Team SchuCo

San Diego Housing Market Is On The Rebound

2010-05-17T16:47:00.000-07:00

All the signs are there for continued improvement in the economy as well as housing markets, but it will be several years before real estate practitioners can expect to see markets returning to equilibrium, two of the country's top economists told REALTORS® this week.

By the end of this year, practitioners should see 5.4 million existing-home sales and home price growth of up to 3 percent, said NAR Chief Economist Lawrence Yun.

Already many markets are seeing home price increases, including San Diego, where prices are up some 16 percent. Orange County, Calif., and Boston are two other strong areas, with price increases of 10 percent to 12 percent, Yun said.

Realtor Magazine

Incentive To Avoid Foreclosure

2010-05-04T15:36:00.000-07:00

Beginning in July, Fannie Mae will allow financially troubled home owners to complete a “deed in lieu of foreclosure” or a short sale and be eligible to apply for a new Fannie-backed mortgage in two years. Currently, borrowers who have completed a deed-in-lieu must wait four years to apply for a loan that Fannie will purchase. Home buyers who go through foreclosure must wait five years.

All these waiting periods can be reduced further, if the potential buyer can show extenuating circumstances. "We are beginning to think about post-recession, how you address borrowers who became unemployed through no fault of their own ... and now deserve the right to re-enter the housing-finance system," said Federal Housing Association Commissioner David Stevens.

Source: The Wall Street Journal, Nick Timiraos (04/26/2010)

Congratulations Luis & Leslie Mendoza!!

2010-04-29T09:28:00.000-07:00

Join us in giving Nash Christian Mendoza a happy and healthy welcome to the world. May your heart be filled with love as you grow into the best person you can be. You have two wonderful parents behind you so be thankful and enjoy the ride..Congratulations and Happy Birth Day!

Team SchuCo-Your Trusted Mortgage Advisors

2010-04-16T16:17:00.000-07:00

Contact Team SchuCo today for all your real estate financing needs. Team SchuCo's intent is to stabilize the industry with low fixed rate solutions while providing honest and reliable customer service. Take advantage of an abundance of inventory and historically low rates before the FTHB tax credit expires.

33 States Are Out Of Money!

2010-04-09T11:49:00.000-07:00

NEW YORK(CNNMoney.com) With unemployment still at a severe high, a majority of states have drained their jobless benefit funds, forcing them to borrow billions from the federal government to help out-of-work Americans. A total of 33 states and the Virgin Islands have depleted their funds and borrowed more than $38.7 billion to provide a safety net, according to a report released Thursday by the National Employment Law Project. Four others are at the brink of insolvency.

Debt-challenged California has borrowed the most, totaling more than $8.4 billion, followed by Michigan and New York, which have loans worth more than $3 billion. Nine other states have borrowed at least $1 billion from the federal government.

"The nation's financing system for jobless benefits is under unprecedented stress," said Andrew Stettner, deputy director of the New York-based advocacy group for the unemployed. "While the recession has certainly made things worse, this funding crisis has been developing for years."
Federal and state governments collect money for unemployment benefits by taxing employers on a small portion of their employee wages. While total wages and weekly jobless benefit levels have been rising, governments haven't increased the taxable base wages at the same pace.

Rates To Remain Steady..

2010-04-07T11:47:00.000-07:00

As the Federal Reserve ended its purchase of mortgage securities last week and private investors step in to pick up the slack..mortgage rates aren't expected to move up much. Analysts expect they will rise less than a quarter of a percentage point in the next three months. That gain would increase a monthly payment on a $250,000 mortgage by $30. In a statement released March 12, Freddie Mac predicted that mortgage rates would average 5.2 percent on a 30-year fixed loan after the Fed stops buying. Fannie Mae put the rate slightly higher at 5.13 percent.

Source: Bloomberg, Kathleen M. Howley (03/30/2010)

"Skimmers"

2010-04-01T10:15:00.000-07:00

For those of you who are swipe happy with your debit/credit cards beware of the latest scam called "Skimming"! Individuals as well as groups are tapping into merchant card services and duplicating your card number and pin when you swipe your card at the gas station, department store, etc. and are "skimming" a healthy fee off the top for their suaveness. Some reports say these people are walking away with as much as $20,000 per day! Be careful and use cash if possible until the dust settles..

Loan Modifications Are A Racket!

2010-03-30T13:05:00.000-07:00

As I have stated in many previous posts loan mods are a racket! According to government reports, last week over half of the loan modifications that were done in the past nine months have already defaulted for people not adhering to their new plan. This equates to over 2.39 million people who are 60 days late on their payments which is up 13% just from the previous quarter. As a result the Obama Administration is continuing to pump more money into the system to correct this.. If you are a homeowner in this situation it is imperative to make your payment on time or reach out to your current lender and utilize some of the additional tools designed to prevent this type of fallout. Contact Team SchuCo to review your options of restructuring your current loan.

FHA Offers 10% Write Down Refi To Non FHA Clients

2010-03-29T10:13:00.000-07:00

FHA has released a plan that will allow borrowers who don't currently have an FHA loan, a chance to get a 10% write down on their current loan. Keep in mind the program is lender specific but the intent is to target borrowers who have been making their payments on time, are upside down in equity and don't exceed 115% ltv. Click on this link for details and contact Team SchuCo today for a no obligation review of your existing mortgage portfolio to see if you qualify!

FHA Cost Increase!!

2010-03-26T10:19:00.000-07:00

The cost to do an FHA loan is going up! Per HUD all FHA case numbers that are assigned on or after April 5, 2010 will be assessed an up front MI fee of 2.25%. Do not wait to get your case numbers assigned-get your files in now and get your case number today! FHA is doing a little over 30% of the loans in the industry and isnt happy about it hence fees are going up, files are taking longer to be processed and HUD is hiring to pick up the slack..

Should Bank of America Reduce Mortgage Balances?

2010-03-25T08:18:00.000-07:00

NEW YORK (CNNMoney.com) -- Bank of America announced Wednesday that it will first look at reducing the loan balances of certain distressed homeowners with sub prime or adjustable rate mortgages to make their payments more affordable. The move makes Bank of America (BAC, Fortune 500) one of the first major loan servicers to systematically incorporate the controversial loan modification technique into its home retention program. Nearly 25% of borrowers are underwater, according to First American CoreLogic.

Bank of America is launching the program to entice more borrowers to participate in its foreclosure prevention efforts and to reduce the chance of redefault, said Barbara Desoer, president of Bank of America Home Loans. When modifying mortgages, Bank of America will initially consider reducing the balances of borrowers with qualifying sub prime, Pay-Option ARMs and prime 2-year hybrid ARM loans to bring down the monthly payments to 31% of pre-tax income. Currently, banks first look to reduce interest rates or lengthen the term.

FHA Offers Education for Appraisers

2010-03-22T12:23:00.000-07:00

The Federal Housing Administration (FHA) announced that on April 21, 2010, in Atlanta, GA they will hold an education session for appraisers. This is a full day, live course that offers instructions on most recent changes and updates to FHA procedures and guidelines for FHA Appraisers. The session will take place at the Richard Russell Bldg-Strom Auditorium, 75 Spring Street SW, Atlanta, GA 30303.

The topics discussed will include; Appraiser Portability, Appraiser Independence, Appraiser Sanction Process, Declining markets and 1004MC form, Case Transfer Responsibilities, HUD REO Appraisals, MPR/MPS-Property Inspections, and other related topics.

Registration is required but there is NO FEE. More information is available here.

JPMorgan Chief Economist Says Housing Is On The Rebound

2010-03-19T15:24:00.000-07:00

Some of the nation’s top economists believe the housing market has turned and better days are on the way for the housing industry. Increases in jobs, credit, and affordable homes will overcome impediments such as rising interest rates, and the expiration of the Federal stimulus program to push the housing market toward recovery, says Dean Maki, chief U.S. economist for Barclays Capital.

“I would bet even odds that we’re at a bottom and that we’re going to see improvement in the coming months,” says Karl Case, co-creator of the S&P/Case-Shiller Home Price Index and a professor of economics at Wellesley College. “The underlying trend is turning positive,” says Bruce Kasman, chief economist at JPMorgan Chase & Co.

Source: Bloomberg, Kathleen M. Howley and Rich Miller (03/15/2010)

(HAFA) Home Affordable Foreclosure Alternatives

2010-03-18T11:19:00.000-07:00

Homeowners struggling to sell their homes in a short sale are getting some relief, thanks to the federal government's Home Affordable Foreclosure Alternatives, or HAFA, program. Many short sales in which the lender accepts a sale of the property for less than the full amount owed have taken months to complete. Sometimes, the complex and lengthy process has failed, resulting in foreclosure. Under HAFA, borrowers receive pre-approved short sale terms from the lender prior to putting the home on the market. HAFA establishes streamlined short sale rules and incentivizes borrowers and lenders to work together to avoid foreclosure. The rules will take in effect between April 5, 2010, and Dec. 31, 2012.

