FHFA Announces Principal Reduction Modification Program 

FHFA has recently announced a program that is meant to reduce principal on owner occupied residential mortgage loans.  This affects roughly 33,000 mortgages that are significantly underwater according to reports in Housingwire and National Mortgage News.  The good news is that NJ has the highest portion of those houses that are significantly underwater.

Here are some of the guidelines for the principal reduction program:

• Must be owner occupied
• Have to be behind at least 90 days as of March 1, 2016
• Fannie or Freddie have to either own or have guaranteed the loan
• Outstanding principal balance must be no more than $250,000
• The market loan to value must exceed 115%
• Earnings are capitalized
• The interests rate is reduced
• If Market loan to value is greater than 115% than it is reduced to equal 115%, the difference is not capitalized if the borrower makes all payments on time.

See full list here: Click Here

This is just another option available to New Jersey homeowners but there is always the option of selling before it is too late.

If you are thinking of selling your house or are curious on how the process works… and want to see what we can pay you for your house… you can get that ball rolling in a couple ways.

Give us a call today at (908) 912-6701: We’ll ask a few basic questions about your house… and within 24 hours we’ll make you an offer on your house. No Obligation at all. If the price works for you. Great! We can close on your timeline… in as little as 7 days.

Go fill out this really short and simple form with your basic house info: We’ll evaluate the property as soon as we get it today… then we’ll call you with a formal offer on your house in less than 24 hours.

It’s really simple.  You pay no fees. No commissions.

www.webuynjpropertycash.com 

5 Worst Things About Selling My Probate House

Selling my probate house

When planning your estate and preparing for your death, you’re required to lay out a comprehensive last testament and consequently name an Executor for it.  This is the

individual who will represent you in the execution of your last wishes after you’ve passed away, hence the need to pick out a person whose character, dependability and integrity are in agreement with your needs and values.  That notwithstanding, Executors face a number of challenges when selling a home through probate.

#1 – Large Probate Estate

Consider the size of the deceased’s estate directly proportional to the challenges of the Executor, the larger the probate estate, the harder the Executor’s work.

For probate estates valued in the millions, you’ll be kidding yourself to think that you can handle it all on your own.  You will definitely need some expert help in auditing and valuation, because such big estates are predisposed to taxes on both the state and federal level.

As an Executor, you’re mandated to oversee the settlement of all the estate’s liabilities and taxes should be top on that list. This is a sensitive and serious aspect that should be treated with as much gravity for larger estates attract more liabilities.

#2 – Additional Expenses

One of the greatest fears that many Executors confess to is that of financial liability otherwise known as fiduciary responsibility.

Countless expenses are incurred when selling a house in probate.  As if that’s not enough, the entire probate process is expensive enough, leaving more and more people strongly considering any other alternatives just so they can avert probate.

In reality, Executors are not expected to dip into their pockets per se (unless if voluntarily), but it is their responsibility to ensure tip-top management of the deceased’s estate; and with an expectant survivorship looking up to the Executor for their inheritance, any additional expenses funded from the estate are a burden enough.

#3 – Dissatisfaction of Heirs/Beneficiaries

There are countless situations that could bear dissatisfaction from the heirs and beneficiaries, with the Executor on a strategic receiving end.  Discontentment and discordance amidst the beneficiaries can be the most emotionally overbearing challenge Executors face, and it doesn’t make it any easier if the Executor is a member of the deceased’s family, or one among the named beneficiaries.

There could an unimaginable number of reasons for tension amongst beneficiaries of an estate (with jealousy and inbred rivalry coming top on the list).

It’s unbelievable how heirs can become utterly stubborn and difficult to deal with!  They can adeptly complicate the Executor’s work with issues such as sibling rivalry, perceived “unfair sharing” among many other concerns (petty or otherwise).  The beneficiaries undeniably come out tops as the greatest culprits in making the Executor’s life as unbearable as can be during the entire probate period.

#4 – Finding a Buyer – Getting a Good Price

Would you rather buy your takeout straight from the counter or get it at home after you’ve had to enter a contract with the food joint, given them your credit card details, home address, health records (food allergies and all)—the whole nine yards?

