NOTICE OF DEFAULT - WHAT DOES IT MEAN

Notice of Default - How Does This Affect You When Your Bank Sends You This?
By [http://ezinearticles.com/?expert=Pete_D._Mitchell]Pete D. Mitchell

A Notice of Default (NOD) is a legal, publicly available document giving notice that a homeowner has not made their mortgage payments and is in default on their home loan. It is filed with the homeowner's county recorder's office.

In California and many other states a NOD filing starts the clock ticking to an actual forced sale of the home by the note holder (bank, private party, etc.). In most states there is a minimum of a 3 month period of time (90 days) where the homeowner can bring the loan current, and before the bank can legally take the next step towards the forced sale of the home. However, because the bank will at that point, only take a payment for the full amount of all past due monies, which the homeowner can not usually afford to do, the clock often continues ticking down to the forced sale of the home.

This is a very stressful time for homeowners as the amount that is owed and past due on the loan continues to build up, and the homeowner is receiving more and more (threatening) calls from the bank's collection agents.

This leads to homeowners finding themselves in a desperate position and being willing to grasp at straws, willing to believe anybody who says they can help them keep their home. It is at this point where they are most susceptible to the sales pitch from the "loan modification" companies. These companies who target homeowners in this situation, then swoop in to pluck money from the pockets of these homeowners, who are easy prey to their sweet sounding words.

When a homeowner is late on their payment by a single month, they are in default. That is what will start the bank calling. The official rel=nofollow [http://www.youtube.com/watch?v=ppeXYMzVy2A]Notice of Default is different from just a generic letter that says you're in default. Technically you are in default when you don't make a payment in that first month. Because it varies by situation and by bank, it's hard to say exactly when the bank will file an actual Notice of Default, but it's most often after 3 or 4 monthly payments have not been made.

Oftentimes the homeowner will get a letter either from the bank or the servicing company which is a copy of the letter advising of a formal Notice of Default, which has been filed with the county recorder's office. Many times people don't understand the significance of this letter or its full meaning.

In many situations banks don't actually send out this letter even though they say they do. Many homeowners and the public in general, often think banks are regulated and therefore always follow all the rules. Nothing could be further from the truth. The clerks handling these duties are low paid, minimally motivated people who often make mistakes and/or simply elect to do the least amount of work possible, because that's just the type of person they are. Because of this, paperwork is often lost, misfiled, misdirected or simply ignored. Many families truly don't know if an actual legal Notice of Default has been filed with their county or not, because they've never received any such paperwork.

Many families also see a lot of letters and documents come into their home, and they may not fully understand them. I've also talked with homeowners who literally don't even open mail from their bank or a government agency, because they just know it is bad news of one sort or another.

It is important to remember that whether the homeowner has actually received notice of the NOD or not, once the NOD is filed with the county, the bank is one big step closer to taking the home away from the family.

For more information and a Free DVD on foreclosure stopping techniques, visit [http://secretstostopyourforeclosure.com/]http://www.SecretsToStopYourForeclosure.com. Pete Mitchell is a financial planner with over 12 years in the business. He is the author of a best selling mortgage and investment book and as a foreclosure survivor he runs the Secrets To Stop Your Foreclosure.com Website.

Article Source: [http://EzineArticles.com/?Notice-of-Default---How-Does-This-Affect-You-When-Your-Bank-Sends-You-This?&id=2886329] Notice of Default - How Does This Affect You When Your Bank Sends You This?

Today/s Rates

Program Type               RATE     Cost        APR

Conform 30yr fixed        4.875%   1.00%       5.131

FHA 30yr fixed             4.875%    1.00%      5.625

VA 30yr fixed               5.000%    1.00%      5.713

Conform 15yr fixed       4.375%     0.75%     4.527

FHA 15yr fixed            4.250%     1.00%     4.986

Conform 5/1 ARM        3.500%     1.00%     3.712

FHA 5/1 ARM             4.125%      1.00%    4.687

The Clock is Ticking

The Clock is Ticking - April 30th is the Deadline to be under contract for either Tax Incentive then it is OVER!

What Life Has Given Us

We will often find compensation if we think more of what life has given us and less about what life has taken away.

