Avoiding Foreclosure

According to Wikipedia, foreclosure is the legal proceeding in which a bank or other secured creditor sells or repossesses a parcel of real property (immovable property) due to the owner's failure to comply with an agreement between the lender and borrower called a "mortgage" or "deed of trust". In other words, if you don’t pay your mortgage, the bank could take your home away from you!

Foreclosure could seriously jeopardize your credit and should be avoided at all costs. Therefore, it is essential that you pay your mortgage on time. Should you fall behind in your payments for whatever reason, DO NOT ignore any letters you may get from your lender! They do not want to have to take possession of your home, but would rather see you making payments. Should you need to, however, contact your lender’s loan mitigation department right away and let them know of your financial situation. Depending on the type of loan you have, they may be in a position to help you.

Another option available to you is to call a HUD-approved housing counseling agency at 800-569-4287 to find the agency nearest you. These agencies offer a wealth of valuable information on resources available to you such as government agencies and community organizations that can help.

The following options may also be available to you.

Special Forebearance – If you are able to prove that you have had an increase in living expenses or a decrease in income, your lender may be able to get you a temporary reduction or suspension of mortgage payment.

Mortgage Modification – You may be able to refinance or extend the terms of you loan. This might lower the amount of your monthly payment.

Whether you can take advantage of these options or the many others available to you, whatever you do, DO NOT DO NOTHING! Your credit is at stake. Get help right away.

For more information, check out this website: http://www.hud.gov/

Caveat Venditor!

You may have heard the Latin phrase, Caveat Emptor, meaning “let the buyer beware”. Today’s vocabulary word is Caveat Venditor, meaning, “let the seller beware”.

I imagine most people are interested in saving money, and some so much so that they are tempted to sell their own home “for sale by owner”, for which this Latin phrase was aptly intended.

Maneuvering the closing of the sale of a home takes a trained REALTOR or Real Estate attorney just to be able to catch some of the potential mistakes and charges that aren’t true or accurate. Sellers going out on their own may save a few dollars in commission costs, but they are likely to lose those savings in hidden closing costs that a REALTOR could protect them from.

So remember, Caveat Venditor – Let the seller beware!

Farmers' Market is OPEN!!!

The Farmers' Market is open. I'm so excited. Spring flowers, veggies, bread, music and so much more! We love to go to the market. It's open on Saturdays from 8am to 1pm.

You can get more information at www.bloomington.in.gov/parks or call 812-349-3700.

Selling Tip of the Month!

Curb Appeal is Everything! Now that spring is here, we look forward to hearing the phones ring in the real estate office. Nothing makes the phone ring like a for sale sign in the front yard of a beautifully maintained lawn with spring flowers, fresh mulch, freshly spruced landscaping and a clean & freshly painted home front. Even with all of the web marketing, print advertising & mailings, the yard sign remains the largest source of inquiries. There is nothing more important than curb appeal when selling a home.

Here are a few tips to make your home have the utmost appeal:

Mow the lawn! Every week! And, if your lawn needs some improvement with patchiness, weeds, color, etc., you might call True-Green or Chem-Lawn or a local lawn & garden specialist for some help.

Trim back the shrubs, clear off the dead pieces, plant some spring flowers and add fresh mulch to the mulch beds.

Paint the trim, the front door (if necessary), power wash the exterior & clean out the light fixtures.

Wash the windows and clean out the gutters.

Set out some spring flowers in pots and you should just about have it.

More Legislative Affairs...Property Tax Reduction, Assessment Reform, Elimination of Township Assessment!

On the Indiana Front, the position of the Indiana Assocation of Realtors is defined in the following talking point from our fearless leader, Karl Berron.

The time has come to fundamentally change the way we approach property tax relief. In the past, the strategy has been to raise state taxes and use that money to subsidize property tax bills, or to grant deductions to favored classes of taxpayers. This model cannot be sustained.

Property Tax Reduction

The time has come to allow local units of government to utilize other sources of revenue. This does not mean they can be given a blank check. REALTORS support alternative forms of revenue to replace property taxes under the following circumstances.

The bulk of the new money raised should be used for property tax relief, not new spending.

To help control remaining property taxes, "tax adjustment boards" should be established. These boards would be charged with determining priorities among the many local units of government that can levy property taxes, yet now operate independently.

The 2% circuit breaker is maintained. It is not logical for local government to argue for new sources of revenue on one hand, while not accepting limits on property taxes on the other.

When possible, entire levies should be eliminated, preventing them from growing back.

Property Tax Assessment Reform-Elimination of Township Assessment

Indiana's assessment system continues to treat taxpayers unfairly. The state's failure to reform this antiquated system results in too many taxpayers paying more than their fair share of the tax burden.

For literally decades, studies have recommended moving away from township based assessing. This system, based on 1008 individual approaches to determining value, makes uniform assessments imposible. For this reason, REALTORS support the elimination of township assessment. Responsibility for assessing should be moved to the county level.

Too often, this critical issue gets lost in the maze of other property tax reform discussions. Yet in many ways this is the fundamental change that would form the basis for a modern property tax system. Failing to make this change means many taxpayers will continue to pay more than their fair share.

If you agree, contact your legislators and tell them so!