The HAFA guidelines apply to lenders who voluntarily participate in the HAMP program. The Department of Housing and Urban Development says more than 100 servicers have signed up to participate in HAMP, covering more than 89 percent of mortgage debt outstanding in the country. To be eligible for HAFA, homeowners must first apply for a loan modification through the Home Affordable Modification Program, or HAMP. Owners who do not qualify for a loan modification or miss payments during the initial loan modification period qualify for HAFA.

Other HAFA requirements include:

* Property is principal residence.
* Mortgage originated before Jan. 1, 2009.
* Mortgage is owned or guaranteed by Fannie Mae or Freddie Mac.
* Borrower is delinquent or default is foreseeable.
* Homeowner demonstrates hardship.
* Borrower's total monthly housing payment exceeds 31 percent of gross income.
* Unpaid principal does not exceed $729,750.

IRS Impersonators Use Twitter To Retrieve Your Personal Information

2010-03-17T11:27:00.001-07:00

(CNNMoney.com) As the tax deadline draws near, the Internal Revenue Service wants you to beware of fraudulent tax preparers, hidden offshore bank accounts and offers that seem too good to be true. The IRS urged taxpayers to avoid falling prey to or carrying out a number of common tax schemes that will result in copious fines or put an offender in prison for years.

"Taxpayers should be wary of anyone peddling scams that seem too good to be true," said IRS Commissioner Doug Shulman. "The IRS fights fraud by pursuing taxpayers who hide income abroad and by ensuring taxpayers get competent, ethical service from qualified professionals at home in the U.S."

Among the scams to watch out for this year are preparers who offer refunds that don't exist, promoters who encourage you to argue with the IRS about taxes you owe, and IRS impersonators who may even use Twitter to obtain your personal information.

The IRS will also be keeping a close eye on misbehaving tax filers, so think twice before filing a phony salary, lying about charitable donations or trying to claim a tax credit for the gas costs you incurred during that road trip you took last year.

In future filing seasons, all paid preparers will be required to register with the IRS in order to receive a preparer tax identification number. Preparers must also take competency tests and participate in continuing professional education, unless they are attorneys, certified public accountants or enrolled agents.

New Federal Program Encourages Short Sales

2010-03-16T13:49:00.000-07:00

Beginning April 5, the Obama administration will encourage delinquent borrowers to avoid foreclosure and instead give up their homes in short sales by streamlining the process. The program will offer a cash payment to the home owner, the servicer and second-lien holder with the intent to protect borrowers from future lender lawsuits for the unpaid mortgage balance.

To curtail fraud, lenders will have to consult real estate practitioners to assess home value and minimum acceptable offer; they then must accept any offer that is equal to or higher than that.

Source: The New York Times, David Streitfeld (03/08/10)

Is Your Bank Lending To You?

2010-02-25T12:47:00.000-08:00

Do You Still Have To Pay If You Lose Your House?

2010-02-17T09:18:00.000-08:00

Whether banks can and will pursue deficiency judgments depends on many factors, including what state the borrower lives in and whether there's a second mortgage or other liens. But if borrowers ignore the possibility of deficiencies, it could haunt them.

"Once they have a judgment, they can pursue you anywhere," said Richard Zaretsky, a board-certified real estate attorney in West Palm Beach, Fla. "They can ask for financial records, have your wages garnished and, if you fail to respond, a judge can put you in jail."

In the case of foreclosure, lenders can pursue deficiencies in more than 30 states, including Florida, New York and Texas, according to the U.S. Foreclosure Network, an organization of mortgage law firms.

Some states, such as California, are "non-recourse" and don't allow deficiency judgments. But, even there, if the original loan was refinanced, some or all of it may be subject to claims. Contact your local tax advisor for answer to your personal situation.

Happy Washington's Birthday

2010-02-15T09:16:00.000-08:00

Did you know that today isn’t officially Presidents’ Day across the United States. The more accurate term would be “Washington’s Birthday,” according to the federal statute designating the third Monday in February in honor of the father of our country, who was born on Feb. 22, 1732.

A MUST SEE!!

2010-02-08T15:59:00.000-08:00

For those of you who are involved in real estate in whatever way shape of form, you must watch this tutorial as it describes in a nutshell what we are up against in terms of our government and how they claim to be helping us..be sure and sit down and put your hands in your pocket so you don't through your monitor across the room!

The Power of Positive Thinking In Twenty Ten!

2010-02-04T10:31:00.000-08:00

What you think about you talk about and what you talk about you bring about, live your life in the spirit and possibility for 2010. Make it a great year!

FHA To Charge Less Now..More Later?

2010-02-02T14:23:00.000-08:00

If Congress goes along, the Obama administration proposes to slash upfront premiums on FHA mortgage insurance to 1 percent, down from 1.75 percent today, but would offset that reduction with a 70 percent increase in annual premiums. FHA's capital reserve ratio fell below the 2 percent minimum set by Congress, the Department of Housing and Urban Development (HUD) last month announced several steps to cut the mortgage insurance program's losses and raise revenue.

Annual premiums are already at their statutory limit -- 0.5 percent for borrowers with loan-to-value (LTV) ratios of up to 95 percent, and 0.55 percent for higher LTVs. But HUD has the authority to raise upfront premiums all the way to 3 percent without seeking permission from lawmakers.

Facebook And Your Credit

2010-01-27T12:22:00.000-08:00

Watch this informative news clip on how Twitter and Facebook updates can negatively effect you and your friends credit worthiness:

http://abcnews.go.com/video/playerIndex?id=9576292

2010 Recovery for New Homes

2010-01-25T15:12:00.000-08:00

The housing recovery should gain moment in 2010 but the improvement will still be slow, according to a panel of economists speaking at the International Builders Show in Las Vegas. "It won't be a strong recovery, but it will be a recovery," said David Crowe, chief economist for the National Association of Home Builders.

Crowe forecast that sales of new homes will rise by about 33 percent while resales will go up 7 percent. He expects prices to remain stable in most areas but some cities may see some slight declines. "I believe we've seen the worst of the house price declines" Crowe said.

FHA Toughens Down Payment Rules

2010-01-25T15:11:00.000-08:00

The Federal Housing Administration announced they will raise the minimum down payment for its least credit-worthy borrowers. The change is among a number of major changes the FHA is making to ensure its long-term financial soundness.

Borrowers with credit-rating scores below 580 will be required to put down at least 10 percent. Those with a credit score above 580 will be able to continue to put down only 3.5 percent. The changes are intended to shore up the agency's finances.

Create A No Phone Zone!

2010-01-19T11:42:00.000-08:00

Think you can drive and text or talk at the same time? Science shows your brain just can't keep up. University of Utah researcher David Strayer has been studying distracted drivers for 10 years. "The brain just doesn't work the way we'd like it to work," he says. "We can't multitask the way that a lot of people think they can."

David's research found that talking on a cell phone quadruples your risk of an accident. "For comparison purposes, someone who's drunk at a 0.08 blood alcohol level has a four-time crash increase. So talking on a cell phone is about the same as driving drunk," he says. "When you're text messaging, the crash risk goes up to eight times."Stop texting and talking on the phone while driving-Join the "No Phone Zone" And Save a Life!

New Mortgage Forms

2010-01-04T14:50:00.000-08:00

(CNNMoney.com) Starting Jan. 1, new rules go into effect that simplify and clarify exactly what mortgage lenders will charge for a loan. The initiative from the Department of Housing and Urban Development (HUD)requires that a new "Good Faith Estimate" form be given to all applicants, one that makes it easier to compare true costs of loans from different lenders.

"The main purpose is to give consumers the tools to be able to compare apples to apples," said Robert Grosser of Luxury Mortgage, a New Jersey-based direct lender. "All lenders must use a specific form and disclose fees in the same spots on the same forms." Until now, borrowers might have focused on interest rates or monthly payments to compare mortgages options. But fees play a big part in total cost, said Vicki Bott, HUD's Deputy Assistant Secretary for Single Family Programs. Stay tuned..

Foreclosure Sales Being Canceled

2009-12-28T13:06:00.000-08:00

Foreclosure sales have been canceled at an increasing rate as loan modifications take hold, according to ForeclosureRadar, a Stockton-area data company that monitors California’s distressed housing market. For San Diego County, the daily cancellation count increased nearly a third, from 34 in October to 45 last month. There were 741 cancellations in October and 824 in November. In November 2008, there were 773 cancellations. Meanwhile, 1,283 foreclosures became final last month, down from 1,346 in October and up from 1,115 in November last year.