A great deal of protocol is involved in the selling and buying of probate houses, and home buyers aren’t the biggest fans of such protocol, wouldn’t it be easier to just get your takeout without the formalities of a travel visa? From not-too-pleasing disclosure forms to appearances at court hearings and a transaction that could take so long to mature; it’s not hard to see why many buyers shy away from houses in probate.

On the flip side, some home buyers believe that they can strike a better deal and hence get greater bargains when buying a house in probate and this could be a selling point for Executors looking to make a quick-home sale.  It’s one thing to find a buyer and a whole other to get a good price, both of which can prove challenging for the Executor, and especially to those with no prior experience as executors of an estate.

#5 – Time Taken to Sell the House in Probate

The procedure in selling my probate house is grueling, complicated, thorough and most importantly, governed, legally bound and carried out under the strict direction of probate courts.

The duration could be shorter if the Executor is granted full authority to process the transaction without necessarily going to court for an approval.  However, if the Executor acquires limited authority to sell the probate house, then it could take a long while before the house is actually sold.

It could be anything from a few months to over a year, between the Executor’s petition to sell the house and the actual transfer of property title to the new owner.  For everyone’s sake, it’s important not just for the Executor to know this and hence be psychologically prepared, but also for all other involved parties to get in on this fact.

The beneficiaries could cause a stir if it takes longer than anticipated, and the buyers might threaten to sue.  By putting everyone on the same page, you’ll be making your life and work so much easier.

From dealing with multiple parties to acting as the pacifist among feuding beneficiaries, to being liable as a fiduciary trustee of the estate, the Executor’s job is not as fun as shooting hoops but it doesn’t have to be as hard it’s imagined to be.  If you’re elected as an Executor, know what’s expected of you, acquaint yourself with the highs and lows of the job!

5 COSTLY HOME REPAIRS AND HOW TO IDENTIFY THEM

During the home search process, first time home buyers and real estate investors should keep an observant eye out for the signs of potentially costly home repairs. In fact, one of the following

expensive home repairs can make the difference between a great deal and a loss. Oftentimes, prospective home buyers decide relatively quickly whether or not they want to buy a house. Whether it’s because of the great curb appeal or the huge closets, potential home buyers can hold on to the property’s great features while ignoring or downplaying the negatives. However, these snap or emotional decisions could cost the home buyer thousands upon thousands of dollars and hours of stress. In this article, the We Buy Houses NJ team gives New Jersey home buyers the information they need to avoid the most costly home repairs. Read on below to learn how to identify and avoid 5 costly home repairs.

Electrical Issues

Often found in older homes, potentially dangerous electrical system issues could be spread throughout the entire house. Additionally, major electrical issues can result in electrocution and even fire. Fire hazards occur when hot electric wiring is exposed to highly flammable materials like insulation. Yet older homes aren’t the only properties that are susceptible to electrical issues. Even in new constructions electricians can take shortcuts that could potentially put your home at risk. In some cases, these contractors are pressured to use cheap materials or work very fast in order to sell homes fast and cheap. This can lead to electrical systems that are not very safe. Watch out for flickering lights, poorly placed outlets and outlets that are hot to the touch. In cases where full home re-wiring is required, the cost could be upwards of $4,000. This cost could damage the profitability of your investment property – so make sure to check the house thoroughly.

HVAC Inefficiencies

HVAC problems can arise due to poor venting, outdated or broken equipment, and/or corrosion. These issues can spawn mold, cause fire, and lead to high energy bills. Due to the hefty cost of air conditioning and heating units, HVAC issues can become very costly. Replacing duct work can also be required which often leads to drywall demolition and subsequent replacement. Mold removal and cleanup is also costly and inconvenient – often leading to parts of your home being sectioned off during the extraction process.  Look for signs of water leaks, outdated equipment, and inconsistent temperatures across different rooms in the house. Repairs and new HVAC units start at $2500.

