Tom Schieber - Brentwood Real Estate, Brentwood Homes, Brentwood Homes for Sale » Foreclosures

Foreclosure Activity Drops Throughout The Most Foreclosure-Heavy States

Tom Schieber — Thu, 10 Feb 2011 13:52:26 +0000

Foreclosure activity is slowing. According to foreclosure-tracker RealtyTrac, the number of foreclosure filings dropped 17 percent on an annual basis last month. Monthly filings ticked higher 1 percent after a combined 23 percent decrease through November and December 2010.

The phrase “foreclosure filing” is a catch-all term, comprising default notices, scheduled auctions, and bank repossessions.

January marked the third straight month of sub-300,000 filings after 20 straight months above it.

As compared to January 2010, six of the nation’s 10 most foreclosure-heavy states posted an annual foreclosure filing reduction. The remaining four showed modest worsening.

It’s noteworthy that states like California and Florida posted declines of 7 percent and 54 percent, respectively, and that Nevada posted a relatively-low 3 percent gain. These three states have been at the leading edge of foreclosure activity since 2007. Their subsequent recoveries, therefore, may foreshadow a better housing market ahead.

Or, this may be lasting effects from the “robo-signer” controversy.

Regardless, home buyers in California continue to clamor for distressed homes.

According to the National Association of REALTORS®, properties in various stages of the foreclosure and short sale process are selling at discounts in the range of 10-15 percent so it’s no wonder they now account for 36 percent of all home resales. Buying a foreclosure can be a great “deal”. They can be more trouble and cost than they’re worth.

Therefore, If you’re in the market for a foreclosed home in the Brentwood or Discovery Bay areas , be sure to speak with a licensed real estate agent. The process of buying a distressed home is different from buying a non-distressed home. An experienced professional can help make sure you negotiate your best possible price.

Brentwood CA Foreclosure List December 2010

Tom Schieber — Mon, 13 Dec 2010 20:37:41 +0000

Foreclosure activity is still the primary force in the Brentwood Real Estate market these days, and throughout East Contra Costa County. As the banks continue to work towards foreclosure alternatives such as loan modification and short sales, the bulk of the properties on the market out here are in some stage of the foreclosure process.

There are some traditional sales in the market, mostly related to relocation clients of some sort, and those properties tend to list around 10% higher than the rest of the market. And investor-owned “flip” properties continue to garner the bulk of the attention from owner-occupant buyers.

Download the list of Brentwood CA Foreclosure Auction properties below.

REO or bank-owned properties still represent tremendous value and even with interest rates ticking-up last week, these properties are being snatched-up by wise real estate investors all over the county. A strong rental market and recovering economy make this a great time to invest in a property right here in the Bay Area that can easily generate cash-flow and long-term appreciation.

There are currently around 370 homes in Brentwood that are in “auction” status, or the final stages of the foreclosure process. You can download the list of these properties for free by clicking on the link below. Most of these homes will go back to the bank or sell to professional investors through the trustee’s sale process. Some of these sales will be cancelled as either loans are brought current or homeowners get workouts with their lenders through loan modifications, short sales or bankruptcy.

Additionally, there are at least 280 properties in a pre-foreclosure state in Brentwood, meaning that a notice of default (NOD) has been filed by their lenders, indicating that the homeowner is at least 90 days behind on their mortgage payments. The majority of these properties will come to market as short sales or REO/Investor Flip listings in the next 6-12 months.

In the past 30 days, there have been 40 properties that have either gone back to the bank (will come to market as REO listings) or sold to 3rd party investors (many of which will also come back on the market).

Note: There is a file embedded within this post, please visit this post to download the file.

Internet research is good, but live, professional advice from an active, licensed CA real estate broker is better. If you have questions about the foreclosure process, short sales, buying foreclosures or bank-owned properties, or saving/selling your home that is in foreclosure – please don’t hesitate to contact me directly at 925-487-3172 or email me at tom@tomschieber.com

Contra Costa Foreclosure Report – November 2010

Tom Schieber — Mon, 15 Nov 2010 23:45:36 +0000

ForeclosureRadar (www.foreclosureradar.com), the only website that tracks every California foreclosure and provides daily auction updates, issued its monthly California Foreclosure Report for October 2010.

