The Lack of Foreclosure Help – Sell My House in Georgia

July 23, 2008

Its been debated. Its been argued. Now, after more than a year of debating, Congress seems set on passing a bill that will help to stop the increasing numbers of home foreclosures in the real estate market. This bill would hopefully stabilize a very shaky real estate and housing market, and benefiting the economy as a whole.

The impact of the rising foreclosures on the overall economy has been widespread and wholly negative. Cities like McDonough Georgia, Stockbridge Georgia, Atlanta, and Augusta Georgia, are far from being affected. As more and more homeowners realize they cannot afford the ticking time bombs that define their mortgages, the number of defaulted mortgages increases. The government has decided to finally step in and provide assistance that will prevent more foreclosures in the future, as well as assisting those individuals in need of help right now.

However, housing expert analysts state that even if the latest bill passes in Congress, the most optimistic forecasts show that only 400,000 of the ailing 3 million homeowners will be saved. The rest will still be stuck in the poor economic state they have found themselves in. In other words, the bill will alleviate some of the troubles, but will certainly not be enough to stem the tide of foreclosures overall.

The latest news coming from Fannie Mae and Freddie Mac have complicated matters for the bill and for homeowners alike. The Bush administration has added on assistance for these government backed sponsors to the housing bill, which has caused some negative reactions within the government, particularly among Republicans.

The increase in foreclosures has caused an overall decline in home prices. Since the majority of a homeowners overall financial portfolio is in their home equity, a downturn in home prices has dictated a loss in overall economies for families across the country. The addition of vacant homes and slower housing market has also left many construction companies and development planning business in the lurch as fewer and fewer new home sales are being reported.

One proponent of the new housing bill suggests that 4 billion should be spent in communities with a high number of vacant homes to buy and refurnish these properties. The idea behind the funding would allow these properties to be rented and keep them from becoming the new homes of vagrants, drug dealers and homeless people. The presence of these empty homes can bring down the overall value of a neighborhood, affecting even those homeowners that have not defaulted on their mortgages.

Opponents to the bill argue that putting tax dollars to buy foreclosed homes helps only the ailing lenders, but not the overall homeowners who have lost their home and equity. At the end of the day, the 4 billion would go towards these businesses rather than the citizens and homeowners who need it most. A better use of the money, opponents state, is to revise mortgage costs and help them to refinance their mortgages to keep their homes and stay afloat in the troubled market. Overall, efforts are being considered to help the failing housing market and those homeowners struggling to make their monthly payments.

If you are currently thinking, how can I sell my house in McDonough Georgia, sell my house in Stockbridge Georgia, sell my house in Atlanta, or sell my house in Augusta Georgia, then consider contacting your local home buyer. These professionals exist in every major metro area and are real estate professionals. They are real estate investors who solve complicated real estate selling situations and offer hope to those Georgia home owners who are about to loose their house.

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How You Are Affected By The Foreclosure Next Door

June 11, 2008

Your neighbor is facing a foreclosure. Not your problem, right. Think again. If you have a foreclosure in your neighborhood even if you are not struggling to pay the mortgage in your own home, it can spell trouble for your property. If you think the foreclosure crisis spells bad news for a number of individuals, but will have no impact on you, you are wrong. There are a number of reasons you should help your neighbor avoid foreclosure is you can.

Millions of Americans are losing their homes, but the impact is that these neighborhoods are drastically changing. If you live in a neighborhood that has seen a number of foreclosures, your property values could be at a standstill or worse dropped significantly. In addition, neighborhoods with heavy foreclosure statistics have been proven to see more vagrants, drug dealers and prostitutes as these people take advantage of the empty buildings. As more and more homes are seen to be empty, their friends pass along the word and the neighborhood will go downhill. This is just another reason for you to help your neighbor stop foreclosure.

When your neighbor has a foreclosure and the house is vacant, it is a welcome mat for vandals. Thieves love to frequent foreclosed homes, stripping copper wires, plumbing, carpet and more valuable items from the home, leaving it even more of an eyesore. All neighbors can do is watch helplessly as their neighborhood becomes less desirable to live in. In addition, broken windows and overgrown lawns send a clear signal that the neighborhood has fallen on bad times and that message will include your home. Inner city problems like graffiti and drugs will enter the empty buildings and have a stronger influence than the rest of the well meaning neighbors.