Roofing Problems

Completely replacing a roof is one of the most expensive home repairs possible. However, most home buyers do not check for roofing issues. The issues that can result from a faulty or degraded roof include water damage, mold, mildew, electrical issues, insulation problems and more. If you notice water stains or leaks, broken or missing shingles, mold growth or roof dips, beware of roofing issues. Completely replacing a roof can cost more than $5000 but smaller repairs may only cost $150.

Foundation Repair

The house’s foundation is one of its most important structural elements. Foundation shifts or cracks can lead to a whole home separating. Often, walls in homes with foundation issues will crack or different rooms of the house will be out of level. All these issues pose safety risks for all the occupants. Although foundation issues can be daunting, they are definitely fixable. Additionally, reputable companies can guarantee lasting repairs. However, it will cost you; be prepared to spend $10,000 to $30,000 on a major foundation repair job. Look for cracks in the house’s concrete slab, watch out for rooms not in level and check the exterior foundation for crumbling.

Plumbing Issues

Another potential costly home repair is plumbing repair. Plumbing issues include leaks, corrosion and clogs. These issues can increase your water bills and lead to more serious foundation and/or mold issues. Fixing these issues is often best left to professionals because one mistake can lead to other hidden leaks or flooding problems. Look for leaky pipes, dripping faucets, running toilets and water stains. If you detect plumbing issues, be prepared to pay $2000 and up for the most serious plumbing issues.

Be on the lookout for all of these issues when you are qualifying houses for your next purchase orNJ investment property. Also, consider soliciting a professional home inspection to uncover additional issues that you may have not spotted in your short time viewing the property. Even though some of these issues may seem alarming, they can all be fixed. In some cases a home with some of these issues could still be a good deal. The We Buy Houses NJ team has first-hand experience with all of these issues and has successfully found ways to fix and flip them.

We Buy Houses NJ has bought ugly houses and houses in disrepair and repaired them to safety and functionality. However, you definitely need to consider all the costs and the time it will take you to bring the home back to a functional condition before purchasing a home with any of these issues. We Buy Houses NJ offers investors a list of pre-qualified investment properties with great potential. Learn more about our approach to identifying great values and contact us for more information about these wholesale real estate investing opportunities!

How to Sell My House Fast in New Jersey without all the Hassle

Are you worried on how to sell my house fast in New Jersey without any hassle?

This article will show you ways you can start to look at to sell your local house more quickly.

There are lots of reasons people need to sell their house fast.

For instance, some of these reasons may include:

• need to relocate to another city because of a job change
• vacant property is being a burden on you
• divorce
• financial hardship
• you inherited a house that you don’t want to keep
• … among other reasons for needing to sell your house

So, if you’re looking to sell your local house fast (which who wants to sell their house slowly anyway?)… check out some of my tips below in this quick article.

The Web Can Help Spread The Word Out

Stats have shown that over 80% of house buyers go to the web first to research and find houses.

So if your house isn’t on the web… how are buyers going to find out about your house?

There are lots of ways to get your house online. You can list it on websites like Zillow, redfin,Craigslist… or even setup your own website for the property.

Then, take that property listing and get it everywhere online that you can. List it on all of the classifieds websites (again, Craigslist, Backpage, etc.).

Facebook Can Let Everyone Know Your New Jersey House is For Sale

One of the best ways to sell a house is through word of mouth.

Tell all of your friends and family that you’re selling… and have them tell everyone they know.

Also, hop on your Facebook account and share the property listing with your friends and ask them to spread the word for you to all of their friends who may be interested. What you need to do is simply send your link to your Facebook friends.

There may be a person in dire need of a house. Besides, you may also get a friend who may link you up with a buyer. The importance of using Facebook over other social networks is that it is free and you only need to be connected to the internet in your computer.

Local Dailies (Newspapers, Magazines, etc.)

One of the things we’ll do whenever we need to sell a house fast is also get our property in the local newspaper. It gets your house in front of lots of people… and one place lots of buyers look for houses is in the “homes for sale” section of the paper.  Put your phone number… a link to your online listing if you have one… a picture (ads with pictures get many many more responses than ads without the picture of the house).

Add in a few of the best parts about your house… the price… and end with a clear call to action on how they can setup a time to come check your house out.

