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Mortgage Fraud Experts

Sungur: A Mortgage Bill has been proposed, for approval by the end of this year, in Northern Cyprus.

The plans are set to boost property market, and some experts suggest that the move will also benefit ex-pats.

A draft mortgage bill prepared by the Estate Agents Union has been presented to the Prime Ministry.

Union chairman, Hasan Sungur, said he believed the new law would be passed before the end of 2008 and would bring significant advantages to homebuyers, especially expats.

It will, he says, be a boom to the North Cyprus property market, too."Instead of going for cheaper houses, which suits their pockets, those coming from England or elsewhere will be able to buy more expensive and completed homes," said Mr Sungur.

It means that people might have to avoid offers such as a three bedroom house for £60,000.

People usually choose this kind of offer because that's the amount they have available. However, this will cause problems for them because it is impossible to complete a house with that amount of money, and the the link between the Mortagage Bill and housing markets means that house prices in North Cyprus - already accepted to rise - make continue to peak after the initial boom.

"People tend to purchase what's most suitable for them from what they can find. This creates problems because contractors do not have insurance like estate agents do.

"They do not have a mechanism of punishment in case of acts of fraud. The Mortgage Law will give people more choice because they will not be limited by the amount of money they have," he added.

Mr Sungur said the buyer will not have to take risks with £50,000 or £60,000 just because the house is cheap and their budget only covers that amount.

"With the mortgage legislation, they will be able to purchase properties which cost £100,000 or £150,000. These houses will be completed ones and the buyer will be able to move into a fully completed house without facing any problems."

Mr Sungur said that most mortgages available in the TRNC were in fact straight loans, with would-be homebuyers having to get a bank guarantee and provide tow guarantors to obtain a loan; some have suggested that this might in the long-term prove to be detremential to the supposed benefits of the new Mortgage Bill.

With the draft mortgage legislation, a mortgage of up to 75 per cent would be available to people unable to provide two guarantors. With guarantors in place, 100 per cent mortgages could be offered.

Mr Sungur also added that the interest rates in mortgages will be low, at least lower than the current value of interest set by the state.

"It will definitely be lower than the interest rates of the banks. Both for YTL and for foreign currencies" he said.

English-style mortgages have been offered for the first time in North Cyprus this year, with Lewis Finance offering deals of up to 70 per cent over a period between five and fifteen years.

About the Author:

Linda Cartwright is a property expert specializing in
Northern Cyprus property
for Meridies Homes real estate agents in Northern Cyprus.

Source - Mortgage Bill by End of Year to Boost Property Market in Northern Cyprus

LAS VEGAS REAL ESTATE UPDATE-#1 MORTGAGE FRAUD SCAM EXPOSED

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Loan Modification Bond

In a move that indicates its first rescue program was inadequate, the President Obama administration early Monday announced plans to widen the eligibility requirements of an essential housing initiative. The alteration allows homeowners with mortgage loans worth atleast 125 percent of their properties value to refinance into a more affordable mortgage loan. The earlier Making Home Affordable Program only permitted borrowers with loan values of 105 percent or less. The Making Homes Affordable refinancing/modification plan is part of the Obama's multi pronged attack on the nations most overwhelming housing slump since the Great Depression.

Here are 6 things you need to know about the broadened rescue:

1. Additional housing tweak - The widening of the Making Home Affordable plan follows the Barack Obama administration's recent change to its 1st time home buyer tax credit. In February, President Obama enacted this tax incentive, which provides up to $8,000 to qualified 1st time home buyer's, to stimulate housing demand and assist in mopping up surplus supply. In May, HUD brought out a plan that may provide home buyers faster access to these funds.

2. Freddie/Fannie - Even with the higher LTV ceiling, the basic framework of the plan continues in tact. Only homeowners with loans owned or secured by government-controlled housing finance heavyweights Freddie Mac or Fannie Mae can participate. At the same time, homeowners need to be up-to-date on their mortgage loan to have any chance at refinancing or getting a loan modification through the Making Home Affordable Program.

3. In its release Friday, HUD did acknowledge only tens of thousands of refinances had taken place so far, but not the millions first envisioned.

4. Home prices in 25 metropolitan areas fell by more than 20 percent in April from a year earlier. Sliding home prices draw the LTV out real estate. More than a 5th of Americans who owned a home were thought to be underwater, meaning they owe more on their mortgage loans than the home is worth, from January through the end of March. That is because the initial conditions of the plan prevented homeowners with mortgage loans above 105 percent of their properties value from taking part.

Some will not satisfy other plan requirements, such as being up-to-date on their mortgage loan. Keep in mind that as bond traders continue to become rattled by sharper increases in government spending, they will, without any doubt in our minds, send interest rates soaring to above 6.75% by the end of the year.

Most homeowners more often than not need a full 1 percent point difference between their current mortgage interest rate and market interest rates in order to really benefit from refinancing, higher interest rates have pummeled the housing market. So the population of mortgage loans that can be refinanced on a standard rate and term foundation simply is not very large in the 5 percent range. We are really going to need interest rates to head back into the 4 percent range in order to get the mortgage bus rolling again and only then will the Making Home Affordable Program work."

About the Author:

With a love to wirte about anything government, I will follow the new administration and demand they not spend our childrens money on complete crap programs like the Making Home Affordable Program.

Article Source: ArticlesBase.com - Making Home Affordable

1036-WEI #17***RAISE A BOND or loan***INSURANCE***Decroate a guitar mode

Loan Modification Evaluation

Question: When you are getting a home loan modification is it normal for an outside company to take pictures?

I fell behind in my payments and need to modify or face a possible foreclosure. Someone is coming tomorrow to take pictures--inside and out to help with the evaluation. According to HUD this is normal procedure, but I'm skeptical.

Answer: The Lender needs to order an appraisal to determine the value of the property to determine if it is in their best interest to enter into a loan mod. Typically these appraisals are done through independent contractors and not necessarily someone who works for the bank.

COMMERCIAL LOAN MODIFICATION