Friday’s Employment report provided further support that the US economy is gaining strength to begin the new year. Against a consensus forecast of 150K, the economy added 200K jobs in December. The Unemployment Rate unexpectedly fell to 8.5%, the lowest level since February 2009, from 8.7% in November. The decline was partly due to the increase in jobs and partly due to people dropping out of the labor force. Average Hourly Earnings, a proxy for wage growth, increased 2.1% from one year ago. This was an encouraging report in nearly every area.

While prospects in the US appear to be picking up, signs of improvement in Europe have been frustratingly slow to emerge. Bond yields in troubled countries remained at elevated levels, and European banks had to pay higher than expected costs to raise additional capital. Investors are still demanding very large premiums to lend money to European countries which are considered risky, making recovery efforts even more costly. Relatively safer assets, such as US mortgage-backed securities (MBS), continued to benefit this week from the lack of progress in Europe.

After a great 4th quarter in 2011 we are excited for the new year in real estate.

The Yonkers NY 10710 Area Market had a very stable year after a volatile 2009 and 2010.  Pricing is generally flat and volumes are Higher but reasonable

Real estate cycles are long and I feel like we are in the middle innings. 
in 
- Yonkers NY

Current inventory in Yonkers NY 10710 area is off to a good start only 74 single family homes for sale with a 148 average day of the market and currently the average price is $515k. 27 homes went under contract/ pending before year end which was very encouraging.

65 home didn’t sell in the last 6 months. Now the best news is that 60 home sold with an average of 187 day of the market, the average list price was $480k and average selling price was $454k. That’s a 94.7 % list to sale price wow that’s shocking because a well priced home should sell for much more. There is 7.4-monthly supply.

Call us to sell or purchase your next home in Yonkers NY 10710. Your Real estate expert advisor (The Sales Team of Rummy Dhanoa)

For Activity in the past two weeks click below:

http://www.freenyhomesearch.com/results.aspx?p=1&postalcode=10710&proptype=VT%2CC%2CSF

First and foremost, remember that the laws in your state may require different procedures than the general advice in this post, so get familiar with the rules in your area and get yourself a good lawyer – preferably one that specializes in landlord/tenant disputes.

With the legal disclaimer stuff out of the way, let’s look at some general eviction steps that apply in many states. As the real estate law section of FreeAdvice.com says: “The process of eviction is a very fast one compared to other kinds of legal actions. The trade off is that the landlord must do everything exactly right.”

Step 1: Give notice – The very first step is to give the tenant notice. This notice can take many forms.

a. Nonpayment of rent – If the tenant has breached the lease provision that talks about paying rent on time, you’ll typically send a “pay rent or quit” notice that says you’ll begin the eviction process if the breach isn’t cured within a certain number of days. That’s just a fancy way of saying pay up or ship out.

b. Violation of occupancy rules – If the tenant has violated any other occupancy rules, like housing people who aren’t on the lease, you may be able to send him an eviction notice under current law even if it’s not explicitly called out in the lease. However, just like with past due rent, you may have to give him a specific number of days to correct the problem before proceeding with the eviction. Best bet is to check with a lawyer.

c. Unconditional notice – In some states, you can give notice of eviction for any valid reason without giving the tenant an opportunity to “cure the breach”. You’ll send this type of notice when you don’t want the tenant to fix the problem; you just want him out. Again, check with a good lawyer to see what the laws in your state say.

Step 2: File the action in court – If you’ve sent the required legal notice and the tenant still hasn’t fixed the problem within the specified number of days, then it’s time to file an eviction action in court. Depending on where you live, filing an action can be as simple as filling out a form online or it may require a personal appearance in court. In either case, once the tenant is served, he generally has a certain number of days in which to respond before additional actions are taken.

Step 3: Fight or flight – If the tenant does not respond to the eviction action within the allotted time, then you’ll receive a default judgment in your favor. If the tenant fights the action, then you’re on your way to court. If you haven’t found yourself a good lawyer yet, now is the time.

Step 4: Getting on with eviction – If the court rules in your favor, the next step is to contact the local Sheriff’s Department to enforce the ruling. Resist the temptation to change the locks or remove the tenant’s personal property. Taking matters into your own hands will almost certainly land you in trouble. Instead, let the Sheriff’s Department do its job. They’ll post a notice on the door and remove the tenant’s belongings after waiting the appropriate period of time. That’s when it’s time to call the locksmith.

