According to statistics, 25% of all hud contract transactions submitted get canceled due to licensed agents crudely filling out the contract or missing a deadline for an extension. Why is this? How are you going to disclose to your prospect that they didn't get their ideal residence because 'you, as their agent, didn't know the process?
Throughout the US, hud processes aren't covered by any real estate academy currently offered. Here is some of what you need to know. Most licensed real estate agents don't perceive that the hud bidding and contract procedure is completely different from your standard real estate transaction. Often newly licensed brokers email their state forms when submitting a offer when, in fact, all the bidding is done online. The contracts aren't difficult. They just require a little extra attention to detail and you must be well versed in how to not only fill them out but also be aware when certain deadlines are and what forms are mandated by hud to be submitted.
Why HUD property sales are the new gold standard for opportunities. Statistic: About 9.1 percent of FHA borrowers had overlooked at least three payments as of December 2009, up from 6.5% in 2008, the agency's figures signify. The Federal Housing Admin does not make loans but insures lenders against losses. And claims have already accelerated. The agency had to pay out on 47% more loans in October and November 2009 than in the corresponding period a year earlier, according to an Federal Housing Administration write-up. The year 2010 will be elevated according to some analysts.
Why are HUD transactions the new Gold Standard for realtors? Two reasons:
* The banks engaged unfit, untrained Robo-Sign'ers to speed up foreclosures through the system. Trends show lawsuits are developing for these deals with attorneys jumping on the bandwagon to represent the former homeowner that was foreclosed upon and those lawyers are asking "Who really owned the note?" Former owners are suing the institutions, the title company, the lender, escrow and even the new current owner and their agent. Why does this matter? Because we are in uncharted air space and for years to come no bank selling an reo will be able to ensure that their property has a clear and marketable title. Be cautious of dealing with an reo as you may find yourself in legal procedures for years to come.
* Housing and Urban Development assures a clean and marketable title. How? Because all FHA insured lenders have been paid, Federal Housing Administration repossessed the property and contracted hud to re-list the property. And, simply, because they are the federal government and, you have to ask to sue the federal government. The title company contracted by HUD is insuring the interest of the federal government. Need we say more?
More and more of the properties on the market are HUD homes. It's never been more urgent than now for agents to effectively execute and understand all HUD procedures.
Throughout the US, hud processes aren't covered by any real estate academy currently offered. Here is some of what you need to know. Most licensed real estate agents don't perceive that the hud bidding and contract procedure is completely different from your standard real estate transaction. Often newly licensed brokers email their state forms when submitting a offer when, in fact, all the bidding is done online. The contracts aren't difficult. They just require a little extra attention to detail and you must be well versed in how to not only fill them out but also be aware when certain deadlines are and what forms are mandated by hud to be submitted.
Why HUD property sales are the new gold standard for opportunities. Statistic: About 9.1 percent of FHA borrowers had overlooked at least three payments as of December 2009, up from 6.5% in 2008, the agency's figures signify. The Federal Housing Admin does not make loans but insures lenders against losses. And claims have already accelerated. The agency had to pay out on 47% more loans in October and November 2009 than in the corresponding period a year earlier, according to an Federal Housing Administration write-up. The year 2010 will be elevated according to some analysts.
Why are HUD transactions the new Gold Standard for realtors? Two reasons:
* The banks engaged unfit, untrained Robo-Sign'ers to speed up foreclosures through the system. Trends show lawsuits are developing for these deals with attorneys jumping on the bandwagon to represent the former homeowner that was foreclosed upon and those lawyers are asking "Who really owned the note?" Former owners are suing the institutions, the title company, the lender, escrow and even the new current owner and their agent. Why does this matter? Because we are in uncharted air space and for years to come no bank selling an reo will be able to ensure that their property has a clear and marketable title. Be cautious of dealing with an reo as you may find yourself in legal procedures for years to come.
* Housing and Urban Development assures a clean and marketable title. How? Because all FHA insured lenders have been paid, Federal Housing Administration repossessed the property and contracted hud to re-list the property. And, simply, because they are the federal government and, you have to ask to sue the federal government. The title company contracted by HUD is insuring the interest of the federal government. Need we say more?
More and more of the properties on the market are HUD homes. It's never been more urgent than now for agents to effectively execute and understand all HUD procedures.
About the Author:
Want to find out more about getting started as a real estate agent, then visit Len Dietrich's site on how to choose the best real estate academy tutorials for your needs.
0 Comments Received
Leave A Reply