[DaCounselor]

A couple in my neighborhood filled out the paperwork for the county assessor and I learned over this past weekend that their assessed value was reduced 20%. The comp they used in their application was a short sale in the neighborhood, and the assessor’s new figure came in at – viola – the short sale price. There was a prior sale at +$30K over the short sale amount, and a day or two before they received their reduction notice there was another sale closed at +$40K over the short sale amount, so they were very happy to say the least.

[DaCounselor]

A couple in my neighborhood filled out the paperwork for the county assessor and I learned over this past weekend that their assessed value was reduced 20%. The comp they used in their application was a short sale in the neighborhood, and the assessor’s new figure came in at – viola – the short sale price. There was a prior sale at +$30K over the short sale amount, and a day or two before they received their reduction notice there was another sale closed at +$40K over the short sale amount, so they were very happy to say the least.

[DaCounselor]

A couple in my neighborhood filled out the paperwork for the county assessor and I learned over this past weekend that their assessed value was reduced 20%. The comp they used in their application was a short sale in the neighborhood, and the assessor’s new figure came in at – viola – the short sale price. There was a prior sale at +$30K over the short sale amount, and a day or two before they received their reduction notice there was another sale closed at +$40K over the short sale amount, so they were very happy to say the least.

[DaCounselor]

A couple in my neighborhood filled out the paperwork for the county assessor and I learned over this past weekend that their assessed value was reduced 20%. The comp they used in their application was a short sale in the neighborhood, and the assessor’s new figure came in at – viola – the short sale price. There was a prior sale at +$30K over the short sale amount, and a day or two before they received their reduction notice there was another sale closed at +$40K over the short sale amount, so they were very happy to say the least.

[DaCounselor]

The primary hurdle to your bro succesfully negotiating a mod is that he can afford his payments. What is the lender going to do with a guy who can afford his payments, even if things are getting tight? I don’t see a mod in his future based on his ability, unless there is a drastic change in either his payments or his income.

Morality aside, buy and bail or bail and rent may make financial sense. He could also try a short sale. If he really wants to try and keep the place, he could stop paying his 2nd and see what they do. The 2nd (assuming it’s a 20% piggyback) is essentially unsecured at this time so they are unlikely to foreclose. They may be susceptible to a pennies on the dollar short payoff after months of non-payment, and your bro stays in the house and just has to pay the 1st moving forward.

Keep us posted on this if you would.

[DaCounselor]

The primary hurdle to your bro succesfully negotiating a mod is that he can afford his payments. What is the lender going to do with a guy who can afford his payments, even if things are getting tight? I don’t see a mod in his future based on his ability, unless there is a drastic change in either his payments or his income.

Morality aside, buy and bail or bail and rent may make financial sense. He could also try a short sale. If he really wants to try and keep the place, he could stop paying his 2nd and see what they do. The 2nd (assuming it’s a 20% piggyback) is essentially unsecured at this time so they are unlikely to foreclose. They may be susceptible to a pennies on the dollar short payoff after months of non-payment, and your bro stays in the house and just has to pay the 1st moving forward.

Keep us posted on this if you would.

[DaCounselor]

The primary hurdle to your bro succesfully negotiating a mod is that he can afford his payments. What is the lender going to do with a guy who can afford his payments, even if things are getting tight? I don’t see a mod in his future based on his ability, unless there is a drastic change in either his payments or his income.

Morality aside, buy and bail or bail and rent may make financial sense. He could also try a short sale. If he really wants to try and keep the place, he could stop paying his 2nd and see what they do. The 2nd (assuming it’s a 20% piggyback) is essentially unsecured at this time so they are unlikely to foreclose. They may be susceptible to a pennies on the dollar short payoff after months of non-payment, and your bro stays in the house and just has to pay the 1st moving forward.

Keep us posted on this if you would.

[DaCounselor]

The primary hurdle to your bro succesfully negotiating a mod is that he can afford his payments. What is the lender going to do with a guy who can afford his payments, even if things are getting tight? I don’t see a mod in his future based on his ability, unless there is a drastic change in either his payments or his income.

Morality aside, buy and bail or bail and rent may make financial sense. He could also try a short sale. If he really wants to try and keep the place, he could stop paying his 2nd and see what they do. The 2nd (assuming it’s a 20% piggyback) is essentially unsecured at this time so they are unlikely to foreclose. They may be susceptible to a pennies on the dollar short payoff after months of non-payment, and your bro stays in the house and just has to pay the 1st moving forward.

Keep us posted on this if you would.

[DaCounselor]

The primary hurdle to your bro succesfully negotiating a mod is that he can afford his payments. What is the lender going to do with a guy who can afford his payments, even if things are getting tight? I don’t see a mod in his future based on his ability, unless there is a drastic change in either his payments or his income.

Morality aside, buy and bail or bail and rent may make financial sense. He could also try a short sale. If he really wants to try and keep the place, he could stop paying his 2nd and see what they do. The 2nd (assuming it’s a 20% piggyback) is essentially unsecured at this time so they are unlikely to foreclose. They may be susceptible to a pennies on the dollar short payoff after months of non-payment, and your bro stays in the house and just has to pay the 1st moving forward.

Keep us posted on this if you would.

[DaCounselor]

2012 is just about the time patrick.net predicted:
“Baby boomers retiring. There are 77 million Americans born between 1946-1964. One-third have zero retirement savings. The oldest are 62. The only money they have is equity in a house, so they must sell. ”
________________________________________

The more likely scenario is that boomers will simply continue to work. Boomers with equity will not be in a must-sell position, IMHO.

[DaCounselor]

2012 is just about the time patrick.net predicted:
“Baby boomers retiring. There are 77 million Americans born between 1946-1964. One-third have zero retirement savings. The oldest are 62. The only money they have is equity in a house, so they must sell. ”
________________________________________

The more likely scenario is that boomers will simply continue to work. Boomers with equity will not be in a must-sell position, IMHO.

[DaCounselor]

2012 is just about the time patrick.net predicted:
“Baby boomers retiring. There are 77 million Americans born between 1946-1964. One-third have zero retirement savings. The oldest are 62. The only money they have is equity in a house, so they must sell. ”
________________________________________

The more likely scenario is that boomers will simply continue to work. Boomers with equity will not be in a must-sell position, IMHO.

[DaCounselor]

2012 is just about the time patrick.net predicted:
“Baby boomers retiring. There are 77 million Americans born between 1946-1964. One-third have zero retirement savings. The oldest are 62. The only money they have is equity in a house, so they must sell. ”
________________________________________

The more likely scenario is that boomers will simply continue to work. Boomers with equity will not be in a must-sell position, IMHO.

[DaCounselor]

2012 is just about the time patrick.net predicted:
“Baby boomers retiring. There are 77 million Americans born between 1946-1964. One-third have zero retirement savings. The oldest are 62. The only money they have is equity in a house, so they must sell. ”
________________________________________

The more likely scenario is that boomers will simply continue to work. Boomers with equity will not be in a must-sell position, IMHO.

[DaCounselor]

Fisher is a hawk and an easing dissenter so his most recent comments are just more of the same from him. I think he may be alone, or close to it, in his call for tightening even in the face of what he terms an “anemic economic scenario”. Even Hoenig will probably not favor tightening if the economy is “anemic”.

I’m with Warren from Omaha – we’re probably in for a longer, rougher ride than most are foreseeing or at least willing to acknowledge. If that’s the case, I don’t see any tightening while we are in such a rut. I would be absolutely stunned if Fisher’s call for tightening in the midst of such a rut would be realized.

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