Make sure you know the laws in your area. It is an even better idea to have an attorney on hand to help through the process. As a landlord it is always better to be prepared for eviction situations in advance.

The Sales Team of Rummy Dhanoa

www.FreeNYHomeSearch.com

www.RummyRealEstate.com

% Levels 2009 2010 2011 2012
Unemployment 9.3 9.6 9 8.8
30 Yr Gov’t Bond 4.1 4.3 4.1 4.4
30 Yr Mortgage 5.1 4.7 4.6 5

% Change–Year Ago 2009 2010 2011 2012
Existing Home Sales 4.9 -4.8 0.3 4
New SF Sales -22.6 -14.4 -8 18.2
Housing Starts -38.7 5.6 -5.8 7.9

So, how’s the market? It’s been down so long no one has noticed it’s going up. But it is! Sure September prices dropped slightly, driven by the animal spirits of economic discomfort.
But consider:
•In May, economists predicted 2011 prices would fall another 7% – 9% and Redfin said prices would in fact stabilize. Since May, prices have actually increased 3%.
•For the whole year, prices are flat
•However weakly, sales are increasing
•The number of homes for sale is falling
•The number of foreclosures is falling
We are not expecting a miracle: prices will be low for years, But being a little sick isn’t so bad. Especially when you are recovering……. .
The Sales Team of Rummy Dhanoa
Keller Williams Realty Group
www.FreeNYHomeSearch.com

Rates on 15-year fixed-rate mortgages also dropped slightly, averaging 3.3% this week, down from 3.31% last week and 3.57% a year ago.

Five-year Treasury-indexed hybrid adjustable-rate mortgages averaged 2.98% this week, up slightly from 2.96% last week. The ARM averaged 3.25% a year ago.

And 1-year Treasury-indexed ARMs averaged 2.95% this week, up from 2.88% last week. The ARM averaged 3.26% a year ago.

To obtain the rates, the 30-year fixed-rate mortgage required payment of an average 0.7 of a point, the 15-year fixed-rate mortgage required an average 0.8 point and the ARMs required an average 0.6 point. A point is 1% of the mortgage amount, charged as prepaid interest.

“Fixed mortgage rates were little changed this week amid a mix of economic data reports,” said Freddie Mac chief economist Frank Nothaft in a news release.

“The economy added 80,000 net jobs in October, below the market consensus forecast, but employment gains over the prior two months were revised up by 102,000 and the unemployment rate fell to 9%, the lowest in six months. Factory orders improved in September, yet the expansion in the service industry slowed in October,” he said.

Low home prices and mortgage rates have kept affordability high, Nothaft said, adding that the National Association of Realtors’ housing affordability index in September hit its third highest reading on record.

www.FreeNYHomeSearch.com

If your serious about selling Or Buyers a home “don’t wait until after the holidays.”

Why?

Well because I am convinced that if someone is really motivated, then they have to follow the laws of simple economics:  Supply and Demand.

“I am going to wait to put my home on the market after the holidays.”  Seems like the most logical thing to do, but people don’t realize this is a great time to sell your home!  Price is supply and demand driven.  And when supply drops, demand goes up.  You say, “In the summer time there are more home buyers.”  And you are correct – there are more home buyers.  But there are also more home sellers!  And I am here to tell you that the serious seller supply drops more than the serious buyer demand giving home sellers a slight advantage along with a few other perks.

One perk of selling your home during the holidays is less showings.  Fewer people looking to make good use of a nice day to go “kick tires” and waste a lot of people’s time because “they might move.”  The fact that people are focused on holiday and family issues helps keep the number of “casual” lookers down significantly.  This certainly makes your life easier when you want to sell your home.

Another perk, related to the first one, is that holiday season buyers are serious buyers!  Home buyers who drive around during the holidays want to find something and CLOSE on it before Thanksgiving, Christmas, or before school starts back up.  Just as you don’t want a non-serious buyer walking through your home right before Christmas, holiday buyers tend to target what they want and get right down to business.

So it’s smart to think about the benefits of selling your home at this time of year.  Higher relative demand and lower relative supply tends to firm up the pricing for you, the seller.  Your home is more visible in a reduced supply market.  And the buyers looking for you are much more serious!

Have a happy holiday season and, if you are thinking of selling, remember, it’s not too late to make your home someone’s holiday surprise!