William Barclay

Temporary 90-Day Rule Change

BUYERS…as of last week HUD is easing up on the 90-day rule where the seller must own the property for 90 days or more before the property can be purchased with FHA financing, in order to help pass along the affordable housing and to promote quicker pricing stabilization.
The waiving of this rule will be temporary and certain restrictions will apply, however it sounds like investors looking for a quick turn should take advantage now and as 2010 is well under way, you should know that market experts are predicting Mortgage Rates to increase dramatically over the next few months to 6.0% or more by the middle of the year.Also there are only 95 days left until the tax credit is ending on April 30th, 2010. Don't miss this $8,000 Home buyer tax credit!

Home Owners Declaration of Independence

Over the next few weeks I will be sharing some tips on how to simplify your household and get organized. But first, let's look at some ways to prevent the clutter in the first place. You can call this your Homeowner's Declaration of Independence.

1. 1. Garage sales are events you stage, not events you attend. Unless you are a professional junk or antique dealer, there is no reason for you to ever attend a garage sale. Think of them as the entry level drugs offered by the clutter “drug lord” to get you hooked
   
   
2. Discover the joys of borrowing. Let's be honest. There are some things you might only use two or three times a year (fondue set, espresso maker, sewing machine, Super Dooper Foot Spa, etc.). You don't need to buy these things! Your friends will be happy to dig them out from under their beds and loan them to you upon request.
   
   
3. Throw away those full-color store ad inserts in your newspaper and the mailbox-do not browse them first. I'm talking about the good ones from Walmart, Kmart, Target, Kohl's, etc. Those ads exist for one reason only-to make you think you need more stuff. I know, you think you are just window shopping, but that is the first step to buying a juicer with ten attachments, a second George Foreman Grill, or a desktop fountain like the one in your attic.
   
   
4. Treat eBay (and other internet shopping sites) like disaster sites-steer clear of them. You will not escape unscathed. Clutter will leap into your shopping cart of its own volition!
   
   
5. Finally, if you absolutely must buy something, do it only to replace something you already have. It's OK to replace your grill, the refrigerator, your coffee table-just don't multiply them!

I look forward to sharing more Clutter Fighting Tips with you over the next few weeks.

The Art of Growing...

Unless you try to do something beyond what
you have already mastered, you will never grow.

Ronald E. Osborn: Famous Success Quotes

I have a dream that one day this nation will rise up and live out the true meaning of its creed - we hold these truths to be self-evident that all men are created equal.



Martin Luther King, Jr.


I Have a Dream speech, Civil Rights March on Washington for Jobs and Freedom, August 28 1963.

What is Success?

"Success is going from failure to failure without a loss of enthusiam."
Winston Churchill

Being on Track

Life comes at you fast. Even if you are on the right track, you will get run over if you just stand there!

EARTHQUAKE COMPARISON - HAITI

My heart and prayers go out to the people of Haiti at this time of devastation, loss and heartache.

February 9, 1971 living in Palmdale CA, we were awakening AT 6 AM in morning to an major earthquake and the floors in our home were rolling like ocean waves. Struggling to keep balance and reach our children, we gather our babies and toddlers and ran out to car and took off and sat in our car out in the middle of the desert away from structures. It struck at 6:00:41 a.m. and measured 6.7 on the Richter scale, 65 DEAD, MORE THAN 2,000 INJURED; $505 MILLION IN LOSSES. It is referred to as the 1971 San Fernando earhquake or the Big 9 or Sylmar Earthquake.

The earthquake ruptured a segment of the San Fernando fault zone, a set of north-dipping, high-angled reverse faults along the southeastern margin of the San Gabriel Mountains.


It caused more than 10 miles of discontinuous surface ruptures with average displacements of about 3 feet both horizontally and vertically. A strong aftershock sequence followed the main shock and included four quakes in the Magnitude 5 range.

The quake claimed 65 lives and caused more than half a billion dollars in damage, including the destruction of two hospitals, two freeway interchanges and the Lower Van Norman Dam. Landslides were widespread and caused extensive damage throughout the San Gabriel Mountains.


The earthquake disrupted several motion pictures being filmed at the time in the Los Angeles area, including The Omega Man. The quake also served as the inspiration for the 1974 film, Earthquake.


