RentLaw.com October 28, 2008 - Tenants Evicted Due To Foreclosure
Tenants are getting evicted by the courts when a lender forecloses on a property. The unsuspecting tenant pays their rent, but the landlord never pays the lender.
Are tenants being notified by the lender? Tenants must pay attention to their mail.
Read more about tenant's rights in foreclosure proceedings.
Laws vary by state and some judges, lenders and who ever else is involved in the eviction and foreclosure processes are proceeding with caution. Read more on Foreclosure and the The Tenant on RentLaw.com The National Landlord Tenant Guides.
Tuesday, October 28, 2008
Wednesday, October 08, 2008
McCain's Mortgage Bailout Plan....
Before you read the summary of McCain's "American Homeownership Resurgence Plan" think of what others have gone through the past several years and maybe yourself if you had pruchased a home and struggled with high rates when you first pruchased some years ago - with 12% or 16% rates and had to refi a few times to get a "good" rate.
Many people were lead to make bad decisions. Partly because they were misled, some because they beleived that "the real estate market always goes up..." others simply did not understand the complexity of owning a home. Owning and running a household is a major business.
The brokers, lenders and other leaders are at fault for allowing easy credit terms to many buyers who really were not qualified - even if they "qualify for a mortgage". You might qualify for a mortgage, but NOT qualify to own a home and manage it.
When I went for a new loan, I experienced all kinds of craziness - and I'm experienced.
One of the biggest unexplained tactics was the "NO DOC" loan. That means more or less no documentation of your W2 or income verification REGARDLESS of the fact that I could document my self employed income, rental income and MY WIFE's income.
Also banks were using "credit scores" not to disqualify you, but to qualify you at a higher rate - for the "risk" you present based on your score.
You can sit bank and take a look at the entire appraisal process - a simple method of comparing like homes in a neighborhood that have been sold within the past year or less and a brief look at the inventory in the same area. How reliable an estimate is this and did banks fail to discount an aprraisal instead of "making the loan" or "making the numbers work" for the loan to grow through?
There are many flaws in the system.
Owning a home takes work. Lots of work.
Can you clean up people's credit card debts as well - just erase them?
Following is a summary of McCain's proposal.
John McCain unveiled a dramatic proposal Tuesday to bail out homeowners struggling to pay their mortgages.
In the second presidential debate, the Republican nominee -- who has railed against excessive government spending and once questioned whether federal money should be spent to help homeowners -- outlined a new $300-billion federal program.
McCain promised to buy failing mortgages directly from homeowners and mortgage providers and replace them with government-backed fixed-rate mortgages. "Is it expensive?" McCain asked. "Yes. But we all know, my friends, until we stabilize home values in America, we're never going to start turning around and creating jobs and fixing the economy.
"McCain's campaign issued a 1½-page fact sheet to explain his call for the massive federal intervention, which it called the American Homeownership Resurgence Plan. The campaign noted that the $700-billion financial rescue package approved by Congress last week gives the Treasury Department authority to directly buy mortgages, but added, "It may be necessary for Congress to raise the overall borrowing limit."
Treasury Secretary Henry M. Paulson has given no sign that he would spend any of the money to bail out individual lenders and borrowers. Rather, he has made it clear that he considers it the government's responsibility to assure the stability of the credit markets.
Bill Burton, a spokesman for the Obama campaign, said the idea was not a new one and noted that the Illinois senator had raised it. On Oct. 1, in a news release, Obama said he intended to "encourage Treasury to study the option of buying individual mortgages like we did successfully in the 1930s."
McCain has based his presidential bid in part on frequent calls for cuts in government spending and regulation. His housing bailout proposal was a surprise in a debate that could prove a crucial pivot as the race enters its final month.
When the mortgage crisis first ballooned, Obama offered a plan that included aggressive regulation of financial institutions, relief for homeowners and a $30-billion economic stimulus package. McCain criticized it as a "multibillion-dollar bailout for big banks and speculators" and said, "There is a tendency for liberals to seek big government programs that sock it to American taxpayers while failing to solve the very real problems we face."
fter he was criticized for downplaying the government's role in responding to the crisis, he changed course.