4 out of 10 Recent Buyers Used FHA Loans

2009-12-18T18:34:00.000-08:00

According to the most recent REALTORS® Confidence Index, 39 percent of recent buyers purchased a home with a Federal Housing Administration-insured loan. REALTORS® who took part in the November survey also reported that the number of first-time home buyers continued to climb to 51 percent.

“FHA helps provide affordable mortgage financing to home owners, particularly first-time home buyers who are so important in drawing down inventory to help stabilize the current housing market,” said NAR President Vicki Cox Golder. “These recent survey results reaffirm that, despite its current challenges, FHA is a critical part of the American housing fabric.”

Distressed Properties Slow Southern California's Recovery

2009-12-16T09:35:00.000-08:00

As San Diego County’s housing market slowly climbs back to normal, Southern California as a whole still suffers from a high level of distressed properties, MDA DataQuick reported yesterday. “This market is still really lopsided,” DataQuick President John Walsh said in a statement. “Foreclosures and short sales (homes sold for less their mortgage balance) are huge factors. There’s still not a lot of discretionary buying and selling outside the more affordable markets. Anybody who can sit tight is doing just that.” While the six-county region’s overall median price was unchanged last month at $285,000 from year-ago levels, prices in San Diego, Orange and Ventura counties were in positive territory. Foreclosure-plagued San Bernardino and Riverside counties were down 13.6 percent and 9.1 percent respectively. Los Angeles was also in negative territory, off 3.2 percent. The November median for the region was up $5,000 from October.

As reported yesterday, San Diego County’s year-over-year price increase in November was the highest in four years, up $20,000, or 6.6 percent, to $325,000. The last time the percentage change was higher was in October 2007, one month before the median reached a record $517,500. It then fell to a low of $280,000 this past February before starting to rise to its present level. San Diego’s median has remained unchanged for four months. DataQuick said sales throughout the region are being propelled by unusual conditions, historically low interest rates, federal tax credits and investor interest, especially in lost-cost homes in foreclosure or distress. Sales of newly built homes and condominium conversions were up 25.5 percent to 2,039 from year-ago levels and were the highest of the year. San Diego’s 374 new-home sales were the highest since January 2008, a reflection of the county’s unique geographical and political makeup, no room to grow, tough environmental and regulatory rules and an economy, while ailing, that can depend on the military to provide a foundation lacking elsewhere, said Louis A. Galuppo, director of residential real estate at the University of San Diego’s Burnham-Moores Center for Real Estate.

Can "Tweets" Sell Homes?

2009-12-11T09:37:00.000-08:00

Real estate agents and others are trolling for clients on popular online social networking sites, mixing home huckstering with their online networking. But is this a good way to sell a home or are agents' sales pitches getting lost in the post? Agents who use the social networking sites to market properties say they hope to generate referrals — just as you might tip off a friend about a new for-sale sign on a lawn. "Tweeting is the same way," says Duane Hopper, an owner and broker at Century 21 Real Estate Center in Seattle, referring to the term for posting messages on the microblogging Web site Twitter.com. "There is a multiplier effect that can take place, particularly on very hot information," adds Hopper, who posts information about homes he's trying to sell and promotes himself on Twitter, Facebook, LinkedIn and ActiveRain. Twitter lets users create profiles where they can post messages of up to 140 characters that can be viewed by anyone with Internet access on a PC or mobile phone.

Hard Rock Faces Suit By Owners Of Rooms

2009-12-11T09:29:00.000-08:00

Investors who bought condo-hotel rooms at downtown San Diego’s Hard Rock Hotel and now claim to have lost millions have sued the developer and operator, saying federal and state laws were broken because the investment contracts were never properly registered. The lawsuit, filed this week by former San Diego City Attorney Michael Aguirre, claims that Hard Rock Hotel principals never filed their offering of investment agreements with the U.S. Securities and Exchange Commission and the California Department of Corporations because they wanted to avoid scrutiny of the deal.

As a result, investors “have suffered tens of millions of dollars in damages,” the lawsuit states. “(Hard Rock Hotel San Diego) is paying plaintiffs only a fraction of what plaintiffs would need to break even on their ... investment contracts.” Further, those contracts were “an artifice of deception” used to “shift substantial risks of the (hotel) to dazzled investors,” it states.
The 420-unit Hard Rock Hotel project was conceived earlier in the decade when real estate development was booming and condo hotels were viewed as a convenient way to finance new hotel properties. By using condo buyers’ money, developers were able to put together the equity they would normally need to come up with themselves when developing a hotel.

How Much Home Can You Afford?

2009-12-09T09:51:00.000-08:00

In today's market it is imperative to plan ahead and know how much you can afford without over-extending yourself. Having this in mind here are a few guidelines to follow so that in the event of further economic turmoil or an emergency you are prepared.

In attempt to arrive at an "affordable" home price, here are some lender guidelines that will help. Allow yourself a total debt-to-income ratio of no more than 35 percent. This is based on a housing payment-to-income ratio of 28% for a conservative estimate and 33 percent for the aggressive one. Before buying, be sure to factor in other savings needs, including retirement and college if you have a family. Contact Team SchuCo to get pre qualified today!

Low Income Housing Hard To Find In San Diego

2009-12-02T13:26:00.000-08:00

As the economic downturn worsened last year, the nation’s poorest households found it increasingly difficult to find housing they could afford, according to a newly released report analyzing 2008 census data. The National Low Income Housing Coalition, an advocacy group for the poor, details in stark numbers the daunting challenges facing the neediest households when it comes to finding low-cost shelter. Among all income groups, there is none who have been hit harder than them. For every 100 extremely low-income households, there were 37 affordable rentals available for them last year, the census study revealed. A year earlier, the number was 39.

While California numbers have not been formally released, an initial analysis shows the problem for the state’s lowest-income households is even worse than at the national level. In 2007, there were 24 affordable units for every 100 extremely low-income California renters. By last year, that number had fallen to 23. In all, that represents a deficit of nearly 900,000 affordable units, said Danilo Pelletiere, research director for the National Low Income Housing Coalition. California is one of the most expensive states in the country, and that’s led to a very severe housing shortage, which is most severe for the lowest income households,” Pelletiere said. “This crisis has done little to relieve the burden on those households because the incomes of those folks have fallen much faster.”

Permanent Loan Modifications

2009-12-02T09:04:00.000-08:00

(CNNMoney.com) Looking to jump start its foreclosure prevention plan, the Obama administration announced new steps Monday to pressure loan servicers to help homeowners long term. Responding to complaints that too many borrowers are stuck in trial adjustments, administration officials said they will now focus more heavily on getting borrowers into permanent modifications. Government swat teams will go to the institutions to see what the holdup is and banks will have to submit progress reports twice a day during December.

Should The Fed Raise Rates?

2009-12-01T15:46:00.000-08:00

The Federal Reserve must be prepared to raise interest rates if necessary before the jobless rate has fallen to "acceptable levels" or risk losing its inflation-fighting credibility, a senior Fed official said on Tuesday.

Philadelphia Federal Reserve Bank President Charles Plosser said he has become more confident in the sustainability of the U.S. economic recovery even once government stimulus fades, and stressed the Fed must take a forward-looking approach. Plosser, who will not have a vote on the Fed's policy-setting committee until 2011, said he expects the U.S. economy to grow at around three percent over the next two years.

"Looking ahead, I see an economy that will be growing over the next two years, which means real interest rates will be rising," he said in remarks prepared for delivery at the University of Rochester, New York. "As they do, the federal funds rate should be permitted to rise with them" to ensure the Fed can promote stable inflation expectations and sustainable growth.

Do The Right Thing-Brokers!

2009-12-01T15:39:00.000-08:00

NEWPORT BEACH – A Corona del Mar mortgage broker accused of dumping his clients' financial information into public recycling bins has had his license suspended after declining to fight the allegations. According to state investigators, Paul Henry Reed, owner of Seaview Financial, closed his office in February, and boxes containing 350 client files subsequently turned up at an elementary school recycling center.

Files overflowing from a public recycling bin at an elementary school contained files with personal information on hundreds of clients of Seaview Financial in Corona del Mar. The files, which contained bank statements, credit reports, completed tax returns and other sensitive data, overflowed from the top of green metal bins for several days before being retrieved by police.

In a February interview, Reed said he hired a company to burn the documents when moving out of his East Coast Highway offices. He declined, however, to provide the company's name or a receipt for the transaction. "In the interest of expedience and economy, (Reed) chooses not to contest these allegations," according to an agreement he reached with the California Department of Real Estate.

As a result, Reed's broker's license was suspended for 60 days, and in the next six months, he must pass an ethics examination to avoid further discipline. The suspension took effect Nov. 16; if Reed pays $1,000, the suspension length can be cut in half, but no such payment has been received, said Tom Pool, an agency spokesman.

Citigroup To The Rescue?

