Good Morning it is 11:05 am do you know where
your home equity is? Welcome to
the Velocity of Money Here now to answer your questions about capitol,
equity, funding, and finance your host of t
he Velocity of Money, Michael J Barnes Welcome to the Velocity of Money this Michael J Barnes and you are listening to KFNX 1100 AM Arizona’s News Talk Leader What a beautiful Wednesday afternoon in
Phoenix Arizona. I don’t know what the temperature is in downtown phoenix but
wayne has the studio nice and
comfortable, it is 65 degrees I am being told, I am in a room here today
videotaping for a special video tape that
Jeanne Lunn has put together, in studio today we have three beautiful
women to help out today we have Kalyn
Roberts, welcome to the program Kalyn: Thank you Michael we are very excited to be here. Michael: and Jeri league Jeri: thank you Michael, looking forward to it Michael: Jeri and Kalyn are short sale experts and have
graciously decided to come to the program to discuss some of the short sale important things that people do need to know, and
we also have Jeanne Lunn in the studio today she is taking care of the video tape. So three beautiful women all PSI
graduates, and we are going to get to all of this short sale information but a couple of things important to mortgage
interest rates, today is a fantastic day in the mortgage rate world, Leslie and Staci at Velocity Financial were kind enough
to put together a scenario for us so listen to this folks, this is not the teaser, this is not the loss leader this is
the real deal as of today a $417,000 loan amount the interest rate is 4.875% , that’s 4.875% that is below 5% obviously
the APR is 4.948% and that is for a no cash out loan but those rates and that is a special rate and we have a certain
allotment of loans that we are allowed to do at that special rate. If you are interested in talking to a member of my
staff or myself or anyone else about that program you would call 480-835-6248 that is 480-835-6248 or 480-Velocity there
are people there standing by to take your phone call we are a local licensed firm and one of the only 15% of the mortgage
companies in the state of Arizona that is licensed to do FHA loans as well. Any mortgage related needs that you have
we are here to help but for the next hour we are going to be talking about Short Sales, now over the last several months
we have been talking about loan modifications on the show a lot, Velocity Financial was one of the first companies to
work with a national network of attorneys, a 16 year old firm that we are working with they have done thousands of these
loan modifications and the loan modification industry in Arizona is for the most part unregulated but you want to make sure
you are working with a licensed firm, and you want to make sure you are utilizing an attorney. You do not want to be
giving money to anybody that says they can get you a loan modification, the only money you give is to an attorney don’t
be giving money to people who come by and say they can help you out. You are going to have to be very careful on how you
handle that, but interestingly enough the loan modification is for the mortgage side so essentially the loan modification is
to the loan officer what a short sale would be to a realtor. Now the short sale part of real estate is not something
you want to trust to somebody starting out doing short sales unless they are being supervised by a pro, you do not want to
mess around with it. This is not a time to be trying it out, this is not a time for people to be using you as their
guinea pig not a good idea at all. That is why we brought Jeri and Kalyn in and we are going
to talk about some of the specifics. You definitely want
to make sure that if you need to do a loan modification if you are facing foreclosure or
you want to do a short sale, whatever scenario is the better decision for you and your family you have got to work with
a professional Jeri and Kalyn have extensive experience, they have an unbelievably great success rate it doesn’t have to
take six months to get this done they can execute this thing for you and they are the pros so we are going to go through
some questions over the next hour there is just one more thing I want to talk about and that is if a loan modification is
something you think you need call the office at 480-Velocity, that is 480-835-6248 and we have put together a video for
you that you can watch it is very short, it explains the process and we will then get together with you and answer any
questions that you have. We are just going to go ahead if we could and just jump right into the short sale information
Jeri again thank you so much for taking the time to be with us. Jeri: thank you for having us. Michael: What is the name of your firm? Jeri: Our group is Dream Vesting Group and
our brokerage is Keller Williams Arizona Realty. Michael: So that is great, licensed
agents with Keller Williams and I know
the two of you and I know of your history and we will talk a little bit more about that but you have been
working together for awhile you and I had a chance to speak about the short
sales and your success rate, very, very
impressive proven results always helps. So the natural first question for those
that are listening today. What is a
short sale exactly? Jeri: A short sale is a property sale
where the bank or lender agrees to accept less than what is owed to them.