This was not heavily populated area or lacking good building codes like our many neighboring friends in other countries and regions. Having been raised in CA I have grown up with earthquakes and have experienced them living along a fault line through a 30-year -span and until you experience one of this magnitude and higher it is not an experience I wish on anyone.

It is a helpless feeling that scares you to death. You see the roads split with crevices, freeway bridges collapse, homes, buildings and lives destroyed.


Let’s ALL pray for those unfortunate Haiti victims of this latest casualty of nature.

NAR Short Sales and Foreclosure Certification

ShirLee McGarry® Earns NAR Short Sales and Foreclosure Certification

Buyers and Sellers Benefit from REALTOR® Expertise in Distressed Sales

Salt City, State, January 12, 2010— ShirLee McGarry with Century 21 at the Rockies has earned the nationally recognized Short Sales and Foreclosure Resource certification. The National Association of REALTORS® offers the SFR certification to REALTORS® who want to help both buyers and sellers navigate these complicated transactions, as demand for professional expertise with distressed sales grows.

According to a recent NAR survey, nearly one-third of all existing homes sold recently were either short sales or foreclosures. For many real estate professionals, short sales and foreclosures are the new “traditional” transaction. REALTORS® who have earned the SFR certification know how to help sellers maneuver the complexities of short sales as well as help buyers pursue short sale and foreclosure opportunities.


“As leading advocates for homeownership, REALTORS® believe that any family that loses its home to foreclosure is one family too many, but unfortunately, there are situations in which people just cannot afford to keep their homes, and a foreclosure or a short sale results,” said 2009 NAR President Charles McMillan, a broker with Coldwell Banker Residential Brokerage in Dallas-Fort Worth. “Foreclosures and short sales can offer opportunities for home buyers and benefit the larger community, as well, but it’s extremely important to have the help of a real estate professional like a REALTOR® who has earned the SFR certification for these kinds of purchases.”


The certification program includes training on how to qualify sellers for short sales, negotiate with lenders, protect buyers, and limit risk, and provides resources to help REALTORS® stay current on national and state-specific information as the market for these distressed properties evolves. To earn the SFR certification, REALTORS® are required to take one core course and three Webinars. For more information about the SFR certification, visit www.REALTORSFR.org or call 1-877-510-7855.

Past Due House Payments

If you think nobody cares if you are alive, try missing a couple of house payments!

Homeowners - Check Out Stimulus for Greening Your Home

Details for the U.S. government's Cash for Caulkers program aren't available yet, but it's not too early to start thinking about how to cash in on the proposed stimulus program...

http://green.yahoo.com/blog/the_conscious_consumer/116/how-to-get-ready-for-cash-for-caulkers.html

Mind Over Matter

 "Once you make a decision, 
       the universe conspires to make it happen."
                                                  
       - Ralph Waldo Emerson

Interest Rates to Rise?

According to Bloomberg.com, it is noted that the 10-year Treasury note yield climbed from 3.548% to 3.748% and a couple days later ended the week at 3.80%

Reasons?

It seems that the markets are in a positive move and optimistic for the future of our economy. There was a slight rise in employment and personal income had a slight growth. This in turn encourages investors and stocks are starting to show higher numbers. When these triggers happen, the interest rates begin to rise.

Most analysts have tried to assure us that inflation won’t begin seriously for many months; however, the improving economy will cause the Federal Reserve to cease its support of lower interest rates earlier than expected.

When the 10-year note rates rise, existing Treasury notes become less valuable providing lower yields. This furthers the dominos effect as investors raise rates further and sell off their Treasury securities when they feel their holdings are losing value. Since there is a narrowing spread between the 10-year note and the 30-year mortgage rate, this suggests that mortgage rates will probably start rising.

To those potential buyers still sitting on the fence,  I'd be making plans soon to get serious about buying a home, take advantage of the low interest rates and the  8K tax incentive for new home buyers or the 6.5K to those buyers who have been in their home for at least 5 years while you can! Don't fall into the category of the...if only I had bought when the market was...

Step-By-Step Guide In Obtaining A Home Loan

Now that you've decided to purchase a new home, it's important to know what to expect throughout the loan process. With the right knowledge, the road to home ownership is just ahead.