He proposed spending up to $10 billion for government-backed mortgages for "well-meaning, deserving homeowners" facing foreclosure.
According to the outline of McCain's newest proposal, the federal government would pay borrowers and lenders in full, regardless of how wise or fair the original transaction was. Lenders would be able to remove the bad mortgages from their balance sheets, and borrowers would be able to refinance into government-guaranteed loans.
Mortgage holders would have to prove they lived in the home and had good credit at the time of the original loan. This approach has been largely rejected by both Democrats and Republicans because it would be likely to reward the kind of bad lending and borrowing practices that caused the housing crisis while doing little to help stretched but conscientious homeowners.
By contrast, the housing bill passed by Congress over the summer, and which went into effect Oct. 1, required lenders to take a loss by writing down the principal on troubled mortgages to 85% of the house's current value. Borrowers with adequate incomes and credit records would then qualify for refinanced mortgages from new lenders.
Government funds were used only to help finance mortgage insurance for the new loans; cost estimate for taxpayers was roughly $20 billion.
Many people were lead to make bad decisions. Partly because they were misled, some because they beleived that "the real estate market always goes up..." others simply did not understand the complexity of owning a home. Owning and running a household is a major business.
The brokers, lenders and other leaders are at fault for allowing easy credit terms to many buyers who really were not qualified - even if they "qualify for a mortgage". You might qualify for a mortgage, but NOT qualify to own a home and manage it.
When I went for a new loan, I experienced all kinds of craziness - and I'm experienced.
One of the biggest unexplained tactics was the "NO DOC" loan. That means more or less no documentation of your W2 or income verification REGARDLESS of the fact that I could document my self employed income, rental income and MY WIFE's income.
Also banks were using "credit scores" not to disqualify you, but to qualify you at a higher rate - for the "risk" you present based on your score.
You can sit bank and take a look at the entire appraisal process - a simple method of comparing like homes in a neighborhood that have been sold within the past year or less and a brief look at the inventory in the same area. How reliable an estimate is this and did banks fail to discount an aprraisal instead of "making the loan" or "making the numbers work" for the loan to grow through?
There are many flaws in the system.
Owning a home takes work. Lots of work.
Can you clean up people's credit card debts as well - just erase them?
Following is a summary of McCain's proposal.
John McCain unveiled a dramatic proposal Tuesday to bail out homeowners struggling to pay their mortgages.
In the second presidential debate, the Republican nominee -- who has railed against excessive government spending and once questioned whether federal money should be spent to help homeowners -- outlined a new $300-billion federal program.
McCain promised to buy failing mortgages directly from homeowners and mortgage providers and replace them with government-backed fixed-rate mortgages. "Is it expensive?" McCain asked. "Yes. But we all know, my friends, until we stabilize home values in America, we're never going to start turning around and creating jobs and fixing the economy.
"McCain's campaign issued a 1½-page fact sheet to explain his call for the massive federal intervention, which it called the American Homeownership Resurgence Plan. The campaign noted that the $700-billion financial rescue package approved by Congress last week gives the Treasury Department authority to directly buy mortgages, but added, "It may be necessary for Congress to raise the overall borrowing limit."
Treasury Secretary Henry M. Paulson has given no sign that he would spend any of the money to bail out individual lenders and borrowers. Rather, he has made it clear that he considers it the government's responsibility to assure the stability of the credit markets.
Bill Burton, a spokesman for the Obama campaign, said the idea was not a new one and noted that the Illinois senator had raised it. On Oct. 1, in a news release, Obama said he intended to "encourage Treasury to study the option of buying individual mortgages like we did successfully in the 1930s."
McCain has based his presidential bid in part on frequent calls for cuts in government spending and regulation. His housing bailout proposal was a surprise in a debate that could prove a crucial pivot as the race enters its final month.
When the mortgage crisis first ballooned, Obama offered a plan that included aggressive regulation of financial institutions, relief for homeowners and a $30-billion economic stimulus package. McCain criticized it as a "multibillion-dollar bailout for big banks and speculators" and said, "There is a tendency for liberals to seek big government programs that sock it to American taxpayers while failing to solve the very real problems we face."
fter he was criticized for downplaying the government's role in responding to the crisis, he changed course.