The number of foreclosures Sold to 3rd parties, typically investors, declined 15.6 percent in September. Most foreclosure investors flip the properties they purchase after taking care of title, occupancy and repairs. This process is taking 44.5 percent longer than it did a year ago, up from 95 days to 137. The number of foreclosure sales that went back to the bank was up 4.9 percent, while the total inventory of Bank Owned (REO) properties increased by 5.3 percent as REO resales slowed. Notice of Trustee Sale filinges declined 17.2 percent while Notice of Default filings were essentially flat with a decrease of 1.9 percent.

Search my FREE Foreclosure Database at http://www.tomschieber.com/foreclosures/

How the Foreclosure Freeze Helps to Stabilize the Brentwood Real Estate Market

Tom Schieber — Fri, 29 Oct 2010 16:29:00 +0000

Candidate Jerry Brown can gain from bashing the banks

A couple of weeks ago there was a lot of noise on the news channels about improper procedures and corner-cutting by the big banks in their foreclosure processing. A lawsuit brought about by a couple of attorneys general in the Midwest put the entire foreclosure industry under a microscope, as if they didn’t have enough bad press to begin with.

The whole thing stemmed from a case in rural Ohio where a down-and-out single mother had an attorney fighting the bank to slow her foreclosure and buy her more time to find a job and get back on her feet. She hadn’t made payments in months, and was resigned about losing her home. But the more time that she got in that house for free, well…

What her attorney determined was that the people signing these affidavits (in judicial foreclosure states – CA not included) swearing that they had reviewed the individual cases, hadn’t. In fact, they were relying on information they had received from others in the company. This was the “technicality” that brought foreclosure sales to a screeching halt.

Seems odd, right,that people who haven’t paid their mortgage in months would think they had been damaged by the bank’s “improper” foreclosure process? Well, not to a politician it doesn’t!California’s AG Jerry Brown, who happens to be running for Governor, and all the other AG’s around the country seized the opportunity to again bash the banks and stand up for the beleaguered voter, err, homeowner, and call for a nationwide freeze of all foreclosure activity – pending an investigation of course.

Has anything ever been more transparent?

Bank of America, the one bank that actually initiated a nationwide moratorium on foreclosures, got back to work less than two weeks later claiming that they had reviewed their processes and there were no known problems. The even agreed to reimburse the Title Companies should they incur any losses due to the Bank’s improper handling of foreclosure processes. (Read: They are not convinced that a previous homeowner will come back and win a case against them for foreclosing on them unlawfully.)

the other banks in question (JP Morgan Chase and GMAC) froze foreclosures in “judicial foreclosure” states, but not here in CA. Wells Fargo and the others simply “reveiwed their processes” and continued with business as usual, however… we can tell that they are no longer rushing these things through the foreclosure process. The banks are at risk of fines from the states (political win) and more pressure to spend time on modifications and other work-outs should their processes be determined to have been flawed. So “cautious” is the order of the day for these servicers and trustee companies.

The pace of foreclosures, at least here locally, seems to have slowed WAY down…

And that’s not necessarily a bad thing. Despite historically low interest rates and prices that have rolled-back ten years or more, the buyer demand in the current market seems to be just about in balance with the supplyor inventory of homes available. We see multiple offers on the good properties that come to the marekt in Brentwood, but not the upward pressure on prices that would signal a turnaround just yet. So limiting the flow of new REO properties into the market in Brentwood is not a bad thing as we head into the traditionally slow holiday season.

Short Sale Scams – What to Look Out For

Tom Schieber — Fri, 24 Sep 2010 18:38:26 +0000

Short Sale scams are on the rise in California, so much so that the Real Estate Commissioner has issued a formal warning to Brokers and Agents throughout the state. We are seeing plenty of questionable practices here in Brentwood/Discovery Bay/Antioch due to the high number of distressed homeowners. These scams make victims of both individuals and financial institutions, and while you may not be concerned about your bank getting the short end of the stick this time, unwary Sellers could end up being seen as complicit in bank-fraud schemes.

So how can you know if the Short Sale service that you are being offered is legal? Here are some tips from the Commissioner’s office as of last week, September 21, 2010:

1. Short sale negotiators must be licensed real estate brokers (or a licensed real estate salesperson where that person is working under the supervision of his or her broker).

2. Real estate licensees wishing to collect an advance fee in connection with performing short sales must first submit an advance fee contract to the DRE for review and then receive from the DRE the issuance of a no-objection letter relative to that contract. All advance fees collected thereafter under the terms of that contract must be placed in a trust account and handled as client trust funds.

