


Short Sale / Foreclosure Deficiency Judgments

The bad news is a seller could be subject to a deficiency judgment for the difference between the loan amount and the amount paid. In general, a trustee's sale wipes out the right to a deficiency, except for certain junior lienholder conditions.

The lender has sole discretion whether to pursue a deficiency judgment in those instances when the judgment is permitted. To determine whether a pending foreclosure or short sale is subject to a deficiency judgment, talk to a real estate lawyer.

If you're a seller trying to decide whether to let a home go through foreclosure versus attempting a short sale, salvaging your credit may not be an advantage to doing a short sale, if you've fallen behind in your payments. The only advantage is being able to buy another home within two years over the three- to five-year period required for foreclosures. But seek legal and tax advice before making that decision.

If you would like to discuss selling your home with a "short sale" status, please call me at 386.956.0466 or eMail me at Joan@JoanFairchild.com. I'll help you through the process.

MORTGAGE INTEREST RATES TAKE ANOTHER DROP!

Average Mortgage Interest Rates Take Another Very Nice DROP!

Today, 3/26/09, Freddie Mac announced the average mortgage interest rate for 30 year fixed-rate mortgages was down to 4.85%, down from 4.98% a week ago. The average interest rate for 15 year fixed-rate mortgages was 4.58%, down from 4.61% last week. A year ago the 30 year rate was 5.85%. Freddie Mac states this is the lowest interest rates have been since they started doing the survey dating back to 1971!


The Federal Reserve said it would begin buying Treasury securities over the coming 6 months. This caused bond yields to drop and interest rates on mortgages played follow-the-leader downward.


Freddie Mac noted that on July 24th the rates were at 6.63%. The difference between then and today would mean that someone with a $200,000 mortgage would pay about $225 less each month due to the drop in interest rates. HUGE savings! How would you like an extra $225 in your pocket each month, especially in these tough times. Who wouldn't?


It seems that many buyers are taking notice of the lower rates. Both sales of existing and new homes rose 5% in February 2009. Over half of the buyers were purchasing their first homes. Also, applications for new mortgages rose for three straight weeks. Again the lower rates likely fueled this action.


Hopefully some of my readers will be able to take advantage of these extremely low rates, special first-time buyers tax credits (UP TO $8,000 TAX CREDIT GIVEN TO YOU....FOR BUYING IN 2009!!!), and the very low prices of homes. Now is a great time to buy a home! So jump down off the fence and make that move before rates and prices go back up. And THEY WILL!


If you want to learn more about Freddie Mac or see the details of their survey, go to: http://www.freddiemac.com/ and click on the link for "Current Weekly Survey". They break down the survey by specific regions in the United States so you can see how your state compares to other parts of the country. They also explain the mission of Freddie Mac and offer a lot of useful information for consumers.


If you would like to speak with a lender, you can contact me via my website: http://www.joanfairchild.com/ , or by eMail: Joan@JoanFairchild.com, or call me directly at 386.956.0466. You can also speak with your own bank, credit union, or mortgage broker to see what your particular interest rate would be, should you decide to finance a home purchase.

It IS a great time to BUY A HOME

Contrary to what you read, banks ARE still lending money to buy a home. With a decent credit score, a solid job history and a little money to invest (in some instances ZERO money needed to invest) you CAN own a home.

Why is it a great time? Several reasons. Currently mortgage interest rates are at historical lows. Inventory is plenty, many homes to choose from AND the prices of some of these homes are dirt cheep!!! Bank owned homes are abundant.

AND, if you are a first time home buyer (or haven't owned a home in the past 36 months) you may qualify for up to an $8,000 tax CREDIT; not a tax deduction -- it is a TAX CREDIT! The government will pay you up to $8,000 to buy a home this year!!!!

So.....historically low interest rates, an abundance of low priced homes, combined with a tax CREDIT from Uncle Sam.....makes it A GREAT TIME TO BUY A HOME!

Call or email me for more details: Joan Fairchild, Realtor, REMAX Associates, Inc. 690 Deltona Blvd., Deltona, FL 32725. Phone: 386.956.0466 eMail: Joan@JoanFairchild.com

FOR A COMPLETE LIST OF BANK OWNED/FORECLOSURE HOMES IN YOUR CENTRAL FLORIDA AREA, contact me today!

Each office independently owned and operated.