He proposed spending up to $10 billion for government-backed mortgages for "well-meaning, deserving homeowners" facing foreclosure.
According to the outline of McCain's newest proposal, the federal government would pay borrowers and lenders in full, regardless of how wise or fair the original transaction was. Lenders would be able to remove the bad mortgages from their balance sheets, and borrowers would be able to refinance into government-guaranteed loans.
Mortgage holders would have to prove they lived in the home and had good credit at the time of the original loan. This approach has been largely rejected by both Democrats and Republicans because it would be likely to reward the kind of bad lending and borrowing practices that caused the housing crisis while doing little to help stretched but conscientious homeowners.
By contrast, the housing bill passed by Congress over the summer, and which went into effect Oct. 1, required lenders to take a loss by writing down the principal on troubled mortgages to 85% of the house's current value. Borrowers with adequate incomes and credit records would then qualify for refinanced mortgages from new lenders.
Government funds were used only to help finance mortgage insurance for the new loans; cost estimate for taxpayers was roughly $20 billion.
Thursday, August 07, 2008
Will Ferrell in THE LANDLORD
The Landlord is a short hilarious video clip (Running Time: 2 minutes 20 seconds ) starring Will Ferrell and Pearl, the daughter of his SNL pal and Adam McKay.
Will Ferrell appears as the tenant from hell who is accosted for his rent by a drunk, angry and crazy bad mouthed landlord – who happens to be 2 years old.
The clip has been viewed millions of times since being originally posted on Funnordie.com. It was the brainchild of Ferrell and his longtime collaborator Adam McKay, director and co-writer of Anchorman: The Legend of Ron Burgundy and Talladega Nights: The Ballad of Ricky Bobby.
It's funny if you either a landlord or tenant.
I guess I should say funny if you're not the landlord, as I am and publisher of RentLaw.com. I should know better and have been tougher with my tenants. I think I could use this kid to collect my rent.
The Landlord HAS to be tough and not nice like me. That's why I have two tenants that owe me over $10k each - about 6 months of rent. Landlords - remember - 90% of the time - tomorrow tomorrow.....
Take a lesson from this video. But be nice.
Send your tenants a letter and contact them when the rent is due.
To reinforce your position, charge late fees as permitted by your state law and begin eviction proceedings if needed - immediately.
See the clip from The Landlord on RentLaw.com.
Be a good landlord and a good tenant.
Will Ferrell appears as the tenant from hell who is accosted for his rent by a drunk, angry and crazy bad mouthed landlord – who happens to be 2 years old.
The clip has been viewed millions of times since being originally posted on Funnordie.com. It was the brainchild of Ferrell and his longtime collaborator Adam McKay, director and co-writer of Anchorman: The Legend of Ron Burgundy and Talladega Nights: The Ballad of Ricky Bobby.
It's funny if you either a landlord or tenant.
I guess I should say funny if you're not the landlord, as I am and publisher of RentLaw.com. I should know better and have been tougher with my tenants. I think I could use this kid to collect my rent.
The Landlord HAS to be tough and not nice like me. That's why I have two tenants that owe me over $10k each - about 6 months of rent. Landlords - remember - 90% of the time - tomorrow tomorrow.....
Take a lesson from this video. But be nice.
Send your tenants a letter and contact them when the rent is due.
To reinforce your position, charge late fees as permitted by your state law and begin eviction proceedings if needed - immediately.
See the clip from The Landlord on RentLaw.com.
Be a good landlord and a good tenant.
Wednesday, August 06, 2008
Breaking the Lease Agreement
There are many different reasons why a tenant may have to break a lease.
These include job transfers, change in martial or family status, health issues or they either want to upsize or downsize for one reason or another.
There is NO law that says that the tenant cannot break their lease. HOWEVER, by law and by the lease contact, the tenant may be financially obligated to the landlord for rent and other charges to rerent.