Rummy Dhanoa

Ann. SEL-2010-05: Underwriting Borrowers with a Prior Pre-foreclosure Sale or Deed-in-Lieu of Foreclosure (04/14/10)
To support overall market stability and reinforce the importance of borrowers working with their servicers when they have difficulty repaying their debt, Fannie Mae is updating several policies regarding the future eligibility of borrowers to obtain a new mortgage loan after experiencing a pre-foreclosure event (pre-foreclosure sale, short sale, or deed-in-lieu of foreclosure). The “waiting period” – the amount of time that must elapse after the pre-foreclosure event – is changing and may be dependent on the LTV ratio for the transaction and whether extenuating circumstances contributed to the borrower’s financial hardship (for example, loss of employment). In addition, Fannie Mae is updating the requirements for determining that borrowers have re-established their credit after a significant derogatory credit event.
Note: The terms “short sale” and “pre-foreclosure sale” are both referenced in this Announcement and have the same meaning – the sale of a property in lieu of a foreclosure, resulting in a payoff of less than the total amount owed, which was pre-approved by the servicer.
This Announcement describes the policy changes in detail and identifies the specific Selling Guide topics that will be updated on April 30, 2010, when a new version of the Selling Guide will be released.
Waiting Period After a Pre-foreclosure Sale, Short Sale, or Deed-in-Lieu of Foreclosure

Fannie Mae is changing the required waiting period for a borrower to be eligible for a mortgage loan after a pre-foreclosure event. The waiting period commences on the completion date of the pre-foreclosure event, and may vary based on the maximum allowable LTV, CLTV, and HCLTV ratios (referred to herein as LTV ratios) and occupancy of the property. These new policies will be updated in the Selling Guide, B3-5.3-07, Derogatory Credit Information, and in B3-5.3-10, DU Credit Report Analysis. The following table describes the waiting period policy changes:
Pre-foreclosure Event
Current Waiting Period Requirements
New Waiting Period Requirements (1)

Deed-in-Lieu of Foreclosure
4 years

Additional requirements apply after 4 years up to 7 years
• 2 years – 80% maximum LTV ratios
• 4 years – 90% maximum LTV ratios
• 7 years – LTV ratios per the Eligibility Matrix

Pre-foreclosure Sale
2 years

Short Sale
No policy currently exists specific to short sales

Exceptions to Waiting Period for Extenuating Circumstances

Pre-foreclosure Event
Current Waiting Period Requirements
New Waiting Period Requirements (1)

Deed-in-Lieu of Foreclosure
2 years

Additional requirements apply after 2 years up to 7 years
2 years – 90% maximum LTV ratios

Pre-foreclosure Sale
No exceptions are permitted to the 2-year waiting period

Short Sale
No policy currently exists specific to short sales

(1) The maximum LTV ratios permitted are the lesser of the LTV ratios in this table or the maximum LTV ratios for the transaction per the Eligibility Matrix.
Fannie Mae’s policies for extenuating circumstances remain unchanged and are fully described in the Selling Guide, B3-5.3-08, Extenuating Circumstances for Derogatory Credit.
VII, 504: Pre-foreclosure Sales (01/31/03)
Occasionally, none of the servicer’s efforts to prevent or cure the delinquency will be successful and the use of relief provisions may not have been feasible or productive. When all measures short of foreclosure have been exhausted for a conventional mortgage, the servicer should consider the use of a pre-foreclosure sale procedure. Under this procedure, when the borrower cannot sell his or her property for the full amount of our indebtedness, we will consider accepting a payoff of less than the total amount owed on the mortgage if that will enable us to reduce the loss we would incur if we foreclosed and acquired the property. (We also will agree to pre-foreclosure sales for FHA, VA, or RHS mortgages if they comply with all of the insurer’s or guarantor’s guidelines and do not result in a loss to us.)
A servicer may pursue a pre-foreclosure sale at any time prior to the actual foreclosure sale if acquisition of the property is the only alternative to the pre-foreclosure sale and the proceeds from the sale, along with any MI settlement, would make us whole—or, at least, would result in a loss that would be less than any loss we would incur if we had to acquire and dispose of the property. As long as the proceeds from the transaction make us whole, a servicer may negotiate and complete the pre-foreclosure sale without our involvement. However, a servicer must obtain our prior approval of any pre-foreclosure sale that will result in a loss to Fannie Mae.

FHA SHORT SALE GUIDES FOR BUYERS AND BORROWERS WHO HAVE EXPERIENCED A SHORT SALE

MORTGAGEE LETTER REFERENCES INCLUDED

Mortgagee Letter 2008-43 contains the new FHA short sale [a/k/a FHA Pre-Foreclosure Sale (PFS)] program guidelines. It’s definitely an improvement for anyone involved in shorting an FHA loan.

