Helping Underwater Borrowers ~ An update from the Federal Housing Finance Agency (FHFA)

Here is a recent release from the Federal Housing Finance Agency:


The Federal Housing Finance Agency, along with Fannie Mae and Freddie Mac, on Monday announced changes to the Home Affordable Refinance Program (HARP) to help more borrowers.

The program will continue to be available to borrowers with loans sold to Fannie Mae and Freddie Mac on or before May 31, 2009, with current loan-to-value (LTV) ratios above 80 percent.

The new program enhancements address several other key aspects of HARP including:

• Eliminating certain risk-based fees for borrowers who refinance into shorter-term mortgages and lowering fees for other borrowers;
• Removing the current 125 percent LTV ceiling for fixed-rate mortgages backed by Fannie Mae and Freddie Mac;
• Waiving certain representations and warranties that lenders commit to in making loans owned or guaranteed by Fannie Mae and Freddie Mac;
• Eliminating the need for a new property appraisal where there is a reliable AVM (automated valuation model) estimate provided by the Enterprises; and
• Extending the end date for HARP until Dec. 31, 2013, for loans originally sold to the Enterprises on or before May 31, 2009.

Fannie and Freddie plan to issue guidance with operational details about the HARP changes to mortgage lenders and servicers by Nov. 15. Since industry participation in HARP is not mandatory, implementation schedules will vary as individual lenders, mortgage insurers and other market participants modify their processes.

More info

Recently Sold ~ 455 Foxen Drive, Santa Barbara, CA 93105

Recently Sold ~ Represented Buyers

455 Foxen Drive
Santa Barbara, CA 93105

Offered at $1,235,000

Four Bedrooms, Two Bathrooms
2500 Square Feet
2-Car Garage
Hardwood Floors Throughout
Large, Open Kitchen
Gorgeous Den
Hot Tub in Back Yard
Great for Entertaining
Formal Living Room
San Roque ~ Great Neighborhood
Beautifully Redone
Cathedral Ceilings
3 Fireplaces
French Doors
New Kitchen
Granite Counters
Viking Appliances
Crown Molding

Recently Sold ~ 4Plex ~ 614 Kentia Avenue, Santa Barbara, CA 93105

Recently Sold ~ Represented Buyer

614 Kentia Avenue
Santa Barbara, CA 93105

4-Plex consisting of four 2B/1B units. Rents ranging from $1450-1550/unit.
Close proximity to downtown, schools, parks, the bike path, and freeway access.
Laundry on site.

This particular escrow took 7 months to close, due to some repairs that needed to completed. The property had been in escrow prior to our escrow, when a buyer discovered mold at the property. That buyer canceled escrow after his request for a large credit was declined. I heard about the shaky escrow & informed my client. We wrote an offer immediately, making it part of our offer that the mold work be completed prior to the close of escrow. It was a large feat and very costly to move out and rotate four sets of tenants & fully remediate the mold, and put the building back together, but the Seller held up their end of the agreement & performed the work as agreed. The property was fully rented again before the close of escrow. This property makes for a great long-term investment!

Recently Sold ~ 403 Alameda Padre Serra, Santa Barbara, CA 93103

Recently Sold ~ Represented Buyer

403 Alameda Padre Serra
Santa Barbara, CA 93103

Closed at $795,000 
*Originally offered for $1,195,000

 













Elegant, Spanish-Style Town-Home 
Brand New Construction  
Ocean/Harbor/City Views
Turn-Key
Riviera Location ~ Close to Downtown
3 Bedrooms, 2.5 Bathrooms
Hardwood Floors
Attention to Detail
2-Car Garage
Backyard
Stainless Steel Appliances
Sandstone Fireplace
Gorgeous Fixtures