READ YOUR LEASE BEFORE you sign it AND UNDERSTAND what you are signing. BEFORE you decide to move out and break the lease, READ YOUR LEASE and see what you may be responsible for.
TYPICALLY, once you notify the landlord you intend to move before your lease is due to expire, BOTH you and the landlord must make good faith efforts to find a new tenant. This is called mitigating damages (lessen the amount the tenant owes). The landlord must make an honest (good faith) attempt to rerent your unit using such things as a sign on the property, ads in local paper, contacting one or more real estate agents etc.
The Landlord should document everything they do in their attempt to rerent the unit - typically at the RENT THE CURRENT TENANT IS PAYING.
Read the complete article on BREAKING A LEASE on RentLaw.com - The National Landlord Tenant Guide.
These include job transfers, change in martial or family status, health issues or they either want to upsize or downsize for one reason or another.
There is NO law that says that the tenant cannot break their lease. HOWEVER, by law and by the lease contact, the tenant may be financially obligated to the landlord for rent and other charges to rerent.
READ YOUR LEASE BEFORE you sign it AND UNDERSTAND what you are signing. BEFORE you decide to move out and break the lease, READ YOUR LEASE and see what you may be responsible for.
TYPICALLY, once you notify the landlord you intend to move before your lease is due to expire, BOTH you and the landlord must make good faith efforts to find a new tenant. This is called mitigating damages (lessen the amount the tenant owes). The landlord must make an honest (good faith) attempt to rerent your unit using such things as a sign on the property, ads in local paper, contacting one or more real estate agents etc.
The Landlord should document everything they do in their attempt to rerent the unit - typically at the RENT THE CURRENT TENANT IS PAYING.
Read the complete article on BREAKING A LEASE on RentLaw.com - The National Landlord Tenant Guide.
Tuesday, July 29, 2008
Subletting an Apartment
New York - July 28, 2008 RentLaw.com The National Landlord Tenant Guide announced today they have published a guide to SUBLETTING an APARTMENT .
The RentLaw.com Guide to Apartment Sublets provides information for both Tenants and Landlords on the Sublet process.
The guide coverages what to look out for when arranging the sublet and how protect yourself as the the tenant, landlord and sublet.
David Dorfman, Publisher of RentLaw.com said "Tenants have different reasons for subletting such as a temporary business assignment, caring for a sick relative out of town or the tenant who figures they can make money off their favorable lease." Whatever the reason, the tenant should always get advanced agreement in writing from the landlord.
Some states have specific laws regarding subletting. Be aware of these laws and note illegally subletting your apartment may result in evictions of the original tenant and the sublet. For example, see New York State Law on Subletting.
Learn more about Landlord Tenant Issues and Subletting on RentLaw.com - The National Landlord Tenant Guides.
See the RentLaw.com Guide to Subletting for more information on this important topic.
The RentLaw.com Guide to Apartment Sublets provides information for both Tenants and Landlords on the Sublet process.
The guide coverages what to look out for when arranging the sublet and how protect yourself as the the tenant, landlord and sublet.
David Dorfman, Publisher of RentLaw.com said "Tenants have different reasons for subletting such as a temporary business assignment, caring for a sick relative out of town or the tenant who figures they can make money off their favorable lease." Whatever the reason, the tenant should always get advanced agreement in writing from the landlord.
Some states have specific laws regarding subletting. Be aware of these laws and note illegally subletting your apartment may result in evictions of the original tenant and the sublet. For example, see New York State Law on Subletting.
Learn more about Landlord Tenant Issues and Subletting on RentLaw.com - The National Landlord Tenant Guides.
See the RentLaw.com Guide to Subletting for more information on this important topic.
Thursday, May 08, 2008
Pet Deposit Laws and Pet Friendly Housing
New York City, May 8, 2008: RentLaw.com The National Landlord Tenant Guide announced today a Guide to PETS in Rental Housing and Laws.
RentLaw.com's Guide to Pets in Rental Housing provides information for landlords and pet-owning tenants.
Topics covered include: finding a pet-friendly rental, "PET" Security Deposits, security deposits in general, how to be a good pet-owning tenant, how to search for a pet friendly apartment and more.