Here’s some of what you need to know about the FHA PFS:

• They removed the calculation that required the property to appraise for at least 63% of the indebtedness (this is helpful because many properties have dropped below 37% of the mortgage balance).
• HUD used to accept 82% of the appraised value as their net – now it is 88% if it sells within 30-days marketing time, 86% if it sells in 60-days, and 84% after 60 days.
• Prior to ML 2008-43, HUD would pay zero buyer closing costs on an FHA short sale, now they will pay 1% of buyer’s closing costs if the new buyer is obtaining FHA financing.
• They’ve increased the amount allowable to discharge junior liens up to $2,500.
• FHA allows the seller to walk away with up to a $1,000 check at closing

FHA SHORT SALES – MORTGAGEE LETTER 2009-52

It depends on whether you are or aren’t current at the time your short sale occurs.

4155.1 4.C.2.l Short Sales

A borrower is not eligible for a new FHA-insured mortgage if he/she pursued a short sale agreement on his/her principal residence simply to
• take advantage of declining market conditions, and

• purchase at a reduced price a similar or superior property within a reasonable commuting distance.

Borrowers Current at the time of Short Sale

A borrower is considered eligible for a new FHA-insured mortgage if, from the date of loan application for the new mortgage, all Although it is not clear in the letter, it is common that lenders will not allow you to get an FHA loan for 2 years from the time of short sale of your home.
But :
According to the Mortgagee Letter, it unclearly states that you are eligible for another FHA loan if you were current on your payments at the time of sale and “you didn’t short sale your house to take advantage of market conditions and purchase at a reduced price a similar or superior property within a reasonable commuting distance…”

• mortgage payments due on the prior mortgage were made within the month due for the 12 month period preceding the short sale, and
• installment debt payments for the same time period were also made within the month due.

Borrowers in Default at the time of Short Sale

A borrower in default on his/her mortgage at the time of the short sale (or pre-foreclosure sale) is not eligible for a new FHA-insured mortgage for three years from the date of the pre-foreclosure sale.

Note: A borrower who sold his/her property under FHA’s pre-foreclosure sale program is not eligible for a new FHA-insured mortgage from the date that FHA paid the claim associated with the pre-foreclosure sale.

Exception: Lenders may make exceptions to this rule for borrowers in default on their mortgage at the time of the short sale if the:

• Default was due to circumstances beyond the borrower’s control, such as death of primary wage earner or long term uninsured illness, and
• Review of the credit report indicates satisfactory credit prior to the circumstances beyond the borrower’s control that caused the default.

As always, if you have additional questions you can always call 1-800-CALL-FHA to speak with a representative at FHA directly.

VA:- BANKRUPTCY AND FORECLOSURE INFORMATION

Ch. 4, 7-f: Foreclosures (04/10/09)

The fact that a home loan foreclosure (or deed-in-lieu of foreclosure) exists in an applicant’s (or spouse’s) credit history does not in itself disqualify the loan.
• Develop complete information on the facts and circumstances of the foreclosure.
• Apply the guidelines provided for bankruptcies filed under the straight liquidation and discharge provisions of the bankruptcy law. See the preceding heading entitled “ Bankruptcy.”

If the foreclosure was on a VA loan, the applicant may not have full entitlement available for the new loan. Ensure that the applicant’s Certificate of Eligibility reflects sufficient entitlement to meet any secondary marketing requirements of the lender.

Ch. 4, 7-e: Bankruptcy (04/10/09)
The fact that a bankruptcy exists in an applicant’s (or spouse’s) credit history does not in itself disqualify the loan. Develop complete information on the facts and circumstances of the bankruptcy. Consider the reasons for the bankruptcy and the type of bankruptcy filing.

Bankruptcy Filed Under the Straight Liquidation and Discharge Provisions of the Bankruptcy Law:

You may disregard a bankruptcy discharged more than 2 years ago.

If the bankruptcy was discharged within the last 1 to 2 years, it is probably not possible to determine that the applicant or spouse is a satisfactory credit risk unless both of the following requirements are met:

• The applicant or spouse has obtained consumer items on credit subsequent to the bankruptcy and has satisfactorily made the payments over a continued period, and
• The bankruptcy was caused by circumstances beyond the control of the applicant or spouse such as unemployment, prolonged strikes, medical bills not covered by insurance, and so on, and the circumstances are verified. Divorce is not generally viewed as beyond the control of the borrower and/or spouse.