Get Your House On The Local New Jersey MLS

The number one place buyers look for a house is the “multiple listing service”. That’s the fancy name for where houses go when real estate agents “list” a house.

A listing for your house will go into a central database that all local New Jersey real estate agents in our area will have access to… so they can bring their buyers to the houses on the MLS that fit what they’re looking for.

You can get your house on the MLS without hiring a real estate agent to sell your house.  Some agents will let you pay a few hundred bucks to just list your house on the MLS for you and take no commission on the sale.

Sell Your House To A Reputable Local Property Buyer Like We Buy Houses NJ, LLC

Last, as another option to sell your house… if you really need to sell your New Jersey.

We buy houses in and around New Jersey New Jersey, and can close quickly.

If you want to sell your house and are curious on how the process works… and want to see what we can pay you for your house… you can get that ball rolling in a couple ways.

1. Give us a call today at (908) 912-6701: We’ll ask a few basic questions about your house… and within 24 hours we’ll make you an offer on your house. No Obligation at all. If the price works for you. Great! We can close on your timeline… in as little as 7 days.
2. Go fill out this really short and simple form with your basic house info: We’ll evaluate the property as soon as we get it today… then we’ll call you with a formal offer on your house in less than 24 hours.

It’s really simple.  You pay no fees. No commissions.

We just agree on a price that works for both of us and that’s it.

Let us make you an offer on your New Jersey area house (we buy in other parts of New Jersey as well). You don’t have anything to lose.  And you can have your house sold by this time next week (if you wanted us to close that fast) rather than having to wait months and months to market your house yourself the traditional way.

www.webuynjpropertycash.com 

How To Avoid Running Into Mortgage Paying Trouble for Homeowners

You may think it’s only the tenant who has a hard time paying the mortgage, but as a real estate investor or landlord, there may be times when it’s hard to pay the mortgage on your end as well. Here are some things you can do to avoid facing difficulty in paying your mortgage each month.

Keep your properties full. While it may sound overly simplified, this is the most obvious method for ensuring you’ve got rent money coming in each month to cover your property mortgage payments. Don’t allow yourself to get slack on advertising for new tenants. And don’t put off screening applicants or filling your properties because you get busy or overworked. Recognize filling your vacancies as a major aspect of your REI business success and deal with it quickly and efficiently every time.

Do your best to find quality tenants. While you want to keep your properties full, finding good quality tenants is key. By “good” it means they pay their rent on time, keep the property maintained and don’t abuse the lease. By using background and credit checks, you can find the best tenants available and thereby do what’s possible to keep your rental fees coming in regularly, which will help you pay the mortgage when it comes due.

Look for long term tenants. Don’t assume that quality tenants will necessarily be long term ones. Some good renters may know they can’t stay over a few months at most. They may be students or working a temporary job. They may just be living in an area waiting to move or retire somewhere else. Whatever the situation, opt for long term renters when the choice is available. Doing so will make filling a vacancy at least a more infrequent possibility.

Keep the property well maintained. If you want good tenants, long term tenants and tenants who pay their rent on time, do your part to keep them. Deal with maintenance issues quickly. Make repairs as necessary. Upgrade appliances or at least ensure the ones you provide are in good working order. Respond to your tenants’ calls quickly, or if you can’t be sure they know you’ll be unavailable for awhile.

Being a good landlord will go a long in way in developing lasting relationships with your tenants, which will in turn, help you keep them in your property longer. Often a tenant and landlord relationship can turn an average tenant into a great one simply because they want to keep that relationship intact.

In a tough economy, it’s important to do all you can to avoid facing the difficulty of paying the mortgage. That applies just as much to an REI professional as it does to the average renter. These simple tips can help as you work to develop lasting, long term, rent paying tenants to keep your properties bringing in the income you need every month.

How Fast Can a Bank Foreclose in New Jersey? Stopping Foreclosure NJ

Being behind on your mortgage on your NJ home, you are most likely thinking how can I start the process of stopping foreclosure NJ?  How does the foreclosure process work?  What options do I have in stopping foreclosure NJ?  How fast do I need to move out of my house?  Since NJ is a judicial foreclosure state the process must go through the court system which is much slower than the non-judicial process and have much more protections for homeowners in default.  Here is the breakdown of the process.