The guide also discusses moving with your pet, The Humane Society, ASPCA and many other animal friendly organizations. David Dorfman, Publisher of RentLaw.com said "There is a large group of people who own pets and need to rent. Many landlords simply do not want to have a tenant with a pet for a number of reason." The site indicates several reasons - loud animals, smells might impact other tenants, damages caused by pets.
Dorfman noted there are an increasing number of complexes that advertise themselves as "pet-friendly" That includes hotels and motels that cater to pet owners.
What about "pet-security deposits"? Dorfman said that many states have regulating "pet deposits". The deposits range from zero (landlord has to use regular security deposit) to unlimited. (One additional month security could be considered standard in many states. See your state law list on RentLaw.com.
Learn more about Landlord Tenant Issues and Pet Laws and Pet Deposits on RentLaw.com - The National Landlord Tenant Guides.
RentLaw.com's Guide to Pets in Rental Housing provides information for landlords and pet-owning tenants.
Topics covered include: finding a pet-friendly rental, "PET" Security Deposits, security deposits in general, how to be a good pet-owning tenant, how to search for a pet friendly apartment and more.
The guide also discusses moving with your pet, The Humane Society, ASPCA and many other animal friendly organizations. David Dorfman, Publisher of RentLaw.com said "There is a large group of people who own pets and need to rent. Many landlords simply do not want to have a tenant with a pet for a number of reason." The site indicates several reasons - loud animals, smells might impact other tenants, damages caused by pets.
Dorfman noted there are an increasing number of complexes that advertise themselves as "pet-friendly" That includes hotels and motels that cater to pet owners.
What about "pet-security deposits"? Dorfman said that many states have regulating "pet deposits". The deposits range from zero (landlord has to use regular security deposit) to unlimited. (One additional month security could be considered standard in many states. See your state law list on RentLaw.com.
Learn more about Landlord Tenant Issues and Pet Laws and Pet Deposits on RentLaw.com - The National Landlord Tenant Guides.
Friday, January 04, 2008
Foreclosure Guides
New York City, January 4, 2007: RentLaw.com The National Landlord Tenant Guide announced today an expanded version of their Guide to Foreclosure.
RentLaw.com Guide to Foreclosure provides general information on the Foreclosure process and tips on how to Avoid Foreclosure. The guide also covers Foreclosure Scams where a borrower may end up in even further trouble.
David Dorfman, Publisher of RentLaw.com said "The number of homeowners and landlords that are in trouble continues to grow - impacting renters as well." Dorfman noted that tenants often receive eviction notices from a mortgage company or other lender. It is never clear what a tenant is supposed to do. Often times a tenant may had received a "great" rent - only to find out that the owner never paid his mortgage or taxes on the property. Many times, these homes were rented out as a last resort by an investor who thought they would close on the purchase and flip the property or flip the contract. In most areas, said Dorfman, those times are gone.
Learn more about Landlord Tenant Issues and Real Estate Investing on RentLaw.com - The National Landlord Tenant Guides.
See the RentLaw.com Guide to Foreclosure for more information.
For further information, see RentLaw.com http://www.rentlaw.com
RentLaw.com Guide to Foreclosure provides general information on the Foreclosure process and tips on how to Avoid Foreclosure. The guide also covers Foreclosure Scams where a borrower may end up in even further trouble.
David Dorfman, Publisher of RentLaw.com said "The number of homeowners and landlords that are in trouble continues to grow - impacting renters as well." Dorfman noted that tenants often receive eviction notices from a mortgage company or other lender. It is never clear what a tenant is supposed to do. Often times a tenant may had received a "great" rent - only to find out that the owner never paid his mortgage or taxes on the property. Many times, these homes were rented out as a last resort by an investor who thought they would close on the purchase and flip the property or flip the contract. In most areas, said Dorfman, those times are gone.
Learn more about Landlord Tenant Issues and Real Estate Investing on RentLaw.com - The National Landlord Tenant Guides.
See the RentLaw.com Guide to Foreclosure for more information.
For further information, see RentLaw.com http://www.rentlaw.com
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