So the bank is agreeing to take a loss on the sale of your property and I like what you said earlier about not
trusting a loan modification or a short
sale to just anybody you definitely do not want to be the guinea pig and you
do not want to approach the bank yourself and ask them to please take a
loss because you need to sell your home. Michael: And that is one of the things
that is funny nowadays I know people
have seen them pop up all over the town the ugly yellow bill boards all over the place.
Advertising on the radio about loan modifications and they have 100% success rate all kinds of
these different things. The same thing with short sales you actually have a process
and you have a lot of experience doing it, you know the ins and the outs and this
isn’t a part time job this is a fulltime job. Jeri: Absolutely is a fulltime – more
than fulltime job the last three
Sundays I have been on the phones with lenders are open, one of them has a
call center in India. I have been on
the phone from 10 o’clock at night until Midnight and again at 6am with
the same lender trying to stop
foreclosure. Michael: Well that is good that you
have the time, Take the time to do
that. I am sorry that you have to work that many hours but you know Kalyn is
it not true that the sooner we get
through all of these short sales and Kalyn: Absolutely, a lot of people ask,
“what does it take?” “Who should be
considering a short sale?” If you are late on your mortgage currently, if your mortgage
has adjusted, if you can no longer afford your monthly payment, if you foresee yourself not
being able to afford your monthly payments any of these instances plus several more you should
definitely be sitting down with someone and talking about your options which would be
most likely a short sale or loan modification. Michael: Yes the last thing anyone wants and I mean anyone is a foreclosure, that is the last resort. Kalyn: Absolutely Michael: Nobody wants a foreclosure;
you do not want it on your record you
do not want to have to deal with that. It is a very public event a foreclosure
is the banks do not want you to foreclose and that is probably why they are
so willing to work with you would you say? Kalyn: Absolutely the banks do not want the home back no matter what they tell you. Michael: Exactly and on the loan
modification side people try on their
own to do this and it is true that people can actually do a loan modification on their
own but there are so many pitfalls and it is just not something you want to try on your own. Surely
you do not want to try a short sale on your own. Jeri: No Michael: So Jeri let me ask you this, what are some of the main objections? Jeri: The main objection that we hear
from most of our clients is the cost to them, they already can not afford
the payment on their mortgage or they wouldn’t be in that particular situation
9 times out of 10 and so they are concerned about cost. Most people
have already resigned themselves to the fact that they are losing their home
and they do not want to spend any more money on it. The good news is in
a short sale you do not have to spend anymore money all of the costs are
absorbed by the bank. They agree to lose more money basically so there is no
realtor fees and the majority of the time we can negotiate an “as is” contract so if there
are repairs that need to be made they do not come to you and ask you to do it, it is just factored into
the cost. So it is very effective for homeowners. Michael: And again it keeps them from
going into foreclosure. They get to
stay in the house and they get to save whatever is left of their dignity, some
people take it very pride fully as
well. So Kalyn, the second most common
objection is? Kalyn: That objection we find is, “How would the bank
take that high of a loss?” For example say you own $500,000 and the current market value is only $400,000 and a lot
of people think that the bank would not take a $100,000 loss. That is not the case it certainly does not matter
what you owe on your home the bank is looking at market value and we are the professionals
that know market value. Jeri, remember the short sale we closed a
couple of months ago in Scottsdale? Jeri: Yes Kalyn; This particular client owed $930,000
and we short sold it for $450,000
and closed within 45 days. Michael: Wow, you got the short sale done in 45 days. Kalyn: Yes that is pretty fast, it is starting
to get a little more complicated. Michael: So that is an extreme case,
these results are not necessarily
typical but none the less you are still able to negotiate with the loss mitigation
department or the asset manager. We will talk more deeply in a few minutes about that
for more information on Jeri League or Kalyn Roberts you can call 480-835-6248 that is
480-Velocity and that is how to get information on the loan modification, or Jeri and Kalyn and we
will back with you folks in just a few minutes.