If the bankruptcy was caused by failure of the business of a self-employed applicant, it may be possible to determine that the applicant is a satisfactory credit risk if:

• The applicant obtained a permanent position after the business failed,
• There is no derogatory credit information prior to self-employment,
• There is no derogatory credit information subsequent to the bankruptcy, and
• Failure of the business was not due to the applicant’s misconduct.

If a borrower or spouse has been discharged in bankruptcy within the past 12 months, it will not generally be possible to determine that the borrower or spouse is a satisfactory credit risk.

Start your Commercial Search now at and ask about our buyer incentive program.

www.FreeNyHomesearch.com Or call me for a free buyer counseling !

By Rummy Dhanoa ( Expert Advisor)

Industrial Property Asking Price Index – Sale Trends

	Sep 11	vs. 3 mo. prior	Y-O-Y
- State	$91.24	+0.4%	+3.3%
- Metro	$114.31	-0.4%	-2.7%
- County	$127.38	-1.5%	-9.0%

For industrial properties in the metro area for the month, the average asking price was $114.31 per square foot. This shows a drop of 2.7% year-over-year, and a decline of 0.7% from the end of the second quarter of 2011. This month, asking prices for industrial properties have fallen to a new three-year low. The previous three-year low was last month at $114.51. The three-year high for asking prices is $137.46, which was set in October 2008.

It starts with de-cluttering, cleaning and staging your home and making sure that everything is in working order and good repair. You must keep in mind that buyers will almost always overestimate any type of repair or needed update and want to deduct the perceived cost from the asking price….. Even if the property is priced AT or BELOW market value. This could happen despite the home being structurally sound and having lots of potential. It doesn’t matter if the asking price already reflects any and all shortcomings the home may have.

Don’t sabotage the sales result of one of your most valuable assets by not preparing your home for sale in every possible way. A pre-emptive home inspection and/or taking care of any problem areas BEFORE you present your home for sale, to the public, is an absolute must. If you lack the time or ability to make your home look and feel it’s very best you may want to hire a good stager. It can make the difference.

Visit us on the web at http://www.freenyhomesearch.com/

The key to making a great lowball offer is to look for homes that have been on the market for an excessive amount of time. The softer the market the more likely the seller will consider the offer.

Buyers can make serious mistakes when making a lowball offer.

1- Before submitting an offer, your realtor should have done a full comparative market analysis of the area the home is in.  Some areas are still in seller’s market mode
and the homeowner will not consider a lowball offer, but if it is in a buyer’s
market area with too many days on the market, this is your chance to try. Some
seller’s may try to hold close to their asking price because they know buyers
are aggressively looking due to low interest and increasing volumes of property
available.

2- Not picking the right realtor can really hurt your chances. Some agents may tell you not to make low offers, as to not offend a seller. Some realtors skills may not be up to par and they may not make aggressive offers. Feeling they that their commission is more priority over making the best deal. On properties that have been overlooked and lack desire, bidding low may not hurt.

3- Not backing up your price. Your realtor should present your offer with full details, including market comparables. Seller’s want to know why you are coming in low, just don’t be harsh on your critisms.

4- Not knowing what you are willing to pay. Make ure you have seen a lender (if you want to finance) or have proof of funds (if ou are paying cash) to be sure what your maximum price is. Do not start with our 1st bid as your maximum, leave some room for negotiation. Also, never say our 1st offer is highest and best and then allow negotiation, that is how you
lose your credibility.

5- Nt making a clean easy offer.  When you make a low bid, you want the other details of the ffer to be appealing to the seller. And a deal that can close quickly often
will have appeal. Make sure there are as few contingencies as possible.

Also make sure your finances are in oder from the start. If you are financing make sure you have a pre-qualification before you start your home search.

6- Assuming cash will always get you the best deal. Money isn’t always a deal maker. The home owner is essentially looking for the most money possible. If the seller is a bank
because the property is a foreclosure, they may accept a lower offer from a
cash buyer, as opposed to someone who needs a mortgage because a bank doesn’t
want to deal with mortgage-related delays.

That being said remember the most important key factors to successfully purchasing a
home is having your lender or finances secured, having a realtor who knows the
market in your area and making a clean and easy offer.

To search properties in Westchester/Bronx counties visit my website @ www.FreeNYHomeSearch.com