2009-11-24T15:04:00.000-08:00

Citigroup released its eighth quarterly mortgage data report today, touting the fact that it had helped "approximately 130,000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billion."

Foreclosures Effecting More People With Good Credit

2009-11-20T09:44:00.000-08:00

The foreclosure crisis likely will persist well into next year as high unemployment pushes more people out of homes, pulls down housing prices and raises concerns about the broader economic recovery. The latest evidence shows a rising proportion of fixed-rate home loans made to people with good credit are sinking into foreclosure. That's a shift from last year, when riskier subprime loans drove the housing crisis.

The report from the Mortgage Bankers Association also found that 14 percent of homeowners with a mortgage were either behind on payments or in foreclosure at the end of September. It was a record-high figure for the ninth straight quarter. Data suggests the housing market and the broader recovery will remain under pressure from the surge in home-loan defaults, especially as unemployment keeps rising. Lost jobs are the main reason homeowners are falling behind on their mortgages.

First Time Homebuyers Are Leading The Market Back

2009-11-18T10:08:00.000-08:00

(CNNMoney.com) Propelled by the first-time home buyers tax credit, nearly half of home sales are now being made by first-time purchasers. In fact, 47% of all Americans who purchased homes this year had not owned one during the previous three years, according to a press release Friday from the National Association of Realtors (NAR).

The tax credit boosted markets by giving first-time buyers a credit of up to $8,000 they could deduct from their income taxes. The credit is fully refundable: Even a buyer who pays less than $8,000 in income tax gets the full amount of the credit back. The credit was recently extended through the middle of 2010 and expanded to include many existing homeowners. That has the industry buzzing.

Do You Have To Repay Part Of Obama Tax Credit?

2009-11-16T09:33:00.000-08:00

As I stated in many previous posts-the intent of Obama's Tax Credit was good but in reality you must consult your personal tax advisor so that you understand the rules properly and how they in turn will effect you or your clients. Dont fall victim to what someone else feels you should do, read below:

More than 15 million taxpayers could unexpectedly owe taxes when they file their federal returns next spring because the government was too generous with their new Making Work Pay tax credit.

Taxpayers are at risk if they have more than one job, are married and both spouses work, or receive Social Security benefits while also earning taxable wages, according to a report Monday by the Treasury Department's inspector general for tax administration. The tax credit, which is supposed to pay individuals up to $400 and couples up to $800, was President Barack Obama's signature tax break in the massive stimulus package enacted in February.

Most workers started receiving the credit through small increases in their paychecks in April. The tax credit was made available through new withholding tables issued by the Internal Revenue Service. The withholding tables, however do not take into account taxpayers with multiple jobs or married couples in which both people work. They also don't take into account Social Security recipients with jobs that provided taxable income.

Good News: Less Homeowners With Negative Equity

2009-11-09T10:45:00.000-08:00

(CNNMoney.com) Fewer people are underwater on their mortgages, further evidence that the real estate free-fall may be slowing.

Just 21% of all single-family homeowners owe more on their mortgage balances than their homes are worth, according to a third quarter residential real estate report from Zillow.com. That is down from 23% at the end of the second quarter. That is good news because it should help reduce the number of homeowners losing their homes to foreclosure. Being underwater is one of the two factors that lead to foreclosure, the other being, of course, not having enough income to make the monthly payments.

"The decline in the percentage of homeowners with negative equity is a positive sign and is directly attributable to the stabilization of home values from the second quarter to the third," said Zillow chief economist Stan Humphries.

Unemployment Rises Above 10%

2009-11-06T11:21:00.000-08:00

As I mentioned in a post last month, one of the most important factors in the economy's recovery is employment vs. unenjoyment. According to reports unenjoyment has risen to 10.2%. Now before we get caught up in the doom and gloom of the media let's be objective about this and realize what this actually means. Granted more people are without work, the flip side is that corporations are meeting quarterly projections with a leaner and meaner work force which will in turn increase company profits and stock holdings while preventing any further layoffs. We must fully break before we can stabilize and once we stabilize we can then recover as an economy! See CNN's article below for additional reasons why the unenjoyment calculation can be skewed:

CNNMoney.com The nation's unemployment rate rose above 10% for the first time since 1983 in October as employers continued to trim jobs from payrolls. The reading, reported by the government Friday, is a sign of the continued weakness in the labor market even though the economy grew in the third quarter following the longest and deepest downturn since the Great Depression. The government reported that the unemployment rate spiked to 10.2%, up from 9.8% in September. It is the highest that this rate has been since April 1983. Economists had forecast an increase to 9.9%. There was also a net loss of 190,000 jobs in October, according to the Labor Department, an improvement from a revised estimate of 219,000 job losses in September. However, economists surveyed by Briefing.com had forecast a loss of only 175,000 jobs in October. This was the 22nd straight month of job losses.

The jump in the unemployment rate was driven up by a large drop in the number of people who describe themselves as self-employed, as well as the number of teenagers who have jobs. The unemployment rate for teenagers in the labor force soared to 27.6%, up 1.8 percentage points and hitting a third straight record high. Both teen workers and the self-employed are not captured very well in the government's separate survey of employers that is used to calculate the number of people on U.S. payrolls. That explains much of the disconnect between fewer job losses overall and the much worse unemployment rate.

Google's Got Game

2009-11-03T09:52:00.000-08:00

Google has added a new tool called Social Search. It is accessible via Google Labs, Social Search provides results culled from the searcher's social media graph. Just as there are separate tabs in the normal Google search for images, blogs, video, etc., once you opt in to the Social Search experiment you'll see a new tab for social-enhanced search-engine results. The requirements for opting in, creating a Google profile and logging in to your Google account will curb the initial group using this tool. Try it it's neat!

San Diego National Bank Bites The Dust

2009-11-02T09:41:00.000-08:00

(CNNMoney.com) Nine subsidiaries of FBOP Corp., a multi state holding company that included California National Bank of Los Angeles, succumbed Friday to the nationwide banking crisis, bringing to 115 the number of banks closed by regulators so far this year. The Federal Deposit Insurance Corp. said the nine banks in California, Illinois, Texas and Arizona that made up the privately held FBOP were taken over by U.S. Bancorp of Minneapolis. The banks, which had combined assets of $19.4 billion and deposits of $15.4 billion, will open Saturday as U.S. Bank branches. Of the nine banks, San Diego National Bank of San Diego was a victim.

California Home Loan Reset Warning!

2009-10-30T11:42:00.000-07:00

According to Inman News a letter has been sent by the government to multiple lenders about how many pay option arm loans they have on their books and what they intend to do to modify these loans. As far as Im concerned this is a waste of time and just another opportunity for these so called Big Banks to alter the truth and have the government drag their feet in fixing the situation. My personal opinion is that we as real estate PROFESSIONALS need to be more proactive by reaching out to our clients and referral partners and provide low, fixed rate programs at reasonable pricing! Yes, it is impossible to help everyone for multiple reasons but if all of us reached out to a few people a day it would help make the future of our industry a little brighter! See article below;

Homeowners with pay-option adjustable-rate mortgage (ARM) loans are sitting on "ticking time bombs that the lending industry has the power to defuse," California's attorney general said in asking 10 lenders and loan servicers for information that would make clear the extent of the problem and what they intend to do about it.

Economists estimate that about 1 million pay-option ARMs will reset in the next four years, "dramatically worsening the foreclosure crisis," the attorney general's office said in a letter to lenders. With 58 percent of all pay-option ARMs originated between 2004 and 2008, California will be the "epicenter of this crisis."

5 Mistakes A Buyer Cant Make In A Short Sale

2009-10-28T09:27:00.000-07:00

Amongst today's volatile, short sale driven market there are 5 things you cant do while considering a short sale purchase:

1. Don't ignore property problems-nowadays foreclosure property owners aren't willing to leave nor are they willing to leave the property in good condition.

2. Don't skip the home inspection-make sure you set aside enough time to go along on your home inspection so that there are no suprises down the road.

3. Don't ignore legal and insurance information-most disclosure statements will indicate if a house is in a flood plain or has any unpermitted renovation. Due to bank owned properties being sold as is without disclosure, you need to do extra research on the home's status.

4. Don't expect the transaction to close quickly-short sale and foreclosure transactions won't necessarily close as quickly as it would for a traditional home. The short seller's lender must grant approval of either foreclosure terms or a short sale price which is less than the short seller owes. And most banks are overwhelmed with foreclosures and slow to respond.

5. Don't fall too hard for a bad home-unfortunately you can't assume you're getting a great deal in today's marketplace. Try to take the approach of an investor and ask yourself these three questions:

•Could you rent the property for as much as the mortgage payment?
•Will you be able to stand a 20% drop in value?
•How much money do you have to put into the property to make it habitable?

Contact Team SchuCo today to be referred to a Qualified Short Sale Specialist!