60 Days into the Process

The first thing that has to happen is for the homeowner to miss at least one payment. Usually the bank won’t act until you have missed three payments in a row but it depends on the terms of your mortgage and the bank’s backlog of loans in default.  The next step is for the bank to notify the homeowner by certified mail 30 days before it begins any action as per N.J.S.A. 2A:50-56.  This will tell you what you can do to rectify the default which usually says you have to bank the balance in full.

The Court System

30-90 days in the bank will file an official complaint with the court and you would receive this a copy as well.  You will have 35 days to answer this complaint.  You could answer to contest the complaint but if you do not answer it means you admit that you are default and the bank has a correct claim.  After this the case will move into the Office of Foreclosure where the County will review the case and makes sure everything is in place in terms of paperwork and evidence.  A judgement will be passed allowing the bank to sell your house in a sheriff’s sale where they will try to sell the property for enough money to cover the mortgage.

Sheriff’s Sale

If the bank intends to sell it, and in most cases they will, they must advertising the sale weekly for four weeks in a local newspaper.  This may be longer if the bank has a large backlog of foreclosures.

Due To Backlogs, Foreclosure In New Jersey May Take Much Longer

You have a minimum of four to six months from the first missed payment to a sheriff’s sale, in theory.  But in reality, you have much more time.  Foreclosures in NJ are notorious for taking a long time since there is a backlog due to the 2008 housing crises.  NJ has the 2nd largest foreclosure timeline in the country after NY.

Stopping Foreclosure NJ

Up until the final judgement from the court you can always catch up on missed payments and late fees.  Even up until the Sheriff Sale you can “redeem” the property by paying off the loan, refinancing or participating in a loan modification plan.  You can always file for bankruptcy.  Bankruptcy only works if all of a consumer’s debts are handled through the bankruptcy court, so the law cuts off all outside measures.

Bankruptcy does no remove the mortgage from but it does allow you more time to fix your finances and get back on track with your payments.  It could erase your unsecured debts and free up enough cash each month to make your mortgage payments doable.

Alternative Option

If you want to sell your house and are curious on how the process works… and want to see what we can pay you for your house… you can get that ball rolling in a couple ways.

Give us a call today at (908) 912-6701: We’ll ask a few basic questions about your house… and within 24 hours we’ll make you an offer on your house. No Obligation at all. If the price works for you. Great! We can close on your timeline… in as little as 7 days.

Go fill out this really short and simple form with your basic house info: We’ll evaluate the property as soon as we get it today… then we’ll call you with a formal offer on your house in less than 24 hours.

It’s really simple.  You pay no fees. No commissions.

We just agree on a price that works for both of us and that’s it.

Let us make you an offer on your New Jersey area house (we buy in other parts of New Jersey as well). You don’t have anything to lose.  And you can have your house sold by this time next week (if you wanted us to close that fast) rather than having to wait months and months to market your house yourself the traditional way.

Taxes I Owe When I Sell My Inherited House

What Taxes will I owe if I Sell My Inherited House?

When people inherit property from their parents or other family members it can cost them money.  Their are a variety of local and national taxes that are due as soon as they inherit the property as well as when they or if they sell.  The Federal government offers ways to reduce or eliminate taxes all together for some properties.

• Estate Taxes
• Inheritance Taxes
• Property Taxes
• Capital Gains Taxes

If you are thinking of how to sell my inherited house or are curious on how the process works… and want to see what we can pay you for your house… you can get that ball rolling in a couple ways.

Give us a call today at (908) 912-6701: We’ll ask a few basic questions about your house… and within 24 hours we’ll make you an offer on your house. No Obligation at all. If the price works for you. Great! We can close on your timeline… in as little as 7 days.

Go fill out this really short and simple form with your basic house info: We’ll evaluate the property as soon as we get it today… then we’ll call you with a formal offer on your house in less than 24 hours.

It’s really simple.  You pay no fees. No commissions.