Great News! Thanks for Listening.

It is always nice to know people are reading and paying attention to what you are writing. Over the last several weeks I have had a number of personal conversations, emails and even a few phone calls regarding the last two topics discussed here in this column.
First, regarding Loan Modifications, a few agents and even some Loan Modification companies have inquired about an article I wrote that sort of served as a ‘buyer beware’ for anyone contemplating a ‘Loan Mod’. There are a number of companies out there that are doing them under the structure of the Department of Real Estate and these companies must have an ‘Advance Fee Agreement’ on file and approved by D.R.E. However, there are some companies doing Loan Mod’s through an Attorney based program. According to these companies there is not a need to go through the D.R.E. for an Advance Fee agreement. Any one of the companies mentioned above charge $1500 to $3500 depending on what they are doing for you and some even offer a money back guarantee if they are not successful in negotiating your Loan Mod.
My only concern for you, your family members or your clients are that they are fully aware of what the company is actually doing on your behalf. The devil is in the details. The statistics show that a large majority of Loan Mods eventually default and foreclose regardless of the terms of the Loan Modification. My only take on this whole process is that you should consult with a number of professionals i.e. Accountants, Attorneys and a Realtor before you make any decisions or hand over any money to any company or individual.
Regarding AB 885, a number of emails were traded back and forth over this last week. The response was tremendous and I was copied on a number of emails that people felt compelled to write to the State Water Resources Control Board, Division of Water Quality regarding their opposition to the proposed regulations.
Great news! As of Friday, January 30, I was sent a copy of letter put out by Assemblyman Dan Logue announcing, ‘A decision has been made by the State Water Resources Control Board, Division of Water Quality to place planned septic regulations on hold; a decision that could significantly affect more than a million California homes.’ So great news for now, stay tuned, these things have a tendency to resurface at a later date and time.
One last comment here as I wrap up, I am sure that the great weather we have been having has not gone unnoticed. Open Houses have seen a good number of people coming through with the immediate intentions on buying a home. Interest rates have been remarkable and Affordabiltiy is at an all time best.
I have talked with a number of Realtors® and activity on the higher priced homes $400,000 and above have picked up as well. Inventory levels remain low and demand for homes has increased. Within the next few months Banks and Asset Managers will start releasing homes from their inventory and there should be a better selection of homes to chose from as we move into Spring. Please contact a Realtor® and find out how to get started.
Thanks, Ryan Sherman