California Recovery

2009-10-27T10:47:00.000-07:00

In California, home prices have recovered notably from depressed levels in recent months. Home prices rose 2.8% in San Francisco during August, while San Diego prices were up 2.5% and Los Angeles gained 1.8% in the month. Get pre qualified today while rates are still low!

Bailout Firms To Receive 50% Cut In Pay

2009-10-21T15:59:00.000-07:00

I think its safe to say that I am preaching to the choir when I say "Its about damn time"! To continually hear about the bail out funds being distributed just to have the money be spun towards an entertaining event was getting ridiculous. As I stated in previous posts..the government needed to stop paying these firms and just cut back their pay and incentives. Well, its now official, see White House remarks below.

The White House will soon order the nation's biggest bailed-out companies to drastically cut pay packages for their top executives, a senior administration official said. The official says the White House pay czar will demand that the seven largest bailout recipients lower the total compensation for their top 25 highest-paid employees by 50 percent on average, CNNMoney.com reports

Another Housing Bailout Plan?

2009-10-20T10:59:00.000-07:00

(CNNMoney.com) -- Just as federal officials seek to wind down many bailout programs, the Obama administration announced Monday yet another initiative to prop up the housing market.

Administration officials unveiled a plan to aid state and local housing finance agencies, which provide mortgages to first-time and lower-income homebuyers and enable the development or rehabilitation of rental properties. Officials declined to put a price tag on the program, but said there would be no cost to taxpayers.

"This initiative is critical to helping working families maintain access to affordable rental housing and homeownership in tough economic times," said Treasury Secretary Tim Geithner.

Citigroup Could Lose Mexican Subsidiary Banamex

2009-10-19T09:08:00.000-07:00

Citigroup could be forced to sell its Mexican subsidiary Banamex as Mexico’s Supreme Court is set to investigate claims that the U.S. government's involvement is illegal, according to a report in the Financial Times. The U.S. government bailout of Citi has placed the unit in breach of national law, which bars foreign governments from owning stakes in domestic banks, the report said. The loss of Banamex would be a severe blow for Citigroup as the unit accounts for roughly 15 percent of global profit and could be worth some $20 billion.

Should FHA Increase Their Down Payment Requirement?

2009-10-16T08:51:00.000-07:00

DOW Touches 10,000...Who Cares?!

2009-10-15T13:19:00.000-07:00

As I started my morning off with my CNBC/CNN and Coffee ritual all I could see was the ranting and raving about the DOW touching the 10,000 mark for the first time in 6 months and how everybody felt it was the 8th wonder of the world. Well, I hate to break it to you but in all reality it didn't mean more to me than the 3 ounces of cream I had in my coffee. Don't get me wrong its great to see the market conducting a brief rally but I feel the reality of it all lies in consumer confidence, not the DOW increasing 3 points over 10,000. Please understand that the DOW does not control the economy and I personally wont start believing in a rally until consumer confidence grows on a consistent basis. Today's consumer confidence consists of 3 very important factors (employment vs. unenjoyment, the housing market and the ability to obtain personal credit). And until these industries settle there will continue to be some uncertainty which in turn will lead to a volatile market place. You've got to spend money to make money!

HP & Dr. Dre

2009-10-14T10:00:00.000-07:00

If Facebook Was A Country It Would Be The 4th Largest

2009-10-13T11:34:00.000-07:00

Are you feeling overwhelmed with blogging, Twitter, Facebook, LinkedIn and the hundreds of other new sites? If so, relax and take a deep breath it's not as difficult as you may think. Contrary to some opinions the social media environment is much easier and effective than you may realize. If you would like a crash course on how to blog, set up your own platform of sites and attract more qualified leads then contact Team SchuCo for a complimentary session on how to maximize your efforts via social media.

Nobel Peace Prize Winner-Barack Obama

2009-10-09T09:48:00.000-07:00

Acknowledging that he was "surprised and deeply humbled" by the news that he had won the Nobel Peace Prize, President Barack Obama today urged the international community to work together on addressing the challenges of the 21st century. President says award is a result of the "efforts of people around the world. "To be honest, I do not feel that I deserve to be in the company of so many of the transformative figures who've been honored by this prize," Obama said in brief remarks at the White House. "I do not view it as a recognition of my own accomplishments but rather as an affirmation of American leadership on behalf of aspirations held by people in all nations."

5 Strategies To Reduce Stress At Work

2009-10-07T14:16:00.000-07:00

In today's volatile economy it is easy to fall victim to the daily stress and strain at work as we are challanged from the minute we enter the office to the minute we exit the office. With that being said here are a few suggestions to make your day a little bit easier today than it was yesterday.

1. Clearly articulate your expectations. Managers are often unaware of how they are adding stress to people's workday by being vague about what they want. By being more specific you are able to let people know what is expected of them.

2. At the end of each meeting, ask someone to sum up what's been said and who is going to do what. Too many meetings are just general discussions, where everybody rushes off at the end without a clear idea of what comes next. No one can succeed at something if they don't know what it is.

3. Put a cap on hours. If you have someone who puts in 60 hours a week, then make that the limit. In many offices, nothing is said about constantly increasing hours so people just keep putting in longer and longer hours, not because they really have to, but because they are afraid not to. As a result, staffers get exhausted and irritable, and the quality of their work takes a dive. By contrast, if you let people know there is a limit, and you set that limit at the number of hours they're already working, it makes an amazing difference.

4. Schedule some downtime each week. One of the things that has everyone so stressed is that they never get a chance to catch up. If your email inbox is overflowing and your office is a mess because you haven't had time to get organized, it makes that out-of-control feeling just that much worse. Try announcing that from 1 p.m. to 3 p.m. on Mondays and Fridays is "get-it-done" time, during which no meetings will be held. Giving people permission to clear away the background noise of tasks left undone can be an enormous stress reliever.

5. Help people set realistic priorities. If you ask people for a list of their priorities, they usually have so many that it is obvious where their frustration is coming from, so you can help them set goals they can actually achieve. Again, it's a way of creating successes and regaining some control.

Facebook Manners

2009-10-05T13:36:00.000-07:00

Yes, there are Facebook manners-well at least there should be! Know your place. Networking sites like LinkedIn and Plaxo are designed to help users advance their careers. So it's fine to post updates there about your latest business project, promotion, or blog entry. Yes, it's okay to indulge in modest self-hype in a Twitter feed if people don't want your updates, they simply won't follow you. But on a mostly social site like Facebook, your friends should hear about only the big career stuff, not minor exploits.

Edit yourself. Unless you're Brad Pitt or maybe Jon Gosselin, none of your business contacts care if you nicked yourself shaving this morning. To avoid bothering work connections with a barrage of personal details, use privacy settings to limit their access to nonwork parts of your profile.

Share info, not hype. The updates that do your career the most good show off your expertise, not your accomplishments. If you're a financial analyst, for instance, offer some insight on the banking crisis and include links to information on how people can protect their assets. One or two work-related updates a day should be the max for most sites. In fact, one or two a week is probably plenty.

If you're eager to connect professionally with someone you've never met, try to find a contact in common. Then send the middleman a note explaining why you want to be introduced. All in all just use common business sense and for personal expressions use a personal platform instead of a business profile...

Cowboys Lose To Broncos

2009-10-04T17:12:00.000-07:00

DENVER -- Champ Bailey knocked away the potential tying touchdown pass from Tony Romo to Sam Hurd with 1 second left and the Denver Broncos escaped with a 17-10 win over the Dallas Cowboys on Sunday.

Over 1 Million Consumers File Bankruptcy So So Far This Year

2009-10-02T10:06:00.001-07:00

NEW YORK (CNNMoney.com) -- Consumer bankruptcies topped the 1 million mark in the first nine months of the year, the highest level since 2005. Consumer bankruptcies in 2009 are up 35% from the same period in 2008 according to a report from the American Bankruptcy Institute out Friday. "Bankruptcy filings continue to climb as consumers look to shelter themselves from the effects of rising unemployment rates and housing debt," said ABI executive director Samuel Gerdano.

There were 1,046,449, consumer bankruptcies in the first nine months of this year. That figure crossed the one million mark for the first time since 2005, when consumers filed 1,350,360 bankruptcies in the first nine months of the year, according to ABI, which uses data from the National Bankruptcy Research Center. ABI, an industry research firm, expects consumers to file a total 1.4 million bankruptcies in 2009, up 30% from last year's total of 1,074,225.

30 Year Fixed Helps Stabilize Market

2009-10-01T10:16:00.000-07:00

The average rate on 30-year U.S. home loans fell in the past week to retest record lows, helping stimulate housing demand, Freddie Mac said on Thursday. The most widely used long-term borrowing cost dropped 0.10 of a percentage point in the week ended Oct. 1 to 4.94 percent, the lowest since late May, and near the all-time low of 4.78 percent set in April.

