San Diego short sale


Thursday, February 21, 2008

Homeowners and Lenders are still in trouble

For those of you who wondered how can the banks survive making all the crazy loans. It seems we may only be 40% of the way there. Imagine what these balance sheets will be like when the lenders accept the fact that their security interests were propped up by their bad loans. Now that they are not making the bad loans their security interests are cracking.

Its seems short sales and foreclosures may only be just beginning.

Friday, February 15, 2008

Mish's Global Economic Trend Analysis: Housing - The Worst Is Yet To Come

Mish's Global Economic Trend Analysis: Housing - The Worst Is Yet To Come: "Subprime resets peak this year but Alt-A problems which are just as big do not peak until 2011. In addition the overall economy is slowing dramatically. There is going to be consumer led recession to deal with. Unemployment has bottomed this cycle and is bound to rise dramatically. That will further pressure housing prices in a very significant way. The worst (by a long shot) is yet to come. Remind me to start looking for a true bottom in 2011-2112. Perhaps we get a bounce somewhere along the way."

Mortgage-Rate-Resets.png (image)

Mortgage-Rate-Resets.png (image)

this chart goes with the quote above. The mortgage problems seem to continue to 2011

Wednesday, February 13, 2008

Mortgage Debt forgiveness - Loan forgiveness - 1009 c

Remember you have to be concerned about Capital Gains and the California Franchise Tax board as well.

Mortgage Debt forgiveness - Loan forgiveness - 1009 c: "Normally, debt forgiveness results in taxable income. But under the Mortgage Forgiveness Debt Relief Act of 2007, enacted Dec. 20, taxpayers may exclude debt forgiven on their principal residence if the balance of their loan was less than $2 million. The limit is $1 million for a married person filing a separate return. Details are on Form 982 and its instructions, available now on

'The new law contains important provisions for struggling homeowners,' said Acting IRS Commissioner Linda Stiff. 'We urge people with mortgage problems to take full advantage of the valuable tax relief available.'"

Monday, February 11, 2008

Foreclosure-proof homes? - Los Angeles Times

Before you list your home as a short sale -you might want to have a real estate attorney put a little pressure on your lender. We have been doing it for ever since we read about this ruling for the first time.

Foreclosure-proof homes? - Los Angeles Times: "Foreclosure-proof homes?
Mortgage-backed securities have made many homes legal and financial mazes that put ultimate ownership in limbo.
By Eric J. Weiner
December 3, 2007
Who owns your home?

That seems like a pretty straightforward question. But the answer might not be as clear-cut as you think.

A U.S. District Court judge in Cleveland tossed out 14 foreclosure cases Oct. 31 on the grounds that the bank suing to repossess the properties, Deutsche Bank National Trust Co., didn't actually own them. Deutsche Bank held debt securities that were linked to the mortgage loans on the properties, not the mortgages themselves. And the judge ruled that a security backed by a mortgage is not the same as a mortgage."

Friday, February 1, 2008

New home sales fall News: "The median price of a new home fell 10 percent in December from the same month a year earlier, the Commerce Department said yesterday.

Ryland's Loss

The U.S. housing market is the ``worst in 30 years,'' Ryland Group Inc. Chief Executive Officer Chad Dreier said on a conference call on Jan. 24.

Ryland, a Calabasas, California-based homebuilder, reported a fiscal fourth-quarter net loss of $201.9 million on Jan. 23, more than analysts had forecast. Dreier said the following day the housing market is ``too uncertain'' to offer an outlook and that the company will continue to offer ``big incentives'' to potential buyers in California.

Lennar Corp., the biggest U.S. homebuilder, reported the largest quarterly loss in its history on Jan. 24. New orders for the period ended Nov. 30 fell 50 percent to 4,761 and the average sales price declined 3.6 percent to"