As foreclosures spike, gang activity and crime accompanies the problem hand in hand. Studies have shown that for every 1 percent increase in foreclosures, there is an associated and accompanied 2.23 percent increase in violent crime and problems. There have been numerous examples of the impact of foreclosures on such cities as the hard hit Cleveland, whose Slavic Village had troubles with foreclosures over a decade ago. Las Vegas, Jacksonville Florida, Miami Florida, Orlando Florida, Stockton California and many other area will feel the same changes.

The foreclosures from high cost loans transformed the middle class neighborhood to a series of empty eyesores, encouraging crime, vagrants and drugs. As the quality of life disappears, so do the prices on the homes, trapping existing neighbors into a lower value home in a decreasing neighborhood. More and more homeowners feel the impact of the foreclosure tidal wave.

Roughly 3 percent of all homeowners are thought to go into foreclosures by the end of 2009. However, from this small 3 percent, 43.5 percent of all homeowners will feel the impact of foreclosure crisis. This means that nearly 40 million homeowners will see their home values plummet in the next two years due to foreclosures. For each home, that is an estimated loss of 8,771 dollars. This is a significant loss and provides a definite tangible effect on the economy as many homeowners have the majority of their portfolio in the equity of their home. If the neighborhood is in a state that is more likely to experience a foreclosure, the financial depression can be even worse, making the average loss drastically higher, no matter what the other homes are doing.

So what can you do to help stop the foreclosure crisis affecting your neighborhood. The first thing you can do it talk with your neighbor openly about the issue. Let them know that you are a helping friend and are willing to help with their financial crisis. I do not mean by paying their mortgage but by finding a home buyer for their property. After all if you find a buyer the home will not go vacant and your home value will not go down.

Help your neighbor or friend who is facing foreclosure and thinking how can I sell my house, by getting them in contact with a professional real estate investor who buys houses to stop foreclosure. The fastest way to contact them is by typing the words Local Home Buyer into Google and completing some online forms. You will be connect with a local home buyer in your neighborhood that will give you a free offer on your house at no cost or obligation, so you have nothing to loose.


Foreclosure Prevention Act 2008 – Stop Foreclosure Fast Help

May 6, 2008

The government is doing all they can to stop the slowing of the economy. On February 13th 2008 the Foreclosure Act of 2008 was introduced to congress. Heading up the bill is Senator Harry Reid, a democrat in Nevada. You should not be surprised that Nevada holds the record for the highest foreclosure rate since the real estate market peak in summer of 2005. Along with the senator from Nevada there are 25 cosponsors of the bill all of which are democrats or independents.

Highlights of the Proposed Bill:
The law will increasing preforeclosure counseling funding by and additional 200 million dollars. It is estimated this additional funding would help more than 500,000 additional families connect with their lenders and work out a solution to stop the foreclosure process.

If passed the bill would allow housing finance companies to use proceeds from mortgage revenue bonds to refinance short term and adjustable rate mortgages. This will provide an additional 10 billion dollars of tax exempt money for refinancing first time home buyers houses and multiple tenant rental properties.

The bill could help over 600,000 people stop the foreclosure process by allowing them to file for bankruptcy, then the bankruptcy judge has the option to modify the home owners loan. Only nontraditional and sub prime mortgages would be considered for this loan modification process. Home owners would also need to prove they can not repay the mortgage and it would only primary residential homes would be considered.

Other items on the proposed bill include 4 billion in funding for communities with high rates of foreclosure. The communities or cities would buy vacant houses that are in foreclosure, fix them up and rent them or sell them. The law also proposes making mortgage documents more clear at the closing table.

The likelihood of this bill helping people falling into foreclosure in 2008 is not likely. The process for a bill to be passed into law is time consuming and filled with political setbacks. This does not mean the foreclosure prevention act of 2008 will not help stop foreclosure for many home owners, it just means the people in foreclosure right now or in the near future are not likely to see relief from this bill.

The proposed foreclosure prevention bill still has a long way to go until it becomes law. It was introduced in February, next it will be voted on by the Senate, then voted on by the House, then considered by Mr. president himself. Only after the president accepts the bill does it become law. This is another interested thing about this bill. It is being proposed and supported by democrats, so the question is will our current Republican president accept a bill proposed by all democrats?