The 15-year average mortgage rate, which it started tracking in 1991, set a record low of 4.36 percent in the latest week. A year earlier, this rate was 5.78 percent. "Low mortgage rates are helping to stabilize home sales," Frank Nothaft, chief economist at Freddie Mac, said in a statement.

BofA's CEO Ken Lewis Set To Retire

2009-09-30T15:39:00.000-07:00

NEW YORK (CNNMoney.com) -- Ken Lewis, the beleaguered CEO of Bank of America, announced Wednesday that he will retire at year's end. Lewis will also step down from the board.

"Bank of America is well positioned to meet the continuing challenges of the economy and markets," said Lewis, 62. "I am particularly heartened by the results that are emerging from the decisions and initiatives of the difficult past year-and-a-half. The Merrill Lynch and Countrywide integrations are on track and returning value already."

In January 2008, it acquired Countrywide Financial, the poster child for the subprime lending crisis. Then in September, amid the global financial frenzy, Bank of America stepped in to rescue Merrill Lynch in an acquisition that has since caused it many headaches. The Securities and Exchange Commission, after a judge threw out a $33 million settlement, is ramping up its pursuit of the bank for allegedly misleading investors about bonuses paid to Merrill employees.

Meanwhile, Congress is probing the merger, and New York Attorney General Andrew Cuomo is moving to bring charges against the bank and possibly its executives over the deal.

Regardless of the Economy Housing is Still Seasonal

2009-09-29T14:23:00.000-07:00

Do You Have To Pay Back Your Home Buyer Tax Credit?

2009-09-25T11:21:00.000-07:00

For those of you who are confused about income eligibility limits and/or whether or not you have to pay back your first time home buyer tax credit-see the scenarios below:

First of all to get the credit there are income eligibility rules. To get the full credit, your modified adjusted gross income can't exceed $75,000 if you're single or $150,000 if you're married. You can claim a partial credit, however, as long as your income doesn't exceed $95,000 if you're single or $170,000 if you're married.

If you qualified for the $8,000 first-time home buyer credit for homes bought from January 1 through November 30, 2009, then you don't have to worry about paying it back. If you sell your home or stop using it as your principal residence within 36 months, you'll have to repay the entire amount of the credit as additional tax when you file your next tax return (see your tax advisor for exceptions)

Now prior to the $8,000 credit in the stimulus package this year, Congress had already enacted a $7,500 first-time home buyer credit last year as part of the Housing and Economic Recovery Act of 2008. That $7,500 credit, which applied to houses bought by qualifying first-time buyers between April 9, 2008 and July 1, 2009, is actually an interest-free loan that must be repaid. Therefore, if that is the credit you got, then you must pay it back over 15 years through an additional tax starting with your 2010 tax return. Again, please consult your tax advisor for specific details to your situation.

1.4 Million Americans Cash In On Home Buying Credit

2009-09-23T12:37:00.000-07:00

NEW YORK (CNNMoney.com) -- More than 1.4 million Americans have already claimed the new tax credit for first-time home buyers, according to a report from the Internal Revenue Service.

The credit has been an important stimulus tool for two reasons. It's fully refundable, meaning that even if buyers owe no taxes whatsoever, they'll get an $8,000 check from the IRS. And this refund will put money in consumers' pockets for good, as opposed to the $7,500 first-time homebuyer tax credit that could be applied to sales made between April 2008 and July 1 2009.

Contact Team SchuCo to get pre-qualified today!

Rates vs. Unemployment

2009-09-22T09:37:00.000-07:00

It looks as though the Feds are going to keep rates steady until the unemployment rate improves. Although, I don't like to put logic and the Feds in the same sentence, this may be one of the rare occasions. Therefore, put the fear aside and take advantage of the economy while it slowly begins to awaken from its depression nap. Now is the time to wake up, smell the coffee and buy a home and/or refinance your existing home. Make your decisions by looking through your windshield and not your rear view mirror..

NAR President Asks For Tax Credit Extension

2009-09-21T11:40:00.000-07:00

Is FHA Running Out Of Cash..?

2009-09-18T09:05:00.000-07:00

As I stated a few days ago at San Diego's Preferred Lender I mentioned the fact that FHA rumored to be running low on reserves. Well, looks as though it may be coming into fruition. One moment we are told by the Feds that the FHA gas tank is full and the next minute the gas tank appears to be running on fumes. Are we coming out of a recession or not?? See below and decide for yourself:

Pressure from loan defaults has pushed cash reserves at the Federal Housing Administration below mandated minimum levels, but the agency's head says taxpayers won't be asked to make up the difference. Instead, the agency is pressing ahead with policy changes aimed at reducing its exposure to risk as the FHA coffers have been hit by staggering losses from defaults and fraud.

Borrowers will be required to have higher credit scores, though the agency did not release details of what the heightened credit requirements will be. Among the other significant changes are a raise in cash reserve requirements for lenders that handle FHA loans. The current standards call for $250,000 but will be raised by $1 million and possibly more in the future.

In addition, the agency will appoint for the first time a risk compliance officer who will be responsible for overseeing risk of the insurance fund. FHA is establishing new credit rules to verify income and credit history as well in order to minimize defaults in the future.

Another change likely to gain attention is FHA's moves to "assure appraiser independence." A similar move by government-sponsored enterprises Fannie & Freddie have drawn widespread criticism in the industry for holding up modifications to distressed loans. FHA has never used taxpayer money to cover losses from its borrowing program, but has been hit hard by the rash of defaults that have plagued the industry. Part of the formula for making up the drop in reserves is likely to entail addressing fraudulent loans that contributed to the FHA's losses. The agency is preparing its actuarial study that will be submitted to Congress in November.

FHA has about $30 billion in reserves, representing 4.4 percent of the loans it insures. The agency is a key backer for first-time homeowners and is now insuring about 5.3 million mortgages, compared to 4 million three years ago.

Facebook's Growth

2009-09-16T09:36:00.000-07:00

(CNN) -- Facebook's user base is nearly as large as the U.S. population and, for the first time, the site has turned a profit. Facebook now has 300 million users, almost as many as the population of the United States which is roughly 370 million!

The social networking site, while popular with its exploding user base, has struggled to turn a profit. The company became profitable last quarter, beating its goal of getting out of the red by the end of 2010. In Juy the California startup company announced it had hit the 250 million-user mark, which indicates it has grown by 50 million users in two months. That's more than 800,000 new users per day.

About 70 percent of Facebook's users are outside the U.S., according to statistics posted by the company. The site started out as a portal for college students but has attracted the attention of baby boomers and older generations in recent years. Facebook says its fastest-growing demographic is people older than 35.

Twitter's New Terms Of Service

2009-09-15T09:47:00.000-07:00

The social media site's new terms of service have everything to do with the goal of improving the service and starting a revenue stream. Most notably, the terms outline that the Services Twitter provides "may include advertisements, which may be targeted to the Content or information on the Services, queries made through the Services, or other information." Bottom line, if you post on Twitter, they can put related ads on your posts.

Twitter is also trying to make sure its service isn't misused, namely by Spammers, which would quickly render it annoying and turn off users. New "Twitter Rules" outline extensively what's not allowed, which is pretty broad. No impersonation, no privacy or trademark violation, no copyright infringement, no violence, threats, unlawful use, or misuse of Twitter's verified account badge. Spam restrictions go on and on, and of course there's to be no pornography.

Wells Fargo Executive Squats In Madoff Foreclosure

2009-09-15T09:12:00.000-07:00

LOS ANGELES, Sept. 14, 2009 – Wells Fargo & Company said today that its internal investigation into alleged team member misconduct at a bank-owned residential property in Malibu, Calif., has concluded and that the employment of the team member involved in the incident has been terminated for violation of the company’s policies. Wells Fargo took possession of the property, located on Malibu Colony Drive, last May as part of a private agreement with the prior owner. Under the terms of the agreement with the owner, the property was withheld from the market for an agreed-upon period of time. In a statement, the company said: “Our investigation concluded a single team member was responsible for violating our company policies. As a result, employment of this individual has been terminated. We deeply regret the activities that have taken place as they do not reflect the conduct we expect of our team members. We continue to place the highest value on honesty, trust and integrity to guide our team members in making business decisions each day.”

Bank, Thrift & Credit Union Ratings

2009-09-15T08:58:00.000-07:00

Would you like to know the strength of your bank or credit union? Click here to access Bank Rates rating system where you can research your bank's assets all the way down to their customer service platform. The more you know about your bank the better off your money will be...

When The Federal Tax Credit Expires...

2009-09-13T18:47:00.000-07:00

When the federal home buying tax credit expires, stay tuned for we have the next best thing that will be available to you that can super cede the $8,000 federal home buying tax credit. Is your mortgage green? Contact us today to see if you qualify!

Team SchuCo Remembering 9/11/2001

2009-09-11T09:36:00.000-07:00

As I look back to Sept. 11, 2001 I vividly remember where I was and what I was doing the very moment our nation was being attacked. As my feelings went from fear to anger, I then found myself reaching out to my two best friends in my parents to make sure they we okay and to tell them how much I loved them. Unfortunately, it takes times like this to realize what we have, hence I ask if you are reading this to take a moment and do the same by appreciating what you have.. Acknowledge those that you love.. Respect those who have made an impact on your life.. And make whatever changes necessary to become a better person then yesterday..
God Bless!

President Obama says “Through their own lives and through you, the loved ones they left behind, the men and women who lost their lives eight years ago today leave a legacy that still shines brightly in the darkness and that calls on all of us to be strong and firm and united…That is our calling today and in all the Septembers still to come.”

More Foreclosures To Come

2009-09-10T10:38:00.000-07:00

Not to start the day off with doom and gloom but I feel it necessary to educate and inform you of the facts hence you will feel confident when making your next mortgage related decision. The average person conducts up to 7 major mortgage related transactions during their professional career. With that being said it looks as though analysts are predicting another 6 million people will lose their homes over the next three years due to continued decrease in home values, unemployment, credit volatility and the banks inability to help consumers. The upside is that there is plenty of inventory to choose from if you are playing the buyers market. For those of you who are refi candidates, act now while rates are still at historic lows!

Obama's Foreclosure Prevention Plan

2009-09-09T12:43:00.000-07:00

According to CNN only 12% of borrowers have been helped by loan servicers via Obama's Foreclosure Prevention Plan. As a result homeowners continue to lose value in their homes and decide to take trips and shopping sprees instead of paying their mortgages while living rent free. Unfortunately the real estate market hasn't bottomed out and when it does it will be very interesting to see what banks are still standing. Who is to blame? The President? Ben Bernanke? Banking Institutions? Below is a glimpse of who is making it work and who isn't:

Citi Mortgage 25% success rate on loan modifications
JP Morgan 23% success rate on loan modifications
Wells Fargo 11% success rate on loan modifications
Bank of America 7% success rate on loan modifications

Have a Safe Labor Day Weekend

2009-09-05T12:14:00.000-07:00

The holiday originated in Canada out of labor disputes ("Nine-Hour Movement") first in Hamilton, then in Toronto, Canada in the 1870s, which resulted in a Trade Union Act which legalized and protected union activity in 1872 in Canada. The parades held in support of the Nine-Hour Movement and the printers' strike led to an annual celebration in Canada. In 1882, American labor leader Peter J McGuire witnessed one of these labor festivals in Toronto. Inspired from Canadian events in Toronto, he returned the USA, to New York and organized the first American "labor day" on September 5 of the same year.

What's A MCGE?

2009-09-02T12:03:00.000-07:00

Amongst all the latest turmoil between Fannie Mae & Freddie Mac the Mortgage Bankers Assoc. has proposed a new mortgage backed security potentially called the MCGE (pronounced McGee)! The bottom line is that it's designed to replace Fannie & Freddie; here's how it works:

At the forefront the MCGE will buy mortgages from banks, pool them into securities, pay a healthy insurance premium to maintain them and sell them to investors with guarantees against risk. Hence an interest rate risk but not a CREDIT risk.

In the end MCGE takes the CREDIT risk, but the new insurance fund guarantees the principal and interest payment on the mortgage securities should something bad happen to the MCGE.

Personally I think its a good idea considering the current cancer of the market has been its credit worthiness or lack thereof..If this is the latest prevention medicine then let's over dose on it and see if we can turn this thing around!

Chula Vista Wins Little League World Series

2009-08-31T09:15:00.000-07:00

The Chula Vista Blue Bombers showed great composure, pride and sportsmanship in their 6-3 victory over Taoyuan, Taiwan, to become the first California team since 1993 to win tournament at South Williamsport, Pa. Congratulations Guys..We are proud of you!

California's Home Buyer Tax Credit

2009-08-25T16:28:00.000-07:00

Please tread lightly and consult your tax preparer/advisor before you get confused about what California's Home Buyer Tax Credit is all about. In the current state of the economy it is imperative to know the rules, proper filing procedures and whether or not you qualify. If I remember correctly we got into this current housing mess because of the simplicity on how to purchase or so called afford a home. Dont get caught up in trends-do your homework and make sure buying a home fits "your" real estate poerfolio and financial plan..not your loan officer's or broker's plan. Below Ive listed some basic facts that you need to know:

1. The $10,000 tax credit is not a loan and must remain your primary residence for 2-years.

2. The tax credit is for new homes only.

3. The tax credit is good for 5% of the home’s price or $10,000, whichever is less.
(ie-if you purchase a new home that costs $200,000, your tax credit will be $10,000)

4. Home buyers will receive the tax credit, in equal amounts, over 3-years.
(ie-if your tax credit is $10,000, you will receive a tax credit of $3,333.33 each year for three years)

5. Unlike the $8,000 federal tax credit, the California state tax credit is not limited to first-time home buyers.

6. There are no maximum income limitations so any buyer purchasing a previously unoccupied home can qualify for the tax credit.

7. The $10,000 state tax credit can be used along with the $8,000 federal tax credit for home buyers.

TARP 10

2009-08-24T09:54:00.000-07:00

Who would ever have thought that the Government would have to step in and become majority owners and major decision makers of such large U.S. companies! Below is a list of what I like to call the TARP 10:
1. AIG
2. Bank of America Corp.
3. Freddie Mac
4. Fannie Mae
5. GM
6. Citigroup
7. Wells Fargo & Co.
8. Chrysler
9. JP Morgan Chase
10. Goldman Sachs

Sales Rise For 4th Straight Month

2009-08-22T14:12:00.000-07:00

Sales of previously owned homes rose for the fourth straight month in July -- a streak that hasn't occurred since June 2004 according to the National Association of Realtors..

Crackberry..Errr Blackberry

2009-08-19T15:53:00.000-07:00

Did you know that 80% of consumers who own a Blackberry do not use it for business purposes! If I do the math correctly that means 8 out of 10 people that you see walking aimlessly through intersections, backing up grocery store lines and clogging up traffic with their Blackberries are using it for social purposes and not business. I haven't decided if this is good or bad yet but regardless the creators of the Blackberry are in tall cotton and are leading the industry in profit margins. Hence the reason we refer to these devices as Crackberries. The addiction is overwhelming and not slowing down anytime soon! Therefore, I have decided to do some research on what type of business person makes up that 20% and if I can find a way to build an empire of real estate professionals among that 20% and beyond then guess who else will be in tall cotton... Contact Team SchuCo today to join the wave!

Real Estate Lifeline Extended Through 2010

2009-08-17T11:05:00.000-07:00

WASHINGTON (Reuters) -- The U.S. Federal Reserve said Monday it will extend to mid-2010 an emergency program aimed at boosting lending in the ailing commercial real estate market.

In a joint announcement with the U.S. Treasury Department, the Fed said it would extend its Term Asset-Backed Securities Loan Facility (TALF) to June 30 for newly issued commercial mortgage-backed securities, a program that has yet to get off the ground.

The Fed and the Treasury also extended through March 31 its TALF for newly issued securities backed by auto, credit card, student and small business loans, and existing CMBS.

Reverse Mortgages and Seniors

2009-08-14T12:33:00.000-07:00

Unfortunately reverse mortgages are becomming a main source of income for Senior Citizens but in today's market beware! Do your due dilligence and steer clear of plans that have excessive fees for if you own more than your property's value then you may be worse off than when you started. Since 2005 there has been a significant increase in applicants that have led to poorly written reverse mortgage plans. Understand that not all plans are bad so unless the shoe fits-dont wear it and seek qualified professional advice that adheres to "your" financial plan. To qualify for a government backed reverse mortgage the home owner must:

*Be 62 years or older
*Occupy the property as a primary residence
*Own the property or have a minimal mortgage balance
*Have no delinquesnt payments or federal debt
*Attend a mandatory consumer information class

More Housing Woes On The Way

2009-08-12T11:37:00.000-07:00

NEW YORK (Fortune) -- Karen Weaver, global head of Deutsche Bank's securitization research division -- responsible for analyzing credit default swaps, collateralized mortgage obligations, and other exotic Wall Street products -- said last week that 48% of U.S. mortgage owners will end up owing more than their home is worth by 2011.

The figure may have left many Americans wondering how this could be possible. But consider that 27% of U.S. homeowners with a mortgage are already "underwater." And according to Deutsche Bank, home prices may fall another 14% before hitting a bottom.

Currently we estimate that 14 million homeowners have negative equity. However, based on our home price forecast, as prices continue to fall we think that number could reach 25 million, or 48% of all mortgagors.