Choose A Home

Some lenders may offer a pre-approval, but others require that you have a specific home chosen before they will discuss loan options. Therefore, the first step to obtaining a home loan is to first select a home. Some sellers may require you to provide an earnest money deposit, which secures the home while you obtain financing and have the necessary inspections completed in order to finalize the purchase.

Check Your Credit

Before you even think about applying for a mortgage, it's important to know where you stand from the lender's point of view. Checking your credit report is a good idea for many reasons, but it's an essential step in your journey toward buying a home.

Every 12 months, you can request a free copy of your credit file from each of the three major credit reporting agencies - Equifax, TransUnion and Experian. Look for inaccuracies, outdated information or anything that requires your attention. If you spot anything, file a dispute right away to get the information corrected. A free credit report does not include your FICO score, which is available from the credit bureaus for a small fee. Most lenders use this number in determining your interest rates and creditworthiness, so it may be a good idea to check it out for yourself first.

Gather Your Documentation

When you apply for a loan, you will be asked to provide certain documentation and/or information relating to your current financial status, employment, assets (including both real and personal property) and liabilities. Before meeting with your lender, make sure to have your current paystubs, bank statements, tax returns for the two years preceding your application and information relating to any debts that you currently owe. If you are self-employed, you will also be asked to provide a year-to-date profit/loss statement, which is also known as an income statement.

Meet With Your Lender

Now that you have your documentation together, it's time to meet with your lender. At this point, you will complete a mortgage application and submit it for approval. Depending on the lender, it may take anywhere from several hours to several days before learning whether or not you are approved. In most cases, however, a lender can provide you with an answer within 24 hours.

Last Minute Details

If your loan is approved, it's time to move forward to the next step in the mortgage process. Your lender will order an appraisal and inspection to be completed on the property. This is just as much for your own protection as it is for the lender because it may reveal hidden problems within the home. The inspection and appraisal can take up to 30 days, at which point the results will be forwarded to the lender. If all goes well, you will close on the loan and get ready to move into your new home.

The Metamorphous of the Salt Lake County Sheriff's Department

At my Community Council Meeting this evening, one discussion of interest referenced the newly formed Salt Lake City Unified Police Department, which is the metamorphosis of the Utah County Sheriffs Department. A spokesman from the UPD said we will be seeing changes in cars uniforms, etc. within the next few months & by April the transition is final... and oh.... one small piece of trivia...it will cost tax payers more $$. Just from a homeowner’s perspective in unincorporated areas, you will be receiving a separate bill in a couple of months for $174 for your yearly fee for this new Unified Police Department. It has to be paid in one lump sum. Owners of apartments, businesses, etc. will have higher fees charged. I don't remember voting on this? So prepare yourself and...watch your mail boxes. Now I ask, is this the prelude of desensitization of the masses to prepare for the new world order? What can I say; I'm a fiction writer so I read into everything with vivid imagination.

To read more about the original transition please go to http://www.ksl.com/?nid=148&sid=7494178

Ten Ways to Cut Your Energy Bill

TEN WAYS TO CUT YOUR ENERGY BILL

 1 .One of the easiest ways to cut your heating and cooling bill is to make sure that your attic has seven inches (R-22) or more (up to R-49) of fiberglass or rock wool insulation.

2. A simple step we often ignore-replace or clean your AC vents once a month.

3. Don't leave your bathroom ventilator running longer than necessary, as it can drain your entire house of cooled or heated air in about an hour!

4. During the summer keep your drapes closed in the heat of the day. In the winter keep the south facing window drapes open.

5. Make sure all windows are caulked and weather-stripped to save 10% on your H/AC bill.

6. White window shades or blinds will deflect the heat away from your house.

7. Lower hot water costs by installing low-flow showerheads and faucets.

8. Insulate your water heater and set its thermostat at 115° F.

9. You can cut up to 50% on your lighting costs by replacing 25% of the bulbs in your main-use areas with fluorescent lighting. Fluorescent lights are more expensive but also last six to ten times longer than incandescent bulbs.

10. Plant trees ASAP. Well-placed trees will not only lower your energy costs but will increase the curb appeal of your home and make your yard a more enjoyable place to be.

Unemployment

 You take my life when you do take the means whereby I live.

William Shakespeare

— The Merchant of Venice, act 4, scene 1, Shylock

Job