3. Any and all payments must be fully disclosed and made part of the escrow documents. If there are any fees to be paid “outside” of escrow, this may be the red flag that the payment is illegal.

4. If your agent explains that the buyer is a fictitious person or entity or your buyer is purchasing the property under a power-of-attorney or is a limited liability company (LLC), this may be a red flag that fraud is involved in your transaction.

5. If you are told that an unlicensed processor, negotiator or facilitator is handling your short sale, this is a red flag that unlicensed activity is taking place. Only real estate licensees, California lawyers acting as lawyers and investors acting on their own behalf can engage in short sale negotiations.

It is also worth noting that Short Sale Flipping is just about always a fraudulent transaction on the front-end. More from the DRE:

Flipping of Short Sale Properties: Either an unscrupulous agent or a short sale negotiator will misrepresent the true market value of the property to the bank/lender and/or fail to forward all offers to the bank reflecting the true market value. They try to buy it themselves through the use of “straw buyers”, many of whom are limited liability companies, which are their alter egos. They will use false broker price opinions or appraisals to support a depressed valuation. Once the unscrupulous agent or a short sale negotiator has convinced the bank of the false value, they have their straw buyer purchase the property and immediately attempt to sell it at the true market value, re-visiting buyers who had made legitimate offers. Had the property been sold for the most amount of money that the market will bear, the potential tax consequence to the seller is diminished. Conversely, by accepting an artificially deflated offer, the seller’s potential tax liability is increased.

Short Sale transactions that allow a Seller to remain in the property as a tenant with a lease or lease with an option to buy are also very tenuous deals to be a part of. There are very specific laws that govern disclosures and obligations of Investors who purchase properties in default, and specific paperwork that needs to be provided. Banks also normally require that Short Sale transactions be “arms-length” transactions, and these situations most certainly aren’t that.

Most importantly, be sure that you get sound legal and tax advice from a qualified professional (beyond your Realtor) before agreeing to any kind of Short Sale transaction. Be smart, protect yourself and your family.

You can download the DRE Commissioner’s Consumer Warning Alert Regarding Short Sale Transactions by clicking below.

Note: There is a file embedded within this post, please visit this post to download the file.

Have additional questions about short sales? Call me direct at 925-487-3172 and let’s set-up a time to talk!

Brentwood CA Foreclosure List, September 2010

Tom Schieber — Mon, 20 Sep 2010 16:16:12 +0000

Foreclosure activity continues to dominate the real estate market in Brentwood and East Contra Costa County. There is a huge number of “short sales” for sale and pending, but at least half of the successfully closed transactions are Bank or Investor owned properties that have been foreclosed.

Notice of Default filings are down compared to last month and this time last year, as banks slow the pace of processing the foreclosures. It’s most likely that the slowdown in filings is due to the banks’ efforts to work homeowners into loan modifications and short sales, which are more favorable foreclosure alternatives for all involved.

Download the list of Brentwood CA Foreclosure Auction properties below.

The success rates of these modification and short sale programs have been low due to inconsistent guidelines and ramp-up processes. However, I do expect to see more of these alternatives to foreclosures in the months to come. Meanwhile, distressed properties in Brentwood continue to dominate the real estate market, making-up the significant portion of homes for sale on the market.

There are currently around 400 homes in Brentwood that are in “auction” status, or the final stages of the foreclosure process. You can download the list of these properties for free by clicking on the link below. Most of these homes will go back to the bank or sell to professional investors through the trustee’s sale process. Some of these sales will be cancelled as either loans are brought current or homeowners get workouts with their lenders through loan modifications, short sales or bankruptcy.

Additionally, there are at least 297 properties in a pre-foreclosure state in Brentwood, meaning that a notice of default (NOD) has been filed by their lenders, indicating that the homeowner is at least 90 days behind on their mortgage payments. The majority of these properties will come to market as short sales or REO/Investor Flip listings in the next 6-12 months.

In the past 30 days, there have been 57 properties that have either gone back to the bank (will come to market as REO listings) or sold to 3rd party investors (many of which will also come back on the market).

Note: There is a file embedded within this post, please visit this post to download the file.

July California Foreclosure Report

Tom Schieber — Mon, 23 Aug 2010 18:34:59 +0000

Discovery Bay, CA, August 12, 2010 – ForeclosureRadar (www.foreclosureradar.com), the only website that tracks every California foreclosure and provides daily auction updates, issued its monthly California Foreclosure Report for July 2010.

Foreclosure activity was again mixed in July. Foreclosure filings and cancellations dropped after rising last month, while foreclosure sales rose after dropping last month. “Despite a tsunami of mortgage delinquencies we continue to see no signs of a foreclosure wave” says Sean O’Toole, Founder and CEO of ForeclosureRadar.com. “Lenders and government intervention continue to delay foreclosures despite their continued failure to find a long term solution to unsustainable negative equity.”

Note: There is a file embedded within this post, please visit this post to download the file.

Search current foreclosure listings at http://www.tomschieber.com/foreclosures/

Discovery Bay Foreclosure List, August 2010

Tom Schieber — Mon, 23 Aug 2010 18:17:46 +0000

Distressed sales and Foreclosures continue to make up the bulk of the Real Estate market in Discovery Bay, CA, but the total numbers of these properties are declining. While the economy continues its slow recovery, home prices in Discovery Bay appear stable to slightly soft, but many homeowners with negative equity are still faced with difficult decisionsions around their foreclosure alternatives. Short Sales are still a significant part of the market, but the best buys appear to be the bank owned foreclosure properties that come to market.

There are currently 115 homes in Discovery Bay that are in “auction” status, or the final stages of the foreclosure process. You can download the list of Foreclosure properties for free by clicking on the link below. These homes are all scheduled to go to a public Trustees Sale Auction at the Contra Costa County Courthouse within the next 30 days.

Additionally, there are at least another 89 properties in a pre-foreclosure state in Discovery Bay, most of which will be coming to market either as short sale or bank-owned listings shortly. In the last 30 days, there have been 13 properties that have gone back to the bank (will come to market as bank-owned/REO properties) and 5 homes that sold to 3rd party investors (most of which also come back on the market, after a quick rehab).

Call me today and let me know how I can help you – whether you’re looking to buy a foreclosure property as an investment, or just taking advantage of this market to find the perfect home for your family at the lowest prices in years (not to mention 4% interest rates!). I can also help you understand your options if you are considering foreclosure alternatives.

Note: There is a file embedded within this post, please visit this post to download the file.

June California Foreclosure Report

Tom Schieber — Wed, 14 Jul 2010 16:30:34 +0000

Foreclosure activity was mixed in June after being down across the board in May. Filing of new foreclosure notices rose, while foreclosure sales dropped. The number of foreclosure sales that were cancelled hit an all time record in June, but the increase was primarily driven by just one lender JP Morgan Chase, and it’s acquisitions including Washington Mutual. Although the number of properties purchased by 3rd parties at auction dropped significantly, they purchased nearly the same percentage of the total properties sold, and at a better discount to market value then we’ve seen in months.

Note: There is a file embedded within this post, please visit this post to download the file.

FNMA’s Stiff New Strategic Default Penalty

Tom Schieber — Thu, 01 Jul 2010 00:27:46 +0000

I wrote a couple of weeks ago that stiffer penalties were coming for borrowers who participated in a “strategic default” – now FNMA has made it official.

Fannie Mae recently announced policy changes designed to encourage borrowers to work with their loan servicers and pursue alternatives to foreclosure. Under the new policies, borrowers who strategically default on their home loan despite having the capacity to pay and those who do not complete a workout alternative in good faith will be ineligible for a new Fannie Mae-backed mortgage loan for a period of seven years from the date of foreclosure. Borrowers who have extenuating circumstances may be eligible for new loan in a shorter timeframe.

Fannie Mae also will take legal action to recoup the outstanding mortgage debt from borrowers who strategically default on their loans in jurisdictions that allow for deficiency judgments. In an announcement next month, Fannie Mae will instruct its servicers to monitor delinquent loans facing foreclosure and put forth recommendations for cases that warrant the pursuit of deficiency judgments.

Troubled borrowers who work with their servicers, and provide information to help the servicer assess their situation, can be considered for foreclosure alternatives, such as a loan modification, a short sale, or a deed-in-lieu of foreclosure. A borrower with extenuating circumstances who works out one of these options with their servicer could be eligible for a new mortgage loan in three years or in as little as two years depending on the circumstances.

Contact me directly for information on the federal government’s HAMP (Home Affordable Modification Program) loan modification/home retention or HAFA (Home Affordable Foreclosure Alternatives) foreclosure alternatives including expedited HAFA Short Sales and DIL options.