Yes, We Are Still In A Recession..Not Recovery

2009-08-12T11:20:00.000-07:00

NEW YORK (CNNMoney.com) -- There is a growing belief that the worst economic downturn since the Great Depression is over.

But don't expect there to be an official declaration or the turning point any time soon. And most average Americans won't feel like things are significantly better in the near term.

The Wall Street Journal's survey of top economists, published Wednesday, found that 57% believe the recession is already over, while another 23% believe that the economy will turn in the next month or two. Most economists now expect growth in the gross domestic product, the broad measure of the nation's economic activity, of about 3% or more in the period of July through September.

But the National Bureau of Economic Research, the body of economists charged with officially setting the start and the end of each recession, won't pronounce a start of the recovery until next year at the earliest.

Top 5 Reasons Loan Modifications Dont Work..

2009-08-11T11:47:00.000-07:00

#1 The Fax Machine Doesnt Work

#2 Multitude of Forms and Documentation Required

#3 Outdated Documentation

#4 Poorly Trained Personel

#5 Unclear Modification Offers

As a result-only 9% of delinquent borrowers have been placed into qualified trial loan modifications! Dont fall victim to any of these excuses as it will only compound the problem and delay the inevitable. Do your due dilligence!

TAYLOR, BEAN & WHITAKER

2009-08-10T12:06:00.000-07:00

Press Release issued: OCALA, FLORIDA – TAYLOR, BEAN & WHITAKER MORTGAGE CORP. (“TBW”) RECEIVED NOTIFICATION ON AUGUST 4, 2009 FROM THE U.S DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT, FREDDIE MAC AND GINNIE MAE (THE “AGENCIES”) THAT IT WAS BEING TERMINATED AND/OR SUSPENDED AS AN APPROVED SELLER AND/OR SERVICER FOR EACH OF THOSE RESPECTIVE FEDERAL AGENCIES. TBW HAS UNSUCCESSFULLY SOUGHT TO HAVE THE TERMINATION/SUSPENSION DECISIONS OF EACH OF THOSE AGENCIES REVERSED. AS A RESULT OF THESE ACTIONS, TBW MUST CEASE ALL ORIGINATION OPERATIONS EFFECTIVE IMMEDIATELY.

Repayment Plans up 25%, not Modifications...

2009-07-30T14:32:00.000-07:00

Mortgage servicers participating in the HOPE NOW alliance boosted loan workouts by 25 percent from May to June, helping the number of workouts to exceed foreclosure starts for the month for the first time since April.
More than two out of three of the 310,000 loan workouts accomplished in June were categorized as repayment plans, rather than loan modifications that reduce borrower's payments and are considered less likely to redefault.

IRS watching over the homebuyer Tax Credit

2009-07-30T14:30:00.000-07:00

The Internal Revenue Service says a Jacksonville, Fla.-based tax preparer is the first to be succesfuly prosecuted for fraud related to the federal first-time homebuyer tax credit.
James Otto Price III, 47, pled guilty on July 23 to falsely claiming the first-time homebuyer credit on a client’s federal tax return, said the IRS. He faces up to three years in jail and a fine of up to $250,000 when he is sentenced.

Home Affordable Refinance Program

2009-07-27T13:12:00.000-07:00

As part of the Making Home Affordable Program, Fannie Mae is offering refinances of existing Fannie Mae loans. The goal of the refinance initiative, as announced by the President, is "to provide access to low-cost refinancing for responsible homeowners suffering from falling home prices." The expectation is that refinancing a Fannie Mae loan will put responsible borrowers in a better position by reducing their monthly principal and interest payments or moving them from a more risky loan structure (such as interest-only or short-term ARM) to a more stable product.

Home Affordable Refinance provides two options for Fannie Mae lenders to provide Fannie Mae to Fannie Mae refinance solutions to eligible borrowers: 1) Refi Plus™, which requires manual underwriting, and 2) DU Refi Plus™ for loans underwritten through Desktop Underwriter® (DU®).

Highlights

Expanded opportunities for Fannie Mae to Fannie Mae refinances through Refi Plus, which requires manual underwriting, and DU Refi Plus for loans underwritten through Desktop Underwriter (DU)
A solution for borrowers with LTVs above 80 percent who currently may not be able to refinance because of existing MI coverage requirements
Refinancing for loans with LTVs up to 125 percent

What is TARP..?

2009-07-21T11:53:00.000-07:00

The troubled asset relief program addresses the root cause of the financial system’s weakness by taking the illiquid mortgage assets (those that have lost value as house prices have decreased) out of the financial system. These toxic assets are currently blocking the system and preventing the credit needed to fuel the economy from being issued.

The problem is that there is a lack of certainty about the value of mortgage assets, and trading in them has virtually ceased. Because these toxic loans are stuck on the balance sheets of banks, and other financial institutions, they are unable to issue new productive loans.

What is HASP?

2009-07-08T10:19:00.001-07:00

Here are the five most important things you Must know about the HASP:

1. Homeowners with conforming mortgages (mortgages under $417,000) may qualify to refinance at a lower rate. Some homeowners may be able to qualify even if they have never been seriously behind on their mortgages.

2. Homeowners with subprime or so-called “exotic” loans may qualify
to modify their current loans to make the payments more affordable.

3. Both of the above groups may be able to qualify even if their property is worth as much as they owe.

4. Homeowners who’s loan amounts are much higher than the value of their property most likely are outside of the scope of the proposed plan. This unfortunately will affect the markets where real estate prices have taken the steepest declines, such as California, Florida, Nevada and Arizona.

5. Homeowners who’s loans were not securitized by Fannie Mae or Freddie Mac may find it difficult to refinance or adjust their rates. Most homeowners may not know or realize that unless they have specifically asked their lenders.

Team SchuCo Contributes to the Recession Help Expo in San Diego

2009-06-28T21:17:00.000-07:00

Today was a successful day at the Recession Help Expo in San Diego as Team SchuCo reached out to the public and provided education to those in need. Regardless of where the economy stands we continue to preach the fundamentals and the right way to do business. A special thanks to Ashlon Realty & Avenue Funding for creating the opportunity. Also a shout out to Brian Tracy and the ilearningglobal team for providing us a motivational seminar on how to succeed in this type of market. Consistency is the truest measure of performance and the key to any type of success.

Recession Help Expo in San Diego!

2009-06-25T21:23:00.000-07:00

Be sure to come by and visit Team SchuCo at the Recession Help Expo on Sunday June 28th 2009 to learn about the right way to do business in a recession and the benefits of working with team of trusted, professional advisors. The entire event is free and the doors open at 8:30am.

RECESSIONHELPEXPO.COM
San Diego Downtown Embarcadero Holiday Inn on the Bay!

HAPPY FATHER'S DAY!

2009-06-20T11:23:00.000-07:00

Wishing all of the Father's out there a restful and rewarding Father's Day. Now more than ever it is extremely important to act as a positive, influential role model to our youth. Enjoy your day!

4/40 Freedom

2009-06-17T12:43:00.000-07:00

PHOENIX, June 16, 2009 /PRNewswire-USNewswire/ A newly proposed home loan program known as 4/40 for Freedom was introduced today to address the continuing housing crisis, as evidenced by the recent AP story "Mortgage Delinquencies Hit Record High (May 28, 2009)." The program calls on Congress to draft a bill to reduce interest rates on all home mortgages to 4 percent and give new home buyers a 4 percent, 40-year loan option, which would dramatically stimulate the economy, prevent any more "toxic debt" and put America back to work.

Benefits for Existing Home Owners:

Lower monthly interest rate with immediate monthly savings.

Immediate cash savings to be used for investment purposes or spent for goods and services to stimulate the economy.

Prevention of pending foreclosures due to home owner high interest rates.

Benefits for Home Buyer's:

Allows borrowers who have lost their home due to foreclosure to once again reenter the housing market immediately and purchase a home at below market competitive prices by meeting the required new home purchase loan qualification guidelines.

Allows home buyers to enter both the REO bank market, general real estate market and the new home market to get the best values.

The home buyer now has the opportunity to realize ownership in property that will increase in value as the housing market recovers it's value.

Click here for Q&A

Mortgage Rates & Treasury Bills

2009-06-15T10:52:00.000-07:00

Rates are on the rise. Learn the relationship between mortgage rates and treasury bills at www.sandiegospreferredlender.com

Signs of a False Recovery?

2009-06-13T12:16:00.000-07:00

By Lou Barnes, Friday, June 12, 2009.

Interest rates stabilized at the conclusion of $65 billion in new Treasury borrowing this week, mostly by sales of long-term bonds.

"Stability" is a relative term: All long-term rates have risen roughly 1 percent in just six weeks, and a further run-up will undercut any economic recovery. The question is whether current prospects for recovery justify this rate-surge or is this surge already unsustainable? If the latter, what's the chance for a